Does anyone think the US and China had fair trade before the recent tariffs?
both are chihuahuas, only talk no action you know.
I hear you. But his supporters here are blind. Very blind…
To my knowledge, most of them not care about trade wars, but they care when stocks are going down, that is the issue. If they follow true investing philosophy, they need not bother or they can take advantage of this volatility.
Trade agreement is fair because is willing parties.
Unilaterally breaking an agreement is bullying.
If after signing of the agreement which is binding, you have difficulty in fulfilling, should ask for re-negotiation not unilaterally breaking the agreement.
More like 3% fall now.
What inflation? Do they look at the data? The only parts of the economy with inflation are healthcare, housing, and tuition. Those are all heavily run by or regulated by the government to “help” us.
There was no agreement on these products. That’s why tariffs can be added. I don’t think there was any “agreement” that foreign companies doing business in China most form a JV with a Chinese company owning 51%. China just unilaterally made it a condition of doing business. They tend to do that a lot. Previously, the rest of the world just accepted those conditions. It’ll be interesting if the EU chimes in wanting more equal trade with China.
Those products are covered in the WTO treaty. That’s why Trump is citing the national security exemption to rationalize them.
WTO is mostly a “goods” treaty, created back in the days when most of the economy was manufacturing. It doesn’t have much to say about services like finance. So you can’t say china is violating because it doesn’t allow Goldman to do business in China.
I think I’m talking out of my depth here. Going forward, I will just watch marcus335 vs manch fleshing out the arguments. Thousand apologies for my talking cock.
My 2 cents
Stocks Tumble More Than 2% on Trump Trade Jabs: Markets Wrap
Volatility is bad for economy. Financial market is not just a casino for punters like you and me. Its primary function is for firms to raise capital. High volatility hampers that in a major way.
What is unbelievable is to read the usual supporters of this failed president ignoring that his guy, in his vindictiveness, and vulgar mouth is destroying the economy. He has attacked job creators when he said he would it.
Amazon has lost tons of money by his stupid remarks. It is not about Amazon not paying fair share of shipping things via the USPS, something debunked many times, no, it’s all about him, the adoration that he asks from anybody, specially those blinded by $ when they are losing their dignity, integrity and honesty. Those not bowing to him are being attacked from their president. Note here, “their president”, the same one giving them $ billions in tax cuts, to later bitch about them not paying taxes. Are you, or him nuts? I think you are.
What worries me is the fact that in the name of fake news, he is the one putting fake news out there. From the USPS losing money to Amazon, to rapes among women traveling this way from South and Central America, the millions of “illegal voters”, and, the most impressive stupidity, and lie, is the fact that he is begging the military to pay for the wall.
I thought Mexico would pay for that infamous, undesirable wall? Are you supporter of him lacking dignity and integrity? How many more lies are you going to accept? How many more businesses he needs to hurt before you understand and accept there’s a loose cannon in the white house?
Get that vulgar guy to shut up, or get him out of the white house!
Last 30 or 40 years, business heads moved the jobs outside of USA and continuously moving the jobs outside even now. As president, he is trying to put a stop, addressing this issue.
Last 30 or 40 years, many presidents ignored it, but that is being addressed here.
On both the cases, Market reacts wildly as most of the businesses/companies are importing (instead of making those items locally).
Now, with tax reduction and tariff increase, all businesses need to make it here to get benefited.
He is not destroying economy, but he is trying to revive country by addressing the 30-40 years ignored aspects.
Is no longer so since… can’t even remember when but is a long time ago
I think Trump is trying to build a case where AMZN has to foot the pension liability of USPS Is a good try
Very good article that addresses the arithmetic aspects of trade deficits. It’s just basic arithmetics of the balance of payment equation. Very few understand.
America depends on China because of a fundamental weakness in the structure of the U.S. economy — a profound and worrisome lack of domestic saving. In the fourth quarter of 2017, the net domestic saving rate (depreciation-adjusted saving of households, businesses and the government sector, combined) was just 1.3 percent of national income.
Lacking in savings at home, and wanting to consume and grow, the U.S. must import surplus foreign saving from abroad – and run massive balance-of-payments and trade deficits to import this capital. In 2017, the United States had merchandise trade deficits with 102 nations!