Trump is talking tough on China and other countries, Mexico and Canada receives no special favours or consideration from him. If Trump is elected to a second term he will demand even more from other countries and to score political points China will be the biggest target. Do not forget that many countries are still in economic crisis and the UK is still in turmoil over BREXIT. There is no good time for an economic crisis but to bring one on at this time merely to satisfy Trump's ego is ludicrous. Trump has micromanaged some departments of his own country and set his own policy for the world to live by. Just as Canada can not did not put up with a 25% tariff on steel and 10% tariff on aluminum, China will not put up Trump imposed tariffs. Any push back from China and Trump will impose further tariffs and spark trade war. Tariffs will restrict goods from China and other countries from entering the US but will also reduce American exports. Are we on the eve of destruction?
Trump second term, will he send the world into an economic crisis?
- Thread starter Ceiling Cat
- Start date
Is that what you thought was going to happen?
Looks like its only taken 2 years for his policies to work on the Obama recovery.
https://www.cnbc.com/2019/06/21/us-...-mild-recession-in-2020-zurich-insurance.html
No one said that it would be an immediate economic collapse. Trump is playing with the livelihood of many people in many countries including his own. Take for example his 25% tariff on Canadian steel and 10% tariff on aluminum. The American steel and aluminum producers raised their prices to make more profit and not one more cent was put towards new equipment or facilities and not one job was produced because of these tariffs. Trumps economic policies further on into his term has caused turmoil into the economic situation of the world. With a second term and no worries about being re-elected his megalomania will destroy the world.
What federal account holds all the billions and billions of dollars that Trump claims that China is paying because of his beauuuuutiful Trump tariffs?
Since we're at it, please disclose that other federal account the holds all of those billions and billions of $$$$ that Mexico is paying to build that beauuuuutiful Trump wall?
Another? How about that recurring year after year $1trilllion dollars in tax breaks to corporations and the 1%er's that would grow the economy and thus pay for itself and more. The Trump federal debt numbers are going through the roof because of his $1trillion tax breaks boondoggle. The King of Junk Debt!
As been mentioned by others, by disrupting supply chains Trump's encouraging investment in other countries. For however long the tariffs last, he's raising China's risk profile. It's likely the Chinese Communist Party doesn't completely understand "risk" profile. It's a completely abstract capitalist financial concept. This risk will be factored into foreign dealings with China for many years to come. You might not know the full effect of the trade war until years after it's blown over.
I am always discouraged by people choosing partisan politics over U.S. interests. Forced technology transfers are an illegal act under current trade rules. CEOs respond to this coercion because they are incentivized on short-term results and shareholder pressure. They are paying ransom to get some access to the Chinese market. Many times Chinese entities are straight up stealing intellectual property. It's up to the President of the United States to protect our long-term interests.
You do not take unilateral stances against other nations based on the notion that you will be punishing them. Everyone especially the NATO and EU Allies should have been on board with it. But when you blow a fuse at the G7 and G20 Summits, the only ones that will pay the price are your own citizens, especially those on very low incomes that depend on Chinese made alternatives. This whole turmoil with even the oil prices now set to rise very steeply thanks to the ridiculous policies against Iran, will hurt everyone's pockets sooner or later!!
Short answer: No. Nyet. Bui dui!
Long answer:
1. China and America, both economies will be fine. China is not an export dependent economy anymore, and only about a quarter or so of its exports go to America. Therefore, this trade war is having a very limited effect on the two combatants in terms of GDP growth.
https://www.cnbc.com/video/2019/06/...-worse-for-us-than-china-says-strategist.html
2. There has been some winners and losers so far. Some Chinese firms have been hurt. The American farmer has been hurt. The biggest winners so far probably countries like Vietnam where they become more important in final assembly of products and some Chinese firms ship there then to America, but I read a story somewhere that the Americans cracking down on that.
3. The collateral damage is far more than anticipated. Other countries are very concerned about this trade war. The rest of the world is very much trade dependent. Any slow down no matter how minor in the USA or China, really affects them. ASEAN is so concerned that they will drive through with the regional free trade pact the RCEP, there is a real urgency to get that done now.
4. What is becoming really important is not the trade war but the tech war between China and America. First step seems to be letting the world bifurcate into two separate tech worlds and perhaps supply chains.
Trump is simply using the substantial leverage the US has to get better deals for the US. It’s not surprising other countries would squeal, but it doesn’t really matter.
If Trump is re-elected US business will continue to have confidence in the US market. I would expect the progress on employment, GDP and the market to hold or have moderate growth.
If Sanders/Warren are elected business will begin pulling back and we will have a sharp recession.
If Trump is re-elected US business will continue to have confidence in the US market. I would expect the progress on employment, GDP and the market to hold or have moderate growth.
If Sanders/Warren are elected business will begin pulling back and we will have a sharp recession.
You are making the mistake of judging the economy by the performance of the stock market. We can all agree that the 1% is doing phenomenally well. Hurrah.
A higher percentage of children in the United States live in poverty(nearly 21%) than the population as a whole. Not only is that level of poverty unheard of in many other OECD countries, it’s unheard of that child poverty rates would be higher than overall rates. Several OECD countries have lower child poverty rates than general rates, including Denmark (2.9% vs. 5.5%), Finland (3.3% vs. 5.8%), Norway (7.7% vs. 8.2%), and Sweden (8.9% vs. 9.1%). The United States also has among the world’s highest rates of elder poverty.
Living in poverty (or in many cases above the poverty line) qualifies children and their family’s to free healthcare (Medicare) nutritional support (food stamps and WIC benefits) tax credits (negative taxes) subsidized housing (section 8) and welfare. It’s still a hard path.
Perhaps that answers the question. I don't think being on government assistance is an easy life. I do however think statistics like 20% American children live in poverty can be misleading.
We have Central American families pouring over the border so why are they coming.
Some Canadian poverty stats have 1 in 7 living in poverty.
We have Central American families pouring over the border so why are they coming.
Some Canadian poverty stats have 1 in 7 living in poverty.
The thread is about Trump sending the world into an economic crisis. What does child poverty have to do with the topic?
Anyway, back on topic about the possible economic crisis, even CNN admits trumps is doing a GREAT job!https://youtu.be/ykXb-Kpdx8U
