Well we watch the tube and the volatility of the markets….wild swings in losses and gains…..it is not normal.
And then there are the trade policies of our president…..his view of his tariffs are not anything like the views from financial pundits…..the news is not good from the tariffs…….out soy bean farmers think they are screwed even after the silly tariffs are removed….
With that said and reported……what about other sectors of our economy?
The financial magazine Forbes reports…..
President Trump likes to say that China and other countries are pouring money into the U.S. with the tariffs he has imposed. However, the countries that are sending goods to us aren’t paying the tariffs . The companies that import goods are paying them , which means U.S. companies need to raise prices (therefore a tax on consumers), lower their margins and have less profit (which also lowers the amount of taxes they pay to the government) or even go out of business.
The U.S. Treasury Department releases a monthly report, which provides how much in customs duties are received by the government (December’s is delayed due to the shutdown. so I have estimated that month’s result). Trump is correct that the payments have escalated in recent months. While they took a jump in the second half of fiscal 2018 (September) from the first half, they have almost doubled in the December quarter compared to the first half of fiscal 2018 before the additional tariffs were imposed.
First half of fiscal 2018: $3.1 billion per month
Second half of fiscal 2018: $3.8 billion per month
First quarter of fiscal 2019: $6.0 billion per month
Increase of 95% from the first half
Delta between $6.0 and $3.1 billion is $2.9 billion The $2.9 billion monthly increase in customs duties over a full year is $35 billion, which is either passed on to consumers in higher prices or eats into company profits. This can potentially drive a company out of business such as a South Carolina TV manufacturer laying off 126 employees or a Missouri nail manufacturer laying off 200 of its 500 employees.
None of this “news” tracks with the bullsh*t fed to us by the “warrior from Wharton”……..(I still say this person did not get his degree legally…Daddy bought it for him)……these policies are doing NOTHING to make America Great again….NOTHING!