Amidst all the chaos of militarised cities and a campaign to hunt down the imaginary ANTIFA, the economy is screaming, 'get me out of the hands of this serial abuser'
It would be interesting to understand where Trump holds stock and to see if he is busy shorting the markets to make money for himself. Unlike any other politician, he does not put his holdings into a Blind Trust. I expect he's whip-sawing the country for personal financial gain every time he opens his mouth. If he plays the stock like that, it would explain a whole lot. Raise the market, then tank it, then raise it, tank it, rinse and repeat. You buy on lows, sell on highs, and rape the markets for personal gain. It's called painting the tape to keep the money flowing.
That is, as Mr Trump exercises total personal control over which imported goods from which countries are taxed, he can manipulate his tariff schedule to make deals which serve his interests. A favored importer can receive a generous exemption. A disfavored foreign entity will find that their U S market has shriveled.
It's nothing more than an extortion racket. And the burden is carried by the American consumer.
Thanks for explaining the realities of the economy so clearly. This is going to devastate many businesses and families. I am so ashamed of the cruelty and greed running rampant in this country.
Listen I'd like to just insert a blurb from a noted economist that folks have the wrong idea about debt and deficit.
The Deficit Myth by Stephanie Kelton is a book that introduces Modern Monetary Theory (MMT) to a broad audience, arguing that the federal government, as the issuer of its own currency, is not fiscally constrained like a household and can fund public investments without being limited by deficits. Kelton contends that the real constraints on government spending are inflation and the availability of real resources (labor, materials, technology), not the availability of money. The book challenges conventional wisdom about government deficits, taxes, and unemployment, advocating for a shift in focus from narrow budgetary concerns to achieving social and economic goals like full employment, universal healthcare, and climate action.
What does MMT say about the impact of the large and increasing drain on current cash flow caused by servicing the debt? Don't all those payments of interest to the creditors reduce the current funds available to pay for actual government services and purchases?
Although at least in the case of massive, expensive (and vulnerable) ships for the Navy, who's counting?
It’s an interesting and untested theory, but I welcome the addition to the conversation Michael. There’s lots of uncertainty at the moment and the administration is already looking at left of field solutions like stable coins etc. I fear someone somewhere is making a huge miscalculation and it will not end well.
Once the tariff impact truly hits and importers and wholesalers get tired of eating the costs and pass it all through to the consumer? Inflation will take off like a rocket and there’s no turning back. These are perilous moments - Martin
Thanks for this! I'll have to explore this theory some more. Of course, I'd say that one reason this is not a mainstream concept (?)(yet?) is that the goals you mention, full employment, universal healthcare and climate action, are/have been vehemently vilified on the Republican side because it would put the poor and middle class residents of our divided country on firmer economic footing, something that the top 10% don't want because it will affect their (overwhelming) wealth and power. The political puppets of the powerful will block that at every turn. Sorry for the long comment!
Thanks for your clear explanation of the basic concept in economics. If we consider that the American type of capitalism is a sacred cow and therefore any criticism of its functioning is unwelcome, we can still point out that
1. tariffs, in this sacred cow system, are allowed only in cases of « infant industries » (i.e. any new products or technologies) and these for a limited period of time)
2. Hyper concentrated corporations are to be prevented (fair trade and free competition) and or broken up.
In conclusion, the enablers of our present trumpian government are aiming straight and doggedly for a vertical authoritarian regime in the hands of 5 or 6 families (hello Putin? Hello mafia’s bosses) with just two social classes : them (and minions depending entirely upon their whims) and the poor squeezed to death working for them.
Great contribution to the conversation, thanks. This will likely be a 3 part post, I didn’t want to overwhelm people. It’s important to keep it as simple as possible, we can always dive deeper for those who would like that. The geopolitical aspects of this are fascinating
You are on point Martin. Increasing food and utilities on a limited income is tough, before the announced changes to healthcare premium costs .Thin line from just making it to not making it has arrived. ✌️
So important for people to boycott Amazon and all other corporations. Stop giving billionaires your hard earned money. Hurt them where it matters and that's what will get their attention.
I and my fellow Portlandians are literally outraged at Dictator Donald the Deceiver! Justify martial law with lies, lies and damn lies? He is AGAIN calling for an insurrection.
Thank you for your contribution to the conversation. As a Brit I pay VAT every day it is indeed a regressive tax but there are as you outline some key exclusions, so it does lend itself through exemptions to being less regressive.
As a non tariff barrier it is a red herring I feel. It does not disadvantage US goods, they are on the same playing field as all imported goods. It’s a downstream cost to the consumer.
We would probably be better circling back when you have read the remaining parts of the post which will follow over the weekend I hope.
It would be interesting to understand where Trump holds stock and to see if he is busy shorting the markets to make money for himself. Unlike any other politician, he does not put his holdings into a Blind Trust. I expect he's whip-sawing the country for personal financial gain every time he opens his mouth. If he plays the stock like that, it would explain a whole lot. Raise the market, then tank it, then raise it, tank it, rinse and repeat. You buy on lows, sell on highs, and rape the markets for personal gain. It's called painting the tape to keep the money flowing.
He’s playing an all together different game with stable coins, I’ll be coming to that. It takes time to unravel
There is a less-obvious aspect to the tariffs.
That is, as Mr Trump exercises total personal control over which imported goods from which countries are taxed, he can manipulate his tariff schedule to make deals which serve his interests. A favored importer can receive a generous exemption. A disfavored foreign entity will find that their U S market has shriveled.
It's nothing more than an extortion racket. And the burden is carried by the American consumer.
\Vince S
Be sure to read part 2 tomorrow I’ll be discussing his personal influence
Thanks for explaining the realities of the economy so clearly. This is going to devastate many businesses and families. I am so ashamed of the cruelty and greed running rampant in this country.
You’re very welcome. It may take a couple more lists to break it all down into digestible pieces.
Listen I'd like to just insert a blurb from a noted economist that folks have the wrong idea about debt and deficit.
The Deficit Myth by Stephanie Kelton is a book that introduces Modern Monetary Theory (MMT) to a broad audience, arguing that the federal government, as the issuer of its own currency, is not fiscally constrained like a household and can fund public investments without being limited by deficits. Kelton contends that the real constraints on government spending are inflation and the availability of real resources (labor, materials, technology), not the availability of money. The book challenges conventional wisdom about government deficits, taxes, and unemployment, advocating for a shift in focus from narrow budgetary concerns to achieving social and economic goals like full employment, universal healthcare, and climate action.
Source:
https://www.google.com/search?q=the+deficit+myth&client=ms-android-verizon-us-rvc3&sourceid=chrome-mobile&ie=UTF-8#ebo=0
Mr Tenzer:
What does MMT say about the impact of the large and increasing drain on current cash flow caused by servicing the debt? Don't all those payments of interest to the creditors reduce the current funds available to pay for actual government services and purchases?
Although at least in the case of massive, expensive (and vulnerable) ships for the Navy, who's counting?
\Vince S
It’s an interesting and untested theory, but I welcome the addition to the conversation Michael. There’s lots of uncertainty at the moment and the administration is already looking at left of field solutions like stable coins etc. I fear someone somewhere is making a huge miscalculation and it will not end well.
Once the tariff impact truly hits and importers and wholesalers get tired of eating the costs and pass it all through to the consumer? Inflation will take off like a rocket and there’s no turning back. These are perilous moments - Martin
Thanks for this! I'll have to explore this theory some more. Of course, I'd say that one reason this is not a mainstream concept (?)(yet?) is that the goals you mention, full employment, universal healthcare and climate action, are/have been vehemently vilified on the Republican side because it would put the poor and middle class residents of our divided country on firmer economic footing, something that the top 10% don't want because it will affect their (overwhelming) wealth and power. The political puppets of the powerful will block that at every turn. Sorry for the long comment!
🙏🏼🙏🏼🙏🏼 that the GOP (The party with power) grows a backbone and impeach trump. Or used the 25th amendment to fire him. ☺️
Thanks for your clear explanation of the basic concept in economics. If we consider that the American type of capitalism is a sacred cow and therefore any criticism of its functioning is unwelcome, we can still point out that
1. tariffs, in this sacred cow system, are allowed only in cases of « infant industries » (i.e. any new products or technologies) and these for a limited period of time)
2. Hyper concentrated corporations are to be prevented (fair trade and free competition) and or broken up.
In conclusion, the enablers of our present trumpian government are aiming straight and doggedly for a vertical authoritarian regime in the hands of 5 or 6 families (hello Putin? Hello mafia’s bosses) with just two social classes : them (and minions depending entirely upon their whims) and the poor squeezed to death working for them.
Great contribution to the conversation, thanks. This will likely be a 3 part post, I didn’t want to overwhelm people. It’s important to keep it as simple as possible, we can always dive deeper for those who would like that. The geopolitical aspects of this are fascinating
Indeed I am looking forward to your next two installments.
You are on point Martin. Increasing food and utilities on a limited income is tough, before the announced changes to healthcare premium costs .Thin line from just making it to not making it has arrived. ✌️
And it breaks my heart Frances. All I can try and do is raise awareness and point to options to fight it.
https://substack.com/@brutusmac/note/c-171227335?r=6aexdu&utm_medium=ios&utm_source=notes-share-action
So important for people to boycott Amazon and all other corporations. Stop giving billionaires your hard earned money. Hurt them where it matters and that's what will get their attention.
I and my fellow Portlandians are literally outraged at Dictator Donald the Deceiver! Justify martial law with lies, lies and damn lies? He is AGAIN calling for an insurrection.
Thank you for your contribution to the conversation. As a Brit I pay VAT every day it is indeed a regressive tax but there are as you outline some key exclusions, so it does lend itself through exemptions to being less regressive.
As a non tariff barrier it is a red herring I feel. It does not disadvantage US goods, they are on the same playing field as all imported goods. It’s a downstream cost to the consumer.
We would probably be better circling back when you have read the remaining parts of the post which will follow over the weekend I hope.