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71
Donald's fury and it's limitations.
1 am not an economist, but even I can see that putting tarrifs of multiples of 10% on imported goods means that the prices of those imported goods rise - inflation? If in the long term manufacturing "returns to the US" it will require massive investment in factories. Wages and production costs for the goods will be higher, investment will have to be paid back, therefore the goods will be more expensive ( the whole reason the manufacturing moved abroad) - inflation? -
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Report Thailand Cracks Down on E-Cigarette Smokers Amid Health Concerns
Always some ninny trying to prove anything people enjoy is harmful. I wonder how much has been spent trying to prove coffee is harmful. I would like to see a crackdown on Brussel Sprouts, can't be good for you. -
242
China warns ,don’t appease trump
For what it's worth, I'm pretty sure you're the one who doesn't understand the "system." You keep using the same mindset, thinking that the system is not dynamic and that you can point to a single issue as "proof" of some point your'e trying to make. And the issue you're trying to point to here couldn't be further off the mark. If you understood anything, you'd know that. The world's reserve currency has just about everything to do with currency flows. Do you even understand the concept of a "world reserve currency"? Such a status for the US dollar means investors around the world need dollars for a variety of reasons. International trade is conducted in dollars. Oil, for example, until recently. Long term contracts are denominated in dollars, and countries often hold US dollar bonds as one of their reserves. Even currencies are trades with the US dollar as the delivery vehicle. Hence a continuing demand for US dollars. Money flows into the US financial markets. Even the stock market is affected as overseas investors park money there. Without the world reserve currency, this flow of money would dry up. That's sort of what's beginning to happen, but the process can take years. Look at the British Pound. It stopped being the World Reserve Currency by way of the Bretton Woods treaty in 1944, but its use persisted around the world for years. Today, it's just 4% or 5% or reservers held around the world. All that money flowing into the US allows people in the US to buy junk made overseas. The US sends out dollars printed by the Fed out of thin air and accumulates a trade deficit in the process. The people in the US get junk made in China or wherever. That's a pretty good deal for some people, until the system breaks down. Eventually, money printing and the resultant interest rate increases eventually cause hyperinflation or very high inflation to the point where it's to longer politically feasible to continue. There are other factors as well, but I'll stop here. Actually, maybe you're just giving me a hard time? Everyone involved in the markets and in the financial system should know this. It goes without saying. Seriously. -
55
Wall Street Journal Dunks On Trump In Stinging New Editorial
Nowhere did I say he lies for Trump. I said he lies like Trump. -
42
Trump can Pave Way for Lasting Immigration Reform after Border Success
U.S. Presidents are not elected by popular vote. -
71
Donald's fury and it's limitations.
especially since the KING put a crimp in relations between the US and the rest of the countries of the world including those with necessary raw materials needed for the US to produce just about anythinig.
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