Why Tariffs Won’t Save Manufacturing

[@chewygaming1]

Over 50% of Americans think the guy who bankrupted multiple businesses has the best economic policy.

[@GravitasZero]

Even in my rather “socialist” country in the EU there are some who believe Trump is a good business man and will help the American economy. When I explain how he bankrupted (failed) many businesses they say “but he’s rich, so he must be doing something right”… they don’t realize that that “something right” is being born rich and having people do the actual work *for* him… but whatever

[@andypostema4269]

The alternative was a candidate who keeps giving billions of dollars to illegal immigrants and foreign nations.

[@ohdamnman]

Like to be all of for real

[@sueq144]

Boneheads they are​@@GravitasZero

[@madscientist3665]

Trump bankrupted a casino... A CASINO! Smaller casinos bring in roughly $3m/SLOW day... and he bankrupted one. How? Because he is a moron.

[@moken9641]

America needs to bring back economics and civics as mandatory subjects in high school!!!

[@Falcon2609]

Facts

[@vultureculture7707]

They were mandatory in my high school, but I was in a rural school where we still had home ec and shop classes 😆

[@tylermacdonald8924]

You guys don't have that?

[@DaveE99]

Prob with Econ 101 is it’s just neoliberal mythology. Plus economics is not a hard science and unless your exposed to the structure of the field and how it fits together then your not truly teaching it. At the core of economic theories you are deciding on arbitrary values. This is why they are not hard sciences.

[@CharlesEbarb-v8g]

@@tylermacdonald8924now you see what’s wrong with our education system. Defund the dept of education, they said…

[@enochboateng8880]

The fact that this has to be explained to a majority of Americans is a true failure of our education system.

[@Timelinetines]

Yes!

[@tsquare5111]

No it's not. They were just those fools that didn't listen in school and their parents blame the school instead of helping with their studies.

[@CC-zf3dc]

Not everyone knows what tarrifs are. That dosent make them stupid. Now voting for Trump is a different story

[@Richardnoggin357]

Yes it is the failure of education system. That is what they want. Stupid people with no critical thinking skills. That way they don't realize how badly you are getting screwed. That's why he wants to get rid of the department of education.

[@Shinycelebi]

​@CC-zf3dc I mean we have tried to explain it to them, so is it really an excuse that they didn't know, or because the info came from us they just didn't care...

[@jlocey87]

For anyone who missed this in economics class: Tariffs are paid by the buyers of the products, not by the producing country-meaning the cost falls on YOU.

[@CrashB111]

Tariffs are in the simplest terms, a massive sales tax. A 25% tariff on all imports, is a 25% sales tax on all imports. And who pays sale taxes? The consumer buying the product.

[@Demopans5990]

Even if the exporter pays the tariff, guess who's paying that extra fee?

[@rodolfodoce]

@@Demopans5990the importer pays the tariffs, the exporter might sell less product, but who pays is the consumer in the end.

[@danyg4063]

Hah. Optimistic of you to assume people had an economics class.

[@diogeneslamp8004]

@@danyg4063 And the sad thing is that this is not a difficult concept to explain. But facts mean nothing when a voter chooses based on vibes.

[@vultureculture7707]

We learned this in business class in high school, but the brain rot has just sunk too deep. People don't ask questions, they just accept short phrases like "build American" and "make America great" and don't think beyond that.

[@Not.going.back777]

People take everything on the internet as fact. We need our education system to teach our children how to discern fact from fiction and use science to research. Many baby boomers cannot understand this.

[@vary1143]

All of u in the comments saying no U dont even go to vote Go and vote if u dont think so Kamala for president 💙

[@alexandrostheodorou8387]

They never ever thought beyond that.

[@lorihamlin3604]

Critical thinking skills curriculum is more important than ever in our education. Otherwise you wind up with a society who gets their news in isolated bubbles that don’t have the skills to recognize they’re being scammed.

[@TukaihaHithlec]

⁠@@Not.going.back777 Republicans have fought tooth and nail to keep critical thinking courses out of schools. They realized that the more educated people are, the more progressive they lean, and they just can’t allow that.

[@NestlaysChaulkolateChips]

Don't forget that we've done tariffs before. And rather than US companies offering cheaper prices, they increase their prices to be at the same level of imported goods + tariffs. It ends up being way more expensive to the consumer.

[@tinacherry2295]

And American company's really love gouging the American ppl -

[@eddiemarohl5789]

Totally didn't happen right before the worst economic times in history. I swear people really don't look back and say huh that looks like what hoover did to make the depression horrible.

[@jasperzanovich2504]

Of course that is what they do. Whenever the government cuts sales tax the consumer prices stay exactly the same.

[@davemurphy7575]

Yup and that expense will stay there if tariffs drop. Corps aren't going to lower the price, they will always pocket the profits.

[@tonedowne]

It’s trying to unscramble an egg. Once a nations economy has been debased by unregulated foreign imports, to the point that people need to buy goods priced on wages in a lower cost economy, there is no way to directly undo it without pushing loads of poor people over the edge. The answer has to be new industries and products. Those industries can then be protected, like the US did with the computer industry. The reason the Microsoft have had such global domination is because the US government got right behind them.

[@hellhound1389]

He's saying all the concepts I knew in highschool yet these Republicans just can't grasp them

[@SweetSkies478]

Because they’re too heavily indoctrinated by their non-existent being to fathom any sort of reality

[@Falcon2609]

Exactly

[@buttersleopaldstoch5793]

They are anti-education so I wouldn't expect them to know

[@Opinionatedboo]

Republicans don’t believe in schools, they want uneducated people who will continue to vote against their interest

[@breamstoms9987]

maga types do not think for themselves. they only say what their leaders spoon feed them to say.

[@EchoGillette]

We cannot grow cocoa or coffee in the US. We just don't have the climate for it. So we MUST import it. Coffee and chocolate are going to become luxuries again...

[@emoipo]

importing coffee is chill, trump isn’t stupid enough to put tariffs on everything like yall claim. putting tariffs on china and russia is the goal. think what people are mad about is: we went from being the #1 steel manufacturer in the world post ww2 to #16 today with china as #1. if you follow football the Pittsburgh STEELERS aren’t called the STEELERS just ‘cus. Recall the “rust belt” states at all??? I know somebody who lost their factory job in wisconsin because it was sold to china. put hundreds of thousands of americans out of jobs over the years, rise in homelessness, etc. We used to be so prosperous and full of jobs for every american to support a family. who gives af about coffee, that’s not really what trump/ THE PEOPLE are after.

[@RobertTaylor]

Worse than becoming luxuries, the new smuggle trade will be for coffee and chocolate. People will die and kill for tariff-free snacks in MAGA America

[@jonson856]

Maybe this will improve Americans‘ health

[@Demopans5990]

​@@jonson856 Nope. Americans drive everywhere

[@cheesemanmaster]

​@@jonson856 beautiful pfp, glorious president Xi

[@BlagoP]

Wait until retaliatory tariffs destroy American manufacturing.

[@ericjeroenjansen]

Or, just like China is planning, import all their corn and soja from friendly countries like Brazil and Venezuela. Farmers will go bankrupt next four years, there is almost no other market for GMO products to sell to.

[@pintbreaker9570]

Europe has a Plan at Hand to counter Trumps "Plans", it will hurt us nontheless. This guy is going to ef evrybody over pretty hard.

[@j.dragon651]

What manufacturing? It won't take much to accomplish that.

[@bones3002]

@@j.dragon651these people are literally the gnomes from South Park. They see step 1 don’t know what’s step 2 and suddenly step 3 profit.

[@rell127]

It happened to the farmers already

[@CCJJ160Channels]

Half of America voted for the candidate with “concepts of a plan”. Unf-cking believable. 🤦

[@victimshaman7732]

Those same voters be like “I have CONCEPTS of a brain.”

[@mikjb]

@@CCJJ160Channels Agreed

[@nitroneonicman]

That half of America is in the comment section acting like econ experts rn lol

[@jmo0311]

I suppose that's better than the candidate with no plan.

[@CCJJ160Channels]

@ Jill Stein?

[@Merakis100]

Trump's previous tarriffs LOST 160,000 American manufacturing jobs. This time will be worse 😢.

[@henriikkak2091]

That's apparently what people want

[@nczioox1116]

​@@henriikkak2091they reap what they sow

[@Lunasent]

Yeah, but cheap groceries right? 🙄🙄🙄🙄 The only solace is MAGA voters are going to suffer with these tariffs too. This is what you wanted.

[@ILovePancakes24]

This is going to be the second great depression

[@Merakis100]

@@Lunasent No, what I wanted was sanity. What we got was more opportunities for Republicans to blame Democrats for their awful choice of president - because they don't understand how the next president inherits the mess he's going to make.

[@Averageastriks]

I was explaining this to a coworker today. He was so excited about how much companies would need to pay, I set the record straight that he would be the one paying. He was not smiling anymore.

[@BudMcClure-k5t]

It’s down right scary how many people think these tariffs are going to be a good thing. It’s just sad that these tariffs are going to hurt us all and not just the ones that voted for Trump and his tariffs.

[@carlpanzram7081]

I've not yet met a single person who thought this would make products cheaper. All it is is a tax on import that will cause industries within a country to be a more viable option. It will make products more expensive, it will stimulate the industry, it will make the country less dependent of other countries, and it will halt the consumers from accidentally funding countries that are antagonistic to them. Trump voters know this, and they want it. You are attacking a strawman.

[@Michael-sb8jf]

Harly Davidson closed a manufacturing plant because Europe put a retaliation on our exports. So they built a new plant in Europe. Jobs lost that will never return. Tariffs will go both ways

[@simonsancartier7417]

"I voted for Trump because I don't like my groceries being expensive..." Guess who else doesn't like the price of their groceries? Companies. Some people have already lost their Christmas bonus because their company had to order a year's worth of product (inputs as explained in the video) before tariffs kick in next year. People are so dumb and shortsighted

[@OK-pi6fq]

Herbert Hoover tried this exact same thing to prevent the recession of Calvin Coolidge from getting worse. He thought that he would be promoting American products and therefore raising the economy. But the reason that the great depression is attributed to Hoover and not Coolidge is that, though it was Coolidge economy that created the recession , it was Hoovers tariffs that created the Great Depression. The cost-of-living went up dramatically, people could buy less and more jobs were lost because businesses went out of business they couldn’t sell. Making more people poor without jobs. If you’re gonna come up with an idea from the past, at least use one that was successful. There are many. High taxes on the Rich was very successful. Strong country wide unions was successful. Corporate regulations to prevent monopolies and bad ethics involving public money was very very successful. Together they created the American Dream. Let’s make America actually great again by bringing back those things. We have done everything we’re talking about, but we can see what worked, and is working around the world, just not doing any of it because the rich have taken control and are greedy to the point of a mental illness among the class.

[@Banana79144]

Buy your christmas presents early now.

[@soxpuff]

No, don't buy anything.

[@Crestolis]

@@Banana79144 Time to make your own gifts by toilet paper rolls and glue, American glue that is!

[@patrickdix772]

Another thing that helped was huge government projects. Building out the national parks, state parks, and huge parts of the interstate system got people across the country working and earning money, and when you have money you are more willing to spend it helping the economy in general. There was also a case in Minnesota or Michigan(I don't recall which), where there was a bunch of empty land. The immigrants were suffering badly, since they lacked language skills and learning to get what jobs there were. The mayor suggested getting basic farming supplies and seeds for suitable food crops, then having the immigrants (many of whom were from European farms) grow food on the public land. It was a huge success, since it both brought jobs and income to a section of the population that boosted the economy as a whole in the area.

[@DornXeon]

@@Crestolis That glue will be $50+

[@thoughtsengineer]

As a Venezuelan, let me tell you that the Venezuelan gov has been putting high tariffs on all imports. Guess how we are doing now? 🙃

[@ijustneedmyself]

Do you guys have product shortages and rationing as a result?

[@peterrobbins2862]

Well you also had massive covert and overt interference from America disrupting your economy as well

[@macmcleod1188]

Unfortunately, a majority of Venezuelan immigrants in Florida vote Republican. They confused left wing authoritarians with the left wing and chose right wing authoritarians.

[@S2yay]

​@@peterrobbins2862what America has done to the global south is beyond disgusting

[@April-v7c]

Maybe he didn’t mean what he said about tariffs. You know, Trump being Trump. We should plan tho

[@BeaverZer0]

I own a Bosch dishwasher (European) because usa was tarriffing Canadian aluminum and American made whirlpool dishwashers were more expensive than the, better quality, European ones. So I own a European dishwasher as a Canadian because USA made its self non competative at that time. Womp. Womp

[@marylhere]

Bosch is a better choice.

[@BeaverZer0]

@@marylhere best dishwasher ever. I doubt Il get another whirlpool. I have a whirlpool fridge and it's kinda $hi+y

[@Dbb277-2]

@@BeaverZer0. I have bought whirlpool for three decades for my rentals with very few issues. I don’t buy their bottom line ever. I also don’t think they are as good as they used to be. GE has better design options. My repair guy said not to buy GE until about five years ago as they became more reliable. My friend had Bosch and had a lot of repairs but that was a long time back. Reliability comes and goes.

[@canofbeams5528]

I own a business that manufactures in the United States, but key materials I have to use are not produced here and I've been trying to explain to people for months that my only option is going to be to increase prices if those materials get hit with tariffs. I've had people tell me that I should just start producing the materials myself, like that's something that you can just turn and start doing and doesn't require tens of millions or hundreds of millions of dollars of investment.

[@Ray_MondOS]

We saw it in 2018 with the previous tariffs, then we saw it again when COVID destroyed supply chains. Now people want to revisit the first stage for some reason.

[@Wastok]

@@Ray_MondOS I read a medical study recently where a documented side effect of long covid infection is literally a reduction in grey matter of portions of the brain. I would link it but KZbin removes all links to other websites. We as Americans were sub-genius at best and now with all the disinformation and corporate greed we're just devolving in to the movie Idiocracy.

[@mickayling5707]

It's Adam Smith 101. Maybe you should ask them, if it's so easy to produce a product why are they buying from you, instead of making it themselves

[@wnose]

Brazil has high tariffs on electronics - a ps5 cost as much as $900 on launch. 😮😮 Edit: I used a PS5 as an example, but this could mean any electrical item: phones, TVs, laptops, PC hardware The idea of tariffs was to get Brazil to develop their own electronics industries. But somehow a Brazillian Sony or AMD never emerged.

[@shawnm8232]

Well you are still making licensed Sega consoles.

[@Gusr404]

Yep. People have huge nostalgia for them here, but we also play PS5 ​@shawnm8232

[@ThatWolfArrow]

​@shawnm8232 Only up to the genesis. But even then, the dreamcast came out over 20 years ago and that was Sega's *last* game console.

[@shawnm8232]

@@ThatWolfArrow They just started making a Sega Neptune. I really want to get one.

[@wildfire9280]

@@ThatWolfArrow At least it’s good news for collectors and normal people who’d actually use them.

[@lind3237]

The guy who bankrupted a casino says he can create the world’s greatest economy! 😂😂😂

[@charles5a]

He can do the impossible.

[@eiryuu]

@@lind3237 *multiple casinos even! i'd forgotten if it was three or four (or more?) so go0gled "how many casinos did trump bankrupt?" and the results are, ofc, making for interesting reading even if already alittle familiar with the fact that it/those happened..~

[@oldauntzibby4395]

Yep, everyone used to think bankrupting a casino was impossible.

[@markcervantes7230]

For the top 1%, as we're already seeing lol

[@LunaFernx66]

Agreed.. and I believe it was three casinos. Please correct me if I'm wrong.

[@rickyhits6547]

Math is hard for maga.

[@supertec2023]

Anything not in the Bible's hard for maga

[@breamstoms9987]

thinking for themselves is hard for maga. they only say what their orange leader tells them to say.

[@matthightower1570]

​@@supertec2023newsflash: most of what maga believes is in the Bible isn't in the Bible

[@Lobod287]

@supertec2023 I mean, even that's hard for Maga. They worship an adulterous, thieving, money hoarding, judgemental, vengeful charlatan who's platform is 50% hate your neighbor and 50% false witness. Oh, and let's not forget the time he spread his arms to the heavens and proclaimed himself the chosen one.

[@abl7341]

All higher educated information and knowledge seems to be difficult for MAGA. Truth seems to be a diuficult concept as well. I grew up with family members in a sort of religious cult: Jehovah witnesses. Honestly I see some similarities in how they avoid truth at times and their sometimes odd perspective of the world. If the kids left the religion the parents were not allowed to speak to their own kids or other adults if they left… it is messed up.

[@PositionM20]

I agree 👏👏 Major manufacturing isn’t coming back to America. Corporations would instead invest in robots vs human labor costs in America

[@amandafrazier9724]

People don't understand that you can't just decide to bring an industry back once it's been outsourced. We don't even have the infrastructure for many of these things anymore.

[@PositionM20]

@ I agree

[@arcadiam9076]

I agree. Look at the money tech companies and institutional investors have going into A.I.

[@jukahri]

​@@amandafrazier9724 Well you can, but first you'd have to address the reason the industry was outsourced in the first place. Which in most cases means reducing labour costs, which in a country like the US where worker protection is but a punchline means lowering standards of living.

[@potatogun4238]

Lol there are tens of millions of manufacturing workers this week getting notices that there is no Christmas bonuses or over time and there will be wage cuts. So that they can try to stockpile materials to try to stay open for a few extra months after the tariffs hits. When Trump put tariffs on aluminum and steel in his first term it killed all manufacturing for parts for export. Just GM alone have to close 5 plants and move the factory equipment to Canada and Mexico and fired 50 some thousand employees. But they did re-open an Aluminum smeltery and created 3000 jobs to produce American aluminum. They went out of business 6 months later because they could not produce the wright blend of aluminum alloy anyone needed and the manufacturing cost made the aluminum 10x more expensive than internationally produced aluminum. If you think that sound scary take a few minutes to look into what is going to happen when they mass deport 90% of your labor force that produces your food from field to plate.

[@car2029]

I tried explaining to MAGA supporters that food prices will go up because migrants will be deported. Who’s going to pick fruits & vegetables. They got mad

[@michellereed3272]

It’s a recipe for another Great Depression. We’re screwed.

[@nicolaablett7790]

clearly

[@janetkriegl6720]

@@michellereed3272 Trump voters wanted to make sure the 1% carried on accumulating obscene wealth.

[@jacquelinezr]

Yep, three manufacturers in Pennsylvania just told employees there works be no Christmas bonuses because they need to save that money bc tariffs will make their materials much more expensive.

[@jasminejones5992]

Thank you for explaining this to people. Everybody can't make everything. That's why trade is important.

[@zeniascreativespace3890]

This is so true, I mean, look at all the ancient civilizations that thrived for thousands of years. It was because of multiple things, but especially trade.

[@jeremyoberg2409]

We live comfortably because we can print the global reserve currency and inject it into our economy through the banking system, government contracts, and government employment. But that's not going to last forever if we continue to let our debt balloon out of control. We have to learn how to make things here and stop relying on unethical working conditions hidden from view behind the boarders of other countries. We print money and use it to buy foreign goods that are made with unethical labor practices.

[@MustraOrdo]

Lost of Americans are evidently so high on their hubris (brought to you by your local self made**** billionaire corporations and oligarchs allowed by your bribed elected officials) thinking they can do and make everything themselves.

[@chass5438]

Exactly

[@conservativedestroyer4056]

And America knows that, that’s the the crazy part! We’ve trading since the triangle trade

[@canaan5337]

The time to use tariffs to save American manufacturing jobs was 1980, when Ronald Reagan was shipping them to China.

[@petersulewski]

this is a key point that the MAGA cultists don't care for. they rail against the "gLoBALiSTs" but the direction for globalism started under Reagan. They blame Clinton for NAFTA but 99% of the groundwork for that was done under Reagan and Bush Sr. if you read up on it's history

[@vv-cv6ud]

Exactly .. the ship has gone so far

[@AD-ub7ly]

how dare you dunk on the prophet of neoliberal economics???

[@tw8464]

Exactly. They're trying to stuff the cat back in the bag that's now impossible without wrecking the economy and pretend they "never" voted for Reagan. That is what these dam Republicans are. Never one bit of that "personal responsibility" for themselves. They wreck everything then hire a demagogue to tell them everything they want to hear and orchestrate scapegoats hurt anyone "below" them. It's disgusting. No one should believe their "personal responsibility" "family values" bs

[@brad433]

Tell me you didn’t watch the video without telling me you didn’t watch the video.

[@cjoyellow-bee6362]

Please post this on all social media platforms. I’ve listened to this guy before and he knows what he’s talking about.

[@stereo_future]

I feel like theres a tone in his voice that most economists will recognize after having to explain this multiple times. The fact that its pretty simple, logically, but that it requires thinking about not just the inmediate impact of a change, but the ripples a few steps away is what I think people miss and why it seems so basic to people in the field Thanks for this. Now I can just show it to people instead of walking them through it again and again

[@rogergeyer9851]

The people in the field (economists) LIVED this stuff and had a LOT of education on this stuff. Heck, they talked about comparative advantage in both of the basic intro. to Econ classes I had in college. Imagine what they learn in advanced degrees for Econ and as professionals in their careers. But MAGA arm wavers think they know more because they have intuition -- just like with science. It's beyond ludicrous.

[@yungrichnbroke5199]

I knew we were cooked when in non advanced high school classes, students couldn’t handle any instructions more than 2 steps long, even when printed.

[@user-zu5do6ri6r]

@stereo_future We already knew these things would happen. It will take decades to fix things if we start tomorrow.

[@WhatIsYourPurposeOfLife]

The real problem is PLANNED OBSOLENCE: Althought I agree, why do several poor people in other countries have to have pseudo slavery, just so that YOU can buy some cheap t-shirt in your country? EVERYBODY in the world should have minimum working conditions, even if that means you can't adhere to frenetic consumerism. The real problem is PLANNED OBSOLENCE: your t-shirt is not made of quality cotton, it is made of cheap polyesther and feel like needing another one after a year, same with lightbulbs, smartphones, home appliences... WE DONT need SLAVE LABOR, we need LESS GREED in the planet.

[@Teutathis]

Yeah, except he's quite clearly wrong and makes a very surface-level argument that cannot be generalized. Everyone who isn't a complete dum-dum understands that you can't use the textile industry as an example to explain why tariffing Chinese EVs is bad.

[@Grav3s07]

"BUT HE IS A BUSINESS MAN"... NOPE , HE IS A 🤡 RUNNING A CIRCUS 🎪

[@ncque]

"When a clown moves into a palace, he doesn't become a king. The palace becomes a circus." A Turkish proverb.

[@AlbertoMartinez765]

He ran all his business out of business and all in debt.

[@vitalucas9452]

No. He's a 🤡 that plans to MAKE GOLF ⛳️ GREAT AGAIN. And will buy more new golf carts for his secret service team and charge them to the taxpayers AGAIN.

[@wilcowiersma9465]

A conman would be better choice of words, I think.

[@vanessaj2551]

The great business man who declared bankruptcy 6 times. Yet Maga hates handouts! 😂

[@Colourmad314]

In Europe we don’t buy American as the quality is not up to standard and the food has ingredients that are banned.

[@ArkadiBolschek]

Are you sure about that? Any food that didn't comply with European health and safety standards wouldn't even be allowed for sale in the Euro zone, and nowadays _all_ clothes are made in China anyway.

[@Power_Prawnstar]

​@@ArkadiBolschekLots of GM stuff in Merican foods

[@Pseudoplaydo]

We make stuff in America?

[@d_rod3]

​@@ArkadiBolschek "We don't buy the food because it's banned" -Him "Are you sure about that? The food is banned" -You Excellent work.

[@SLYKM]

​@@d_rod3 i thonk the question is ablout the quality of the food.

[@ThatHabsburgMapGuy]

The Brits tried something similar to this back in 2016 with Brexit. Their currency crashed, economy shrank, and growth predicted to remain stagnant for the next 15 years.

[@hoonhwang4778]

Trumponomics linking taxcut and tariff is the most bizarre economic theory I ever encounter in my life.😮

[@williammorrill946]

You're assuming that Donald Trump knows ANYTHING about economics. His business record suggests otherwise.

[@johnc3525]

And linking lower inflation with 60% tariffs on almost everything we buy except food.

[@felinaotsu3161]

​​@@johnc3525except what he is planning to do is going to make inflation rise. Inflation is caused by the prices of goods and services going up, and tariffs make the prices of goods go up

[@lauchlanguddy1004]

its so bizarre, its not even economic theory

[@Belgian_Waffles988]

It’s a purposeful destruction of the American economy. He’s working for Putin.

[@professorplum3858]

My favorite new story is that the day after the election, a manufacturing company in Southern Pennsylvania had a meeting with all of their employees where the president of the company had to explain that they would receive no Christmas bonus this year. He then had to explain to his employees that it was an unfortunate consequence of the election because they now had to buy all of their materials before January 21st. He also had to explain to everyone there what a tariff was, and how they worked because most of them thought it meant the other country paid for it. In times like this, I always remember that time that Trump said he loves the poorly educated.

[@KMCA779]

The odds of that being real aren't 0 but in all likelihood that's a fake story. Not because any one part of it is unbelievable but because the entire story of it just sounds fake. If you do find out which company this supposedly was, I'd love a reply telling me because a bunch of us have tried and can't find it.

[@michellereed3272]

Our small business was affected by the first tariffs. We already know what’s going to happen. I’ve tried to explain this to Republican voters, but they won’t listen. Now, we’ll all suffer. I have zero tolerance for stupid people.

[@michellereed3272]

@@KMCA779I don’t know if the story is true or not, but I can guarantee that any business that was affected by those first tariffs like ours was are developing plans right now. Large distributors will most likely encourage their customers to stockpile raw materials as well to drive up their own sales and unload inventory. Our business can’t afford to do that, so we’ll be screwed.

[@bastogne315]

Brexit 😂 usa

[@ericjeroenjansen]

@@KMCA779 The good thing for those companies who are stockpiling now is that after the 21th of januari, when tariffs are in place, they will make an extra (tariff)profit on their product. Americans are screwed, you pay the tariff, any which way you go.

[@JackDaniels1965]

Trying to explain tariffs and economics to the average American citizen is liking trying to explain how gravity works to a snail.

[@tonypcoyle]

more to a gecko - they don't believe it applies to them.

[@KingOfAllJackals]

No point in explaining anything that can be written off as “fake news”. It’s been explained once in a way they can “understand” just like we “understood” eclipses were dragons eating the sun or meteor showers were falling stars.

[@RadScientist5068]

Like trying to explain Norway to a dog. 😅

[@bobdick815]

Strongly disagree. Vast majority have the ability to understand this if they were willing too. Make this into 16 tik toks.😅😅😅

[@shelch]

It's a pride and ego thing. I don't know nearly as much as this guy and even I knew tariffs are a bad idea. People just can't accept that someone knows more than them, their echo chamber has a low ceiling of intelligence and anything beyond that is a lie or wrong.

[@nickbroughton928]

Thanks for breaking this down for people. I get angery recognition from people telling me im wrong when I attempt to explain this. And it seems like everyone I talk too are absolutely clueless about it.

[@Tindog81476]

No I agree I worked in manufacturing people don't realize how the whole system works. Our biggest expense was tool bits, those were not cheap if you put a tariff on those, absolutely nothing no matter how hard you try will ever be cheap again. How do you cut anything without tool bits, and while it may be great that we could make tool bits here... do we have the mines for the ore.. no... well then what are you making the tool bits from? Do we have the mills to make the tool bits? No... So even if we import the metal and make them here we are still paying tariffs... Yeah, unfortunately, people don't understand how manufacturing works. I can't wait until they see how much every single thing with a circuit board is going to cost, given everything is run by software nowadays... We tried making circuit parts here in the past, but everyone hated them because they had no quality control. Have fun America! Your gonna need it!

[@GlennaWitherspoon]

@Tindog81476 Good luck, American workers who voted for Trump!

[@brandonfitzgerald-eo3tk]

It's even worse than you can imagine because I'm not sure. If you know this but throughout our entire history we've never actually gotten rid of our past tariffs We had one sixty Years ago For european trucks and chicken and it's still on the book till this day so they don't go anywhere. It didn't have that much of an effect.Because it was really just something that's small

[@Wahba.]

​@brandonfitzgerald-eo3tk because after you put those on other countries put theirs on as a counter and now you have to negotiate with them. That's why they never go away

[@brandonfitzgerald-eo3tk]

@@Wahba. That depends, if the negotiations go well.Donald Isn't the best businessman when it comes up to that ability?And he's literally gonna do it across the board. Some people won't negotiate.Some people would just move their corporations to places Don't have a severe Tarffis

[@Wahba.]

@@brandonfitzgerald-eo3tk I don't think he's going to do a select all method because that's economical s*iside and honestly I don't see a way for him to implement this without it backfiring massively. It seems he want that federal income tax removed and this his way of getting that money back

[@arliss7132]

Tariffs are a great tax on the poor. Between inflation and tariffs this should be soul crushing on middle America. Don't worry though profits will be up 😂

[@Geechee-Man]

I’m glad you see it too!

[@felipenunez2058]

Yup gotta pay for all them tax cuts for elon musk and buddys somehow.

[@misterg4059]

I voted for Kamala but middle America needs to invest in the companies that will have higher profits by using trading apps. If you can’t beat them join them😅

[@BrettHoTep]

They won’t be up if people can’t afford to pay for the goods anymore. Companies will need to drop prices below the tariff amount. Inflation will still be high. This is going to destroy a lot of companies just like what happ3ned to farmers during trumps last term.

[@RaineInChaos]

Profits will still be up for the biggest businesses. Only small to medium size businesses will go under

[@NuckChorris509]

First thing you learn when you play Civilization, is that the other person who gets iron before you is your best friend.

[@marmantole]

Great job, America! You f’ed it up for everyone 👏

[@synthizzy2852]

Why is this on my recommendations NOW???!!! I NEEDED THIS WHEN IT CAME OUT TO CONVINCE MY STUPID FAMILY!!!!

[@SuperVixas]

Lol !! totaly get it i see some of these good videos after election

[@felinaotsu3161]

My guess? KZbin's recommendations were messed with so real information would not come up before the election. Now they no longer need to do it.

[@MrIgnorance]

It's between Kamala and Trump.... only Israel gonna win

[@rabbitblitzsgames6865]

Almost like it was hidden by a certain algorithm on purpose. Funny ive noticed all of the good videos only showed up in my feed after

[@ducklingscap897]

Well maybe it is still getting through to your family now… better seeing reason late than never

[@yvonnelane4735]

Someone on his "team" does have a plan. Pass legislation that will dilute the effect of unions and expand child labor, resulting in lower wages and fewer employee benefits. Lower the corporate tax rate and increase corporate revenue which will result in greater profits for the 1%. Just what the American people voted for.

[@oldauntzibby4395]

Shut down the Department of Education, privatize schools so only wealthy families can afford schools for their kids, then put unschooled kids into low wage jobs and the military.

[@jenwendy7]

Exactly

[@BagheerathePanther]

But if we reduce the cost of labor in the US we can make those products cheaper here! Slash wages, cut benefits, strip worker's protections and kill safety regulations so we can compete with China and Mexico! It's the patriotic thing to do! 😂

[@WhatIsYourPurposeOfLife]

The real problem is PLANNED OBSOLENCE: Althought I agree, why do several poor people in other countries have to have pseudo slavery, just so that YOU can buy some cheap t-shirt in your country? EVERYBODY in the world should have minimum working conditions, even if that means you can't adhere to frenetic consumerism. The real problem is PLANNED OBSOLENCE: your t-shirt is not made of quality cotton, it is made of cheap polyesther and feel like needing another one after a year, same with lightbulbs, smartphones, home appliences... WE DONT need SLAVE LABOR, we need LESS GREED in the planet.

[@elijaharvinger1178]

Don't forget deregulation will allow companies to waive over time pay, deny benefits, and do away with mandatory vacation time.

[@OneFootNFront]

Watching this for a second time bc it reminds me of my dad teaching me something about our world with every single conversation. He’s 77 now! I think I’ll give him a call ☺️

[@IMeMineWho]

I miss that..trust me..do that a lot!❤

[@BluejThompson]

God bless and protect him. My grandma is 86 and we speak at length everyday.

[@OneFootNFront]

@@BluejThompson AMEN! I greatly miss being a grandchild. Enjoy the time you have left with her 🫂

[@OneFootNFront]

@@IMeMineWho I’ll call him again after this call with my aunt. I’m so sorry for your loss 🫂

[@kjarakravik4837]

​@@BluejThompsonI speak with mine every day too ❤

[@pa209]

Unbelievable that Americans did not know this. But you know what he said, he likes the uneducated.

[@mopakiw]

As someone who barely knows the bare minimum about economics, this type of content is very useful and easy to grasp. I'm European, but I imagine that those Americans who do end up seeing this will understand. Either way, thanks for your contribution 💙

[@rogergeyer9851]

Well, you listen, and have some moderate level of educational background, so you are capable of learning and understanding. I expect LITTLE of that from MUCH of the MAGA crowd who elected Trump, sadly enough. Conspiracy theories and science denial and ignorance about basic reality (like math) will NOT put them in a place to grasp what is happening.

[@absolutelycitron1580]

It is a STRUGGLE to explain this to people. Like spend 45 minutes and get nowhere struggle. The only thing harder is explaining that the border with Mexico isn't open and immigrants aren't evil

[@mopakiw]

@@absolutelycitron1580 Politics are more complicated than they might appear to some at first glance. Having to explain what I believe are basics must be a hard task that I admittedly never had to do myself. I think it's commendable that you or anyone else is actively trying to convince people and I'm here to learn enough to do my part in it. One day we might "convert" enough people and perhaps a domino effect will follow. Fingers crossed.

[@BD_RMNCE]

Too late. And the maga idiots will just say "that's not how it works" as inflation skyrockets because their orange messiah told them so. 🤦‍♂️🤦‍♂️🤦‍♂️🤦‍♂️

[@lisamay4376]

I guess the majority will say they love higher prices as long as there isn’t a woman president.

[@rogergeyer9851]

They'll blame democrats, the rich, ANYONE but Trump and themselves and the GOP for following Trump.

[@lachinx]

Omg totally! Misogyny triumphs over common sense!

[@pinkycorpuz2618]

Never accountability, just rationalizing their dumb decisions

[@TEKnicalTEKnique]

@lisamay well stated!!

[@jmo0311]

​@@lachinxthat's not why she lost. Let's be honest.

[@toddspangler6669]

Pretend the Government wanted to pass 20% taxes on all goods that come from another State. My state can't grow certain fruits do to the location, soil, climate, etc. It's just not feasible.

[@bryansmith2479]

Well put it puts you at a competitive disadvantage . I personally believe the real reason for the tariffs has more to do with offsetting tax breaks for the billionaires than it does about manufacturing, thats just the excuse to further justify them

[@therizinosaurus214]

That is why you don't put tariffs on products you can't produce. You put them on products you already have a strong domestic production on. The owners and workers are voters, too. If foreign goods direct out compete and hundreds or thousands lose their job, you will be sure to hear about when they vote.

[@joshuayung5158]

​@therizinosaurus214 exactly. John doe needs a washing machine, but all washing machines are made in China and sold for $500, which is now subject to a 20% tariff. Does John wait 2 years for an American manufacturing company to spin up a factory and offer a $550 washing machine, but made in America? No, he pays $600.

[@Stichelfritz]

@@joshuayung5158and the American producer knows of the price for the Chinese one and raises the price to a bit below $600, still cheaper but compared to the previous price also more expensive. The CEO than can offer the shareholders a better diffident. Look the economy is booming just look at the Wallstreet figures. The men and women in the streets do not profit but hey they can work extra overtime without tax.

[@demidollar840]

@@therizinosaurus214this is so wrong. If the cost of local products are higher than Chinese imported goods and we put tariffs on Chinese goods to make them more expensive, that will just force local people like you to spend more money to buy the same things. It calls INFLATION. If the cost of local products are cheaper than Chinese imported goods, which is highly unlikely, then tariffs is useless as local people like you will only buy local products ignoring the imported substitutes. Now, tell me what kind of products you want to impose tariffs again?

[@siulesojayol2736]

I cannot comprehend how people can’t just think about this and realize where we’re heading

[@deboraheburnett8902]

Can I just comment on how much I love that this adorable dad hits the pause button on his quiet teatime to spit facts and school everyone?! Thank you sir for the much needed public service announcement. 📢

[@jenwendy7]

All while cuddling up next to a sloth plushy ❤

[@Dexter01992]

In Italy, we tried this in the late 1800s against France. It was such a massive lose-lose situation, we've dropped it mere years later after the massive amount of economical damages we've faced.

[@francelaferriere6106]

And that's why it's important to look at other countries and see what they do not to collapse the economy. It's never a good thing to think that "we can make it alone".

[@LuxNovuz]

Many of us here in the US see this, know this, but don't care. It hurts my brain to try and think of WHY they would do this. My fellow Americans make my brain melt sometimes.

[@peterlohnes1]

He also left out that USA is in trade deficit: they import more than they export. china will just slap a tariff on whatever the USA exports. If you’re saying USA clients will support a business : that’s impossible. Global sales far outnumber domestic sales. The whole reason free trade started was to get rid of these extra costs.

[@jonson856]

I wonder, when Trump looks at the trade deficit, does he not look into the causes? I mean before I blame the other country, I would ask myself maybe its a domestic issue. Example: 1. America is much more consumerist than other countries. 2. America is a road, car and petrol hungry country. 3. America has a much higher living standard than most other countries.

[@Demopans5990]

​@@jonson856 You could cut down on the trade deficit greatly by enforcing right to repair policies. Parts are generally less expensive than complete assemblies.

[@dr.wheezy3787]

Free trade is quite literally how economies started, i genuinely don’t understand how people don’t understand that it should always be the choice. We’re gonna see prices increases in so many things… taxes are already on the rise for 2026 and people still think that these tariffs won’t affect them 😂💀

[@LuxNovuz]

​@@dr.wheezy3787idk why people are so terrified of a global economy. A stronger economy for everyone is better, and let's us all move forward.

[@SteinErikDahle]

He sounds so frustrated and it makes so much sense... Idiocracy WAS NOT A DOCUMENTARY! 😒

[@marcilk7534]

There’s something I learned recently about Trump’s tariffs. When Trump put in tariffs in 2018, we had a reduction of 25k-30k in intermodal chassis. This is what is used to move shipping containers. So remember when we had a build up of ships at ports that couldn’t unload shipping containers? Same thing with rail? That was because of the shortage of those intermodal chassis. And the inflation that followed inflation was directly a result of the supply chain restrictions from covid.

[@AH-zs2yv]

I cannot wrap my mind around people who lived through Trumps first presidency, entailing his Covid response and his economic policies and basically said "yeah boy give me more of that". Like do people have the memory of a goldfish. He literally coasted and took credit for the hard work that the Obama administration did to recover us from *check notes*... another horrible Republican administration. Like I get, I truly do the Democrats have a ton of their own issues and middle America doesnt feel supported by them. However at a certain point what else can you do after you've exhausted all options to educate them on policy and the actual state of the economy using empirical data. People think we Liberal's are all out of touch, and sure maybe some the extremist are and that needs to change but at the same time its doesn't take a genius to understand basic economics. Like apply logic to come to a conclusion based on publically available data that study was taught in 4th grade.

[@AequitasArdor]

Most people don't understand the multiplying effects of the different circumstances that cause inflation either, & seem to have forgotten that we were in the middle of a pandemic.

[@jamesbowen2105]

In part, more factors entangled. Real market supply issues, fedetal reserve printing record amounts of artificial money, Government spending record amounts of deficit funds and supplyside policy that encouraged cuts in domestic production to raise prices and profits...

[@samjones9600]

The inflation was primarily caused by the stimmies and welfare. The solution to 90+% of inflation is cut all welfare.

[@marcilk7534]

@ we had the same “welfare” benefits for a long time now. It didn’t just magically cause high inflation for the two years post covid and go down again. Having an opinion is easy. You have to back it up with some knowledge for it to be worthwhile to anyone but yourself.

[@AnonVideos]

This man is correct. Thank you for understanding. It is so draining to try to explain concepts to some people, I don’t have any patience or enough puppets and crayons

[@CapedBojji]

it's still better than Harris price control. I love how towards the end he litterally ex0lains why capitalism works. the solution is neither Harris or trump plan, just stop meddling in the economy

[@dethrocker]

​@CapedBojji he explained what Capitolism is?? Oh thank God for that 😂😂😂

[@oldauntzibby4395]

​@@CapedBojji What was a Harris price control policy? I missed that during the campaign.

[@WhatIsYourPurposeOfLife]

The real problem is PLANNED OBSOLENCE: Althought I agree, why do several poor people in other countries have to have pseudo slavery, just so that YOU can buy some cheap t-shirt in your country? EVERYBODY in the world should have minimum working conditions, even if that means you can't adhere to frenetic consumerism. The real problem is PLANNED OBSOLENCE: your t-shirt is not made of quality cotton, it is made of cheap polyesther and feel like needing another one after a year, same with lightbulbs, smartphones, home appliences... WE DONT need SLAVE LABOR, we need LESS GREED in the planet.

[@EffKayDownSouth]

An aspect that you've not touched on is what happened the last time that tariffs were applied on some raw materials like steels and iron. What happened was a tariff was applied to imported iron and steel and they ended up being more expensive than domestic sourced materials. So then the domestic producers simply raised their prices to be the same as the imports, because why not use import parity pricing? And in the end the buyers didn't switch suppliers because why would they as it costs the same and they have a working relationship with the suppliers of the imported materials. So things just got more expensive for nothing.

[@brandonchin7713]

That doesn’t make any sense. If the domestic market didn’t increase their market share then why would they increase prices? If domestic prices were cheaper then of course the sensible decision would be to buy from them instead of maintaining outdated relationships that are costing them more money.

[@mr_knowitall]

​@@brandonchin7713same market share, higher prices. In real markets, not every item is sold at the same price as one's competitors. It's like on Amazon, if you want to big something from the seller with the best price, but they've sold out, you go with the next seller who may be charging more. I'm not familiar with the OP's example in real life, but it does make sense to me. Domestic producers may not even have the capacity to take on higher demand, so they let China, or whoever, handle 90% of the market then charge their own rates for the remaining 10%. That's one way they could raise their prices without capturing market share.

[@EffKayDownSouth]

@@brandonchin7713 The intention of tariffs is that they are protectionist. Their aim is to create a domestic monopoly on certain goods such that the domestic producers have free reign to increase prices and make more money. The point of tariffs is not increase the market share of domestic producers. It's to create a price floor to make their business more profitable for them. And even if domestic producers resist the urge to increase prices, and even if they do experience a surge in demand for their goods, unless they are able and willing to dramatically increase output to meet that increased demand, they will soon run out of whatever they are supplying and their prices will then increase as demand outstrips supply.

[@OniSyphon]

Overnight conservatives just started hating free trade and capitalism. This timeline is so weird...😅

[@captianjolly]

When the drop ship bros figure out what tariffs are, I'm there to point and laugh.

[@maribelacosta450]

My son plays guitar. When he went to buy one at guitar center they explained to him that he can buy the one made in Mexico or the one made here. The same wood was used from California and the only difference was where it was assembled. The one in Mexico was 300 dollars less....guess which one he bought. Has had it for over 5 years and is his favorite guitar (has 6).

[@duangerous]

That's a great way to explain it to someone.

[@mariondean8499]

So, what’s your point?

[@j.dragon651]

@@mariondean8499 Think harder.

[@j.dragon651]

I have played for over 60 yrs and I have 250 dollar guitars made in China that play and sound just as good as my 3000 dollar guitars. USA made guitars are nothing more than a status symbol anymore.

[@vanessawortham3002]

​@@mariondean8499😂😂😂😂😂

[@Randomorph]

If your country has a strong sector, eg manufacturing, that you want to protect, Tariffs make sense to keep companies competing with "unfair" advantages from destroying that sector. Many countries out compete western nations on manufacturing by having extremely exploitative conditions for their workers. Horrible pay, hours, safety, etc. If this was 50+ years ago, Tariffs could have protected jobs, and ensured that people in some other country also weren't getting exploited for that job, since worker protections are much better in western countries. But it's too late now since those jobs have mostly been off-shored already. Free trade is good for business but terrible for the average worker since even though it drives down costs, it also drives down wages due to competition with exploitative markets. If all countries had a similar level of worker's rights, then it'd be a net win for all countries involved, since it will still reduce the cost of goods without driving down wages. Adding tariffs right now might eventually maybe possibly bring back manufacturing jobs. But the time until that happens will be extremely painful for most people. Massive shortages on goods, hyper-inflated costs, loss of jobs, etc. And that also presumes that the owning class doesn't just decide that robots are cheaper than western workers who have salary and safety demands, unlike exploited workers in other countries. The damage free trade has done to the western work force is already done and will be hard to reverse without even more damage to workers. Bringing back manufacturing jobs ultimately is something that requires a lot of finesse and gradual progress, and might not even be fully possible with modern technology incentivizing automation. TL;DR: Free Trade vs Tariffs is actually a very nuanced and difficult problem to solve. Free trade requires the trading partners to have similar worker value to be beneficial to the working class. Tariffs require an already strong sector and enough internal demand to not require exports to the tariffed countries to be beneficial to the working class.

[@Lobod287]

@Randomorph A very well thought out and articulate response. I often wondered about if developed countries came together to put a tariff on finished goods from areas with exploitative conditions on their workers. A kind of driving force to bring jobs to areas with higher worker protection, level the playing field of labor costs and add an incentive to those exploitative areas to modernize. We would need to invest pretty heavily in manufacturing capacity first, but I still think it's an interesting idea.

[@Randomorph]

@@Lobod287 Developed countries won't do that, since the exploitation in other countries is the point. When workers start getting demanding of fair treatment, companies either up and move to a more exploitable market, or, as is the case with USA, they destabilize countries to make for an exploitable market. That's why many countries that try to move towards socialism suddenly have a USA government backed coup, or have heavy embargoes and tariffs on them (eg Cuba). I do agree though, that would be a way for western nations to help improve standards in other countries indirectly. The problem is western nations are the ones benefiting from those poor standards in those countries in the first place.

[@Lobod287]

@Randomorph Agreed. There would need to be an aweful lot of people willing to bite the bullet for that, even if it did open domestic industry in the long term. Just a thought experiment I thought was interesting. Led to learning a lot more in depth about intermediary supply chains and considerations of whether those countries would just move to raw goods or if that would even be viable.

[@BoondockSaintRyan]

I agree with your points, because they're facts. The point you made about how tariffs will work mentions "other nations valuing workers and wages." This is the tool that poorer countries use to remain competitive. If those countries start paying workers as much as US and Canada make, they'll lose their advantage. If we use China as an example, we can see that they ACTUALLY INNOVATED over the past 20+ years (unlike Apple or Samsung). They knew they couldn't be Japan in the 1960-70s or South Korea in the 1990s. They didn't try making competitive ICE cars. Instead, they knew that they were leading the game in battery tech. They applied that to automotive manufacturing, perfected vertical integration and innovation, and are now leading the world in EV tech and manufacturing. They can't be caught or defeated. We should find what we're good at and stick to it. North America keeps fighting the transition to EVs. I say we throw in the towel and stick with ICE vehicles, but focus on making them smaller, lighter and more efficient. Let the engineers figure that out.

[@Randomorph]

@@BoondockSaintRyan It's not that countries use their exploitative worker conditions as an advantage, it's that those conditions exist that these multinational companies go there for cheap labour. Keep in mind these huge companies often make massive profits. China did do a crazy amount of innovation in a number of sectors, in particular green energy generation and storage, but that doesn't mean they can't be caught. The US in particular is just too focused on innovating only one thing: how to make the most amount of profits for the owning class. The greed is the problem, not other countries doing innovation. Saying we should just throw in the towel and commit to ICE vehicles when we're seeing report after report saying "Oh wait, we were actually too OPTIMISTIC about climate change" is so incredibly short sighted I don't even know what to say. EV technology exists and could be significantly cheaper than it is, but the oil industry and North American automotive manufacturers are lobbying extremely hard against it. Honestly the real solution isn't even EVs, it's getting other means of transportation such as trains, buses, trams, and bikes to be more commonplace and actually usable for the average person. China is focusing a lot on their trains and metros. EVs aren't here to save the world, they're here to save the car industry.

[@MarkousMajorSurf]

Truth! Love this man!

[@JourneyOnLife]

Registered Republican household here, We got you. Voted early! : ) 1st time blue💙 too! Yeah!💙💙💙 🙏🏼🇺🇲🇺🇦💙💛

[@shacktime]

THANK you🤙🏼

[@robertlee8805]

Me THANKS YOU. Let's HOPE we get Harris/Walz 2024. Those swing states I'm concerned about. Do they consist of MAGA? If so then we've won't have a country to be PROUD of being part of.

[@richnoggin7524]

Four more years of misery🤦

[@john2g1]

​@@richnoggin7524 okay I'm willing to feed you... For the sake of argument let's say that the last 4 years were misery. How exactly were the previous 4 years any better? Don't be vague tell me precisely what was better, and since you said misery it needs to be more than just one or two things.

[@breamstoms9987]

fist bump to you for voting blue! lets take back America!

[@Skyrmir]

For T-shirts the US actually makes massive amounts of cotton fabric and linen. Then we send all that to China, they turn it into shirts and send it back. We don't have the labor and machines to make clothing on mass scale any more. That was all off shored. As an example of US tariffs though, take a look at the Johnson amendment that was meant to protect the US ship building industry. You know, the industry that has completely collapsed outside of building for the Navy.

[@Thekidisalright]

Basically you just proved his point lol

[@WhatIsYourPurposeOfLife]

Greatly put, sir. I will add that: The real problem is PLANNED OBSOLENCE: why do several poor people in other countries have to have pseudo slavery, just so that YOU can buy some cheap t-shirt in your country? EVERYBODY in the world should have minimum working conditions, even if that means you can't adhere to frenetic consumerism. The real problem is PLANNED OBSOLENCE: your t-shirt is not made of quality cotton, it is made of cheap polyesther and feels like needing another one after a year, same with lightbulbs, smartphones, home appliences... WE DONT need SLAVE LABOR, we need LESS GREED in the planet. Economy should not be based on how many times they can made you need to replace something (before, people just fixed, things were reused, there was no waste)

It is not competitive but comparative advantage. And the thing is much more refined. Economics is insanely complicated when done right. That being said, this guy gets it.

[@HonestVirtue315]

As someone who works in a department that sources parts, this is not a a easy "light switch" solution there will literally be a long term recession and millions of Americans out of work for years before any supposed benefits would come out of increasing tarriffs.

[@yinchiu85]

That’s economy 101 that Trump doesn’t understand

[@shacktime]

The Venn diagram of addicts and former addicts & Trump supporters is terrifyingly close to a circle. Almost all the people I know who still support Trump have a history of substance abuse.

[@wnose]

Trump also doesn't understand that other countries can place tariffs on American goods and services. That's going to wipe out American companies who depend on exports. Boeing (171,000 employees) would lose up to 70% of its revenue.

[@CoryPchajek]

That’s because he’s never been an actual business man. Just a grifter. Just like Musk has never been an actual engineer.

[@cobrakai388]

@@CoryPchajek 🎯🎯🎯

[@cobrakai388]

Reason why the BIBLE MERCHANT have multiple bankruptcies.

[@Adyen11234]

I actually saw someone argue that the US *needs* those low level jobs that other countries has a competitive advantage in. And my thought was "geez. Maybe if the US' education system wasn't a mess, it wouldn't."

[@matten_zero]

As we are seeing with tech layoffs, you can only have so many people working office jobs in an economy. It is an externality to not have some low skilled jobs for people to do. Academia is capped and many PhDs are underpaid. People with bachelor's degrees can't find adequate employment. And not to mention how much the AMA caps medical school admissions. The problem isn't a lack of education. If anything we have too many college graduates who are all underemployed.

[@Adyen11234]

@@matten_zero Well, yes some is needed... but that goes back into the competitive advantage argument: The US has a lot of highly educated people, and they are working as if they're uneducated people. Which means that businesses should be creating jobs in sectors that need those kinds of people, cause otherwise it's a waste for companies that actually need that kind of workforce, and a waste for those workers who paid to be highly educated.

[@Poemi10304]

@@matten_zeroYet there are still high-paying jobs in the U.S. that aren't able to find qualified Americans with higher degrees, and need to hire those people from overseas. I've heard this specifically in regard to tech, where they have no choice but to hire from China or India.

[@matten_zero]

@Poemi10304 in the age of massive tech layoffs you believe there is a shortage of labor?

[@matten_zero]

@@Adyen11234 this is not a new phenomenon. In theory you are correct but that's not defacto how it plays out. Esp given how expensive these degrees are. This is a non-issue in the trades though.

[@TonkarzOfSolSystem]

I don’t know who this guy is but he’s good at explaining stuff.

[@cannibalbananas]

I don't know why we can't understand and agree that a global economy is better for everyone overall instead of isolationism. This guy spells it all out so well 👍

[@majesticmajestic7058]

Because there's an imbalance and not everyone is going to be an app designer, etc. plus those other countries are producing programmers and coders, etc. It basically comes down to the American citizen lowering their standard of living so that the corporations who have become global can benefit.

[@KarlGainey]

We’ve seen this with American Apparel. All clothes were made here. Tshirts were $50-$70 15 years ago. Meanwhile the same shirt at Banana Republic would be $10. We are quickly heading to the Find-Out half of the equation.

[@patrickdix772]

Even if labor cost the same in the USA as other countries, the sheer cost of building one factory in the USA to meet demand is huge. If 99% of all of a product is inported, that means there's almost no domestic production, so the imported product costs go up and the locally produced products also goes up to try and cover the setup costs, on top all the other supply chain costs.

[@fannyalbi9040]

let say labour cost is the same, but usd is much higher than most countries, competitive disadvantage is still there. oh well...

[@srikrishna2561]

​@@fannyalbi9040Inflated Value of the US Dollar Right ?

[@209bornandbred]

To get a better America we need a better education system at every level. More content like this would go a long way, but how do you get it to reach the ppl that need it? The problem is many ppl listen to right wing podcasters/influencers (who in general want to pay no taxes or be able to grift with no legal consequence, so they push an agenda) tell them pro right-wing bs, then claim they did their "research," which they then believe with no question... and if u try to point out that its wrong or that there is conflicting information, they often dig in their heels even more.

[@michellereed3272]

Unfortunately, stupid people will only learn from experiencing hardship, pain and suffering. When they feel it in their bank accounts and lose their jobs, then they’ll learn. It’s akin to an addict that hits rock bottom.

[@jarenfromvenus]

They’re anti intellectual and they’ve been groomed to not think very hard about policy.

[@raoul_duke7253]

Yup. I’ve had the same kinds of conversations with my kids their whole lives… they knew what to do in the booth.

[@thesjd04]

Why are you not on CNN and MSNBC making this good sense every day. Please why?

[@Lalo3g1]

To preach to the choir? He needs to be on right wing outlets

[@wnose]

CNN is now Fox-news lite

[@AD-ub7ly]

@@Lalo3g1they already have their official economist/social science guru: thomas sowell.

[@clarencejones4717]

They want echo chambers.

[@j.richardson3638]

If it's not on Fox or X the MAGA zombies will say it's fake.

[@sparkk740]

It's unbelievable how many people don't understand the basic principles of business

[@JP-ve7or]

Is it though?

[@timothygibney159]

But Fox News talks about tax cuts

[@honeybadger1847]

Count me among them, I’m sad to say. I didn’t take an econ/finance class in either high school or college. I took stats instead, both at the undergrad and graduate level. I don’t regret this decision, but I’m ashamed of my ignorance. If you can point to any books or online tutorials that might help, I’d sure appreciate it.

[@thedarknessthatcomesbefore4279]

Including Trump himself.

[@marc21256]

The Chicken Tax (no, I'm not explaining, google it) protected profits for GM/Ford/Dodge, but didn't lower the cost to consumers or save jobs (until almost 50 years later, when companies like Toyota make US-only trucks in the US). Also, a 25% tax on a $0.25 shirt that's sold in stores for $20 isn't going to hurt anyone or generate the revenue you think. If there was a 25% tariff on t-shirts, expect Gap to buy the shirt in Malaysia for $0.25, and show the import cost as $0.25, for a tariff of $0.0625. Then they pay post-tariff costs back to transport, and other costs. The cost of the shirt to them in the US is $2, but they will defraud the US government out of the $0.4375 per shirt, to keep their costs down, but expect them to jack up the prices in the store 50% or more and blame the tax. Tariffs can't work in the manner they always have. They either need to be a national sales tax, or abolished. The other way to work tariffs is to have a UN department that measures every country on a sliding scale for the "cost" of working locally. So places with no worker rights, no worker safety, and no environmental controls will have a high tariff rate, and places with the best conditions will have the lowest tariff rate. That will be fair, and can be applied globally, to increase local production everywhere, not drive bad behavior in companies to dodge taxes.

[@salce_with_onion]

Sounds awfully like globalism and socialism. Can't have it in USA I am afraid

[@demidollar840]

UN department idea is not feasible. China has the veto right. The world is a jungle rather than a civilized society ruled by law.

[@adkdan]

The same thing happened when the price of copper spiked 20 years ago. If you went to the hardware store to buy a copper fitting, the price on a 3 dollar fitting would be a dollar higher @$4, even though the fitting weighed an ounce and the price of copper went up 2 dollars a pound, not a dollar an ounce. That price also never came back down when the copper market correction occurred.

[@docwatson1134]

I agree with everything he said. But there is a national security consideration, or as we learned from covid, supply chain issues to be concerned about. It really requires a holistic approach. Identifying key industries and products, providing grants and subsidies in the short term to get new businesses established. And tariffs on those specific products to make them more expensive, so that the domestic producers can sell at a price where they can be profitable. The key is to make a public commitment, so businesses can plan for future growth. And to reduce the tariffs and subsidies slowly over a period of years once the domestic manufacturing has established a market share, and has covered all the costs associated with getting established as an industry here in America. That takes intelligence, good leadership, and a coherent fact based planning process. And political parties that will cooperate with each other, and put people's needs first, not succumb to corporate bribes. That isn't going to happen soon. Maybe in a few years. If you know people who don't understand this, please make an effort to educate them. We need better educated voters.

[@imdatdude53]

There was a whole campaign during the 80s and early 90s to buy American, and the whole nade in america tag.....and the thing I remember growing up was that the products were of low qualify

[@beccangavin]

And expensive.

[@suides4810]

And not made in Amerika.

[@Stefan_Van_pellicom]

In Europe we still don’t see most American built products as high quality…

[@rogergeyer9851]

That was a big thing with Walmart, for example. But over time, with the Chinese making a lot of stuff far cheaper, and in some cases better or at least as good, Walmart abandoned that -- they need to compete for customers too.

[@jessicavitale3408]

@@imdatdude53 because Walmart was making them outside of the USA and placing signs around the stores saying it was made un the US. I think Dateline exposed them for that

[@loyalhearted6101]

Any economist know that tariffs will do more harm than good.

[@Powerbear26]

I wish the news has more economist on to break down policies and what to expect

[@crawkn]

As a rule, what makes things less expensive is automation. We talk about labor productivity, but where manufacturing is concerned, it is far more relevant to speak of machine productivity. It will be very expensive to automate the many tasks now done by hand with cheap labor, but when it has happened, domestic manufacturing will be price competitive. But doing it for everything isn't efficient.

[@bluesun2001]

What he is saying is what i learned in Economics Foundations class in the Uni and now learning once again in Economics Grad school (MBA).

[@jeremyoberg2409]

Here are some counter points. What do you think? 1. We're not just competing with lower cost labor. We're competing with slave labor and unethical working conditions. 2. He makes the assumption that everything is tariffed, but not everything has to be tartiffed if it doesn't make sense, and not everything has to be tariffed at the same amount. 3. Our competitive advantage is innovation. By putting tariffs on unethically low-cost labor, we could make it worth the investment to figure out how to make those things using automation and the associated high paying jobs to build and maintain the automation. And, ultimately, bring the cost down further in the long run. 4. The U.S. dollar as the global reserve currency allows us to have more while doing less because our country can print U.S. dollars to feed the U.S. economy through government contracts and government employment without actually producing anything of value. No other country can print U.S. dollars to buy foreign goods with. But, the U.S. dollar's reign as the global reserve currency could very well be coming to an end if we continue to allow our debt to stack up. 5. We are taxed on income. In other words, we are penalized for working to fund the federal government. I'd rather be penalized for buying foreign goods to fund the federal government and have the opportunity to save money by buying from my neighbors. 6. Putting pressure on using local resources reduces fossil fuel usage for shipping.

[@Domklotz]

I can’t help but feel like “foreign labor is just cheaper” is a way of saying “exploit the poor there, it’s easier than dealing with the poor here.”

[@TheBoogerJames]

neo-liberal economists like to gloss over that point as it doesn't fit the "free markets solve everything" narrative. Labor is cheaper in other countries because they don't have the worker protections we do in the US. In this case, "competitive advantage" is just a euphemism for "allowed to exploit workers."

[@charlesmartin7536]

The .... 'global economy' chooses lowest places to pay labor costs. Avoids countries with pesky minimum wages, unions, law/policies protecting worker rights... But of course the finger of shame is pointed to the countries being 'exploited' by the corporations, as to why local manufacturing was shut down.

[@TheFlohRiDa]

Describe that as you want, i think the key point was the fact that the average Voter is the one thats hit wirh higher prices at the end anyways.

[@MynameisBrianZX]

Hypothetically, it’s very possible for another country to just have lower living costs that match their lower wages. In practice, it’s China.

[@TheBoogerJames]

@@MynameisBrianZX They also have nets outside the factory windows to catch the workers who try to unalive themselves due to the brutal working conditions. Neo-liberal economics is really good at creating "just so" stories that sound nice but tend to fall apart when confronted with reality.

[@ModusVivendiMedia]

Even if everything could be made in the US for the same cost as the imported products are, the tariffs would just give US sellers license to raise prices to the same as, or just below, that of the foreign products (including tariffs), pocketing the difference as profit.

[@konstellashon1364]

Exactly, greed! The tariffs on washing machines led to both domestic and foreign companies raising prices. Even on dryers which technically weren't affected. Companies made dryers more expensive just because they could.

[@NuggetGal]

the biggest thing is that countries will just tariff you back. the idea that they can't is so UScentric that it both hurts and is disgusting. The USA is the world's largest agricultural exporter. It is most certainly weak to foreign tariffs because of that.

[@tylermacdonald8924]

Reps thinking the economy will get better purely through their force of will. Cmon people

[@rogergeyer9851]

They don't think it. They just want to win elections, and all they have to do is fool uneducated voters who think their intuition is better than actual scientific or economic knowledge. Trump. Congress. Governors. Mayors. Etc. This has been going on for generations. I'm not saying ALL politicians but I am saying MANY of them exploit this.

[@levibennett5166]

Fact; The vast majority if cotron grown in the US is trucked to Mezico to be milled and made into fabric. As a former logistics broker i cant tell you how many times we picked up cotton and drove past american mills to mexico.

[@therat1117]

You also get ridiculousness such as seafood caught in Scotland being shipped to Thailand to be processed to take advantage of greater worker exploitation in Thailand before being shipped back to Scotland to be sold. 'Free trade' in a nutshell.

[@Melissa-wx4lu]

@@therat1117 Wasn't there a big hoopla when people discovered that American-raised chickens were shipped to China for processing and then shipped back to America? It was quite a few years ago.

[@therat1117]

@@Melissa-wx4lu Similar issue, but yeah, that's also real. People really don't understand that the economy is designed to maximise profit, not be resource efficient (although some theorists bend themselves into knots trying to claim that it is).

[@NumberMXV]

"bUt mUh eGgZ aNd mUh gRoCeRiEs"

[@RichardFraser-y9t]

Never ' but our minimum wage '

[@razorwireclouds5708]

@@NumberMXV What do you mean? Prices are a major issue for the majority of the electorate.

[@GixxerRider1991]

@razorwireclouds5708 It is, but do people think deporting 90% of the ag labor force is going to bring prices down? It takes only a high school understanding of economics to see that Trump's plans are going to hurt consumers.

[@vidaes6503]

​@@razorwireclouds5708 I believe the sarcasm is not about inflation not being a real issue that people face, but that those people blamed the administration that kept inflation lower than in other developed countries, and voted for the candidate proposing inflationary economic policies.

[@aminurrrr0621]

aNd MUH GUNZ! 🤠

[@MRT408]

Every policy that these politicians want have advantages and disadvantages, the question people should ask is does the pros outweigh the cons.

[@jackblack4367]

I started getting involved in following political news in 1980. The reagan era. I could see how it effected me. Today, a lot of people could care less about what is really happening in politics today. I question, is this by design? Or, are we getting dummer? If so. Watch the movie "Idiocracy". We just elected president Dwayne Elizando Mountain Dew Camacho. By the way. Nice explination on terrifs.

[@christinesoto5565]

I was saying this exact thing about "Idiocracy". Our country won't elect an articulate candidate cause they sound different!🤦‍♀️ I fear what's to come when he gets rid of the Dept of Education!

[@aminurrrr0621]

*dumber

[@dogisluvdogluvs8572]

Companies will just raise their prices to make more money. Auto companies in the 80s went to congress and begged for 25% tariffs on foreign auto companies. Law passed, and what did they do? Raised prices 25% to make more money.

[@joshuawoodward9206]

That's the point though. Tariffs make it easier for domestic jobs to compete with countries that have lower costs. Which means everyone has to pay more to buy a specific product. It's stupid to tariff everything when domestic producers don't need the help.

[@clairechatters-elf9143]

Best explanation if tariffs and trade ever! Thank you

[@peterhansen5804]

Thank you for the economics class, now please include teaching geography - both sorely needed

[@alexthefae]

We do have to stop exporting jobs and bring alot of them back but tariffs is not the way todo it. We need more unionizing, increased minimum wage, socialized housing, and inflation caps on prices.

[@matten_zero]

How can you do that if companies at first sign of workers wanting to keep pace with inflation can just offshore their job away? There are some externalities and I don't see how tariffs aren't the solution

[@anyaholmes9495]

​@matten_zero he literally just explained how tariffs aren't the solution. 🙄

[@catherinesanchez1185]

And education for the jobs that are in demand !!

[@rogergeyer9851]

As if economics didn't exist. You're not grasping the concept of comparative advantage and that raising prices makes consumers POORER.

[@demidollar840]

All of these will lead to more jobs cutting off. You guys need more education. Not only for understanding the basics, but for making a better life. I mean it.

[@jamesoldham9995]

It's funny how they called Kamala's price gouging ban "communism" but not Trump's tarrifs

[@maximillianafrancine1451]

That doesn't work either Let the markets decided

[@YEs69th420]

@@maximillianafrancine1451 Price gouging is a subversion of market forces, that's why the ban was being floated. It's a monopolistic behaviour.

[@jamesoldham9995]

@@YEs69th420 Do you idiots want cheaper groceries or not?

[@Javierm0n0]

Don't forget that markets can be manipulated. That's why new guidelines and laws need to be continually discussed, changed and implemented. ​@@maximillianafrancine1451

[@hasanmuttaqin464]

tariffs are peak capitalism, my guy

[@patriciahefner5126]

Fantastic! This should be seen by every high school graduating class. Great examples for street folk.

[@celxoirealyx]

The quote 'rich becomes richer, and the poor gets poorer' has never been so true. 💀

[@donk026]

These 2 videos about tarrifs are the best explanations of real world economics I've seen. New subscriber, thank you 🤟🏼

[@BoondockSaintRyan]

Yes, yes, yes!! Thank you for making this video. When trying to explain this concept to people, as we discuss the current and future status of the automotive industry, I'm mocked by others and labeled "a Communist," for pointing out what should be common sense. It's infuriating. Seeing someone who appears to be educated, level-headed and informed, I find it comforting. Our western society, and more importantly, our governments, needs to understand this and make the necessary changes. Let's do our homework, look to the past for proof of what works and doesn't work, and start fixing things for our future.

[@rmo9808]

The real kicker is that they are trying their best to remove people from the equation. The playing field levels out if you're only paying maintenance on a bunch of robots

[@rogergeyer9851]

With outfits like the UAW, etc, it's hard to blame them. Especially when Toyota makes better vehicles here, WITHOUT such unions.

[@rmo9808]

@rogergeyer9851 You got to think bigger. It's not the UAW. It's China/India/Indonesia/etc. No need to off shore labor. Cut out international transport costs.

[@markjoseph196]

If the US wants manufacturing to return back to mainland is to reduce basic pay to at least $9/10 per day ,not per hour.

[@Lenextran]

I respect his business mind and economic knowledge. Do he have a show or blog because I would love to hear more about his views and knowledge of running business and global businesses structures.. ❤😊

[@weliveinasimulation.]

There is another channel called clearvalue tax that should be exactly what you are looking for

[@josephdouglas6260]

I work in electronics manufacturing, and I don’t understand how people can be so naive… it takes decades to build out an industrial base, the factories wouldn’t even be finished by the time the economic situation collapsed and he lost ability to govern.

[@rogergeyer9851]

Why should we be surprised that the people who think vaccines are a conspiracy theory, along with climate change and green energy don't know squat about real-world economics? Total cluelessness re a decent education is a BIG pattern here.

[@michellereed3272]

Precisely why implementing tariffs without having a robust manufacturing industry already in place will fail.

[@MultiKatieBee]

Didn't Dumpster Don attend Wharton? Shouldn't he know all of this? 😆 😆 😆

[@jennk3628]

Attending and learning anything are two very different things 😂

[@TransmentalMe]

What is wild to me is that nobody seems to think that MAYBE he DOES know and that's the point, the collapse is his goal.

[@catherinesanchez1185]

One of his professors from there said he was the dumbest student he’d ever had . I don’t think he ever received his masters . I think he just went to work for his dad

[@rogergeyer9851]

Do you think Dubya took advantage of a good Princeton education and Harvard Business School? Just going to a good school and making C's doesn't mean much.

[@jessicavitale3408]

@@MultiKatieBee Dumpster Don has forbidden any school thar he went to from releasing his transcripts. I bet he flunked a lot of those classes

[@roxiewatters1161]

In a nutshell, it causes a cluster F and the ones that get hurt the most are the people through taxes, job losses and inflation 🤷🏽‍♀️ Excellent explanation for those that don’t know 👏🏽