this post was submitted on 10 Nov 2024
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politics

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Summary

Americans, frustrated with high prices despite a strong economy, voted for change with Donald Trump’s election. Trump promises to reverse Biden-era policies, vowing steep tariffs, tax cuts, and mass deportations.

Economists warn his plans could worsen inflation, increase the federal deficit, and destabilize growth. The Peterson Institute predicts Trump's tariffs could drive up costs for American consumers, while deportations could shrink GDP by $5.1 trillion.

His proposed tax cuts could add $4.1 trillion to the deficit, while economists question his willingness to address fiscal imbalances through spending cuts.

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[–] [email protected] 43 points 1 week ago* (last edited 1 week ago) (8 children)

I am too, which is why am buying appliances I've been putting off and a gaming PC before the end of the year and getting my garden ready to go and got my deep freezer full of food.

Oh just to share the phyrric victory of Trump's last round of tariffs.

https://taxfoundation.org/blog/international-trade-commission-tariffs/

TLDR:

Through one lens, the tariff policy was a success. Imports of washers declined steadily between 2017 and 2022. The ITC reports that imports were 90 percent lower in 2022 than they were in 2017. As a consequence, the “domestic industry gained market share and improved its financial performance during the 2018-22 period,” the ITC determined.

The irony, however, is that the entire increase in domestic market share was driven by washers made by Samsung and LG in their new U.S. factories. The fortunes of the incumbent domestic manufacturers not only failed to improve—they continued to decline.

....

The results suggest that cheap imports were not the problem for incumbent domestic producers who sought protections, nor were the protectionist tariffs the solution. Incumbent producers proved unable to compete before and after the protections.

[–] [email protected] 8 points 1 week ago (3 children)

In the case of the washers it still generated USA based jobs. I think the major concern is things that aren't manufactured in the USA atscale or at all. Computer chips come to mind with the majority being imported. It'll take time to build factories and train workers.

[–] asret 2 points 1 week ago

Another concern is just where the labor is supposed to come from

The USA unemployment rate is currently below the long term average and they're planning for mass deportations.

What are they going to give up doing in order to restart basic manufacturing?

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