re: Trump said he's prepared to raise tariffs as trade war with China heats up

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It’s not that simple, income for the producers doesn’t just disappear into a black hole, it affects the entire economy as they spend their additional income.

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But it’s time and time again show that the additional income is offset and usually outweighed by the loss of income by the consumers and the downstream industries. It benefits the few and harms the many.

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The purpose of Trump’s tariffs isn’t to just arbitrarily raise prices, it’s to force other countries to reduce their taxes on our goods so we can actually have free and fair trade.

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That’s been the argument for years, even when he was a primary candidate. It just seems like a poor tactic if the other side knows it and the risk is implementing harmful policies.

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They need to sell to our consumers much more than our consumers need to buy from them.

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Which is why we should naturally have an imbalance, why the imbalance grows when our economy grows, and why we have 35% or the total stock market capitalization. Everybody, foreign and domestic, wants to deal with the US more than anywhere else whether to sell something or invest their capital.