re: Trumps actions are by design to lower interest rates so we sell $9 trillion in new bonds

Populist nationalism or bust. I support Trumps actions in this war 100%.

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If this was the case, why doesn’t Trump just say that?

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I'm still torn on the strategy, but it doesn't really matter what Trump says. You're asking for Trump to say something and expect the media to report it, if well intentioned and smart, as well intentioned and smart.

Literally never happens.

They would rip any strategy he reports apart. Therefore, he usually uses his public statements and publicly stated goals differently. Sometimes to trap democrats and the media, sometimes to bring people to the cause, etc. I will say, Trump does a great job of using his statements for a variety of reasons like that.

I assume the tarrif talk is to get the simple message out that the rest of the world takes advantage of the US in unfair ways, which is true, and that we need to change some of the dynamics.

Within a complex change of economic policy, that is one of the goals. And thats all we needs. Painting it as unfair will also hopefully make enough people ready to deal with a little pain, which we need to do in general.

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And crushing the economy on purpose is not what his campaign promised.

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Maybe I’m delusional but he definitely said thousand times it would not be easy to reverse Bidenonomics.

Its Month 3/48…. I rather him do it now & do it deliberately.

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Maybe I’m delusional but he definitely said thousand times it would not be easy to reverse Bidenonomics. Its Month 3/48…. I rather him do it now & do it deliberately.

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I hear ya, but taking a step back... This isn’t Covid thrust upon you, he went on offense, aggressively with insults and trade wars.

Through month 3, the chaos has resulted in serious losses both politically and economically.

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We already know how you feel. Do you care to address the topic?

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Can't speak for someone else

But let's just say the topic of this thread is the real reason behind the trade war. Fine. That would be a positive outcome. But we do have to acknowledge that this is a gamble. Everything is a trade off. Does the benefit of refinancing a portion of the debt outweigh the negative costs of such a gamble? The real answer isn't known because it is in fact a gamble. I don't mind the government taking some risks here and there and in some cases I think we're too conservative when it comes to taking risks. This outcome is unknown at this point. And to be clear I'm not really worried about the markets. That will more likely than not correct itself over time if things work out in our favor. International relationships are probably the most important thing to consider at this point. Because like it or not we're not going to be isolationists. It doesn't make sense to be. It is completely unknown at this point how things will play out. I'm willing to take a leap of faith and say that the plan is more well thought out than the initial tariff deployment would suggest and the plan is more complex than any of us understand. That's really all an optimist can do at this point. And I'm generally optimistic on the future of America regardless of leadership.

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crushing the economy

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The new far left talking point

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MAGA

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TDS

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Do you deny Trump wants to devalue the dollar?

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He doesnt want to devalue the dollar

No its not. And just cause you will repeat that 100 times today wont make it come true

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The Trump administration wants to use them in the process of restructuring global trade and weaken the dollar, although they say outwardly that they want a strong dollar. The reason for a weaker dollar would be to reduce borrowing costs, as Jim Bianco, founder of research and analysis firm Bianco Research, told Bloomberg. If the dollar is worth less, so is the total debt.

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FYI, this is an example of economists, or others such as Jim Bianco pretending to be economists, relying on rote rather than rationale.

If the emphasis is management of the cost of borrowing (c-of-c), as it presently is, a combination of market fear, plus a strong dollar, allows downward pressure on T-bills/bonds which lowers US borrowing costs and c-of-c on the debt. That along with tariff revenue narrows the revenue-expenditure gap in our budgeting.

Weakening the dollar does just the opposite.
Weakening the USD may well be a point of emphasis if we get to the point where we are paying debt down. But we aren't there. Meanwhile, as we accrue more debt, a weak USD equates to both a higher amount of borrow and higher borrowing costs supporting those weaker USDs.