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aliasxneotoday at 3:04 PM4 repliesview on HN

Tariffs are bad. Unless you're not the US.


Replies

piskovtoday at 3:19 PM

1985

https://en.wikipedia.org/wiki/Plaza_Accord

The United States proposed a deal to France, Germany, Japan, and Britain (the G5): you buy up your own currencies, the dollar falls, and in return we reduce our budget deficit, meaning you no longer have to effectively finance U.S. development.

The United States agreed to reduce its budget deficit and lower interest rates. The other parties to the agreement committed to raising theirs. In addition, West Germany agreed to cut taxes, while Japan agreed to allow the yen to appreciate. As a result, over the following two years the U.S. dollar fell by 46% against the German mark and by 50% against the yen. However, the U.S. government ultimately failed to reduce its budget deficit. Meanwhile, the sharp appreciation of the yen made Japanese exporters less competitive in foreign markets. In the United States, by contrast, the period following the agreement saw substantial economic growth and low inflation.

A classic American move: promise the world — we’re all in this together, we’re marching toward a brighter future — and then screw everyone over.

Hammershafttoday at 7:02 PM

Economists universally think tariffs are dumb policy.

https://kentclarkcenter.org/surveys/steel-and-aluminum-tarif...

Literally 100% of the 50 expert economists polled by the Kent Clark Center think tariffs overall make Americans worse off.

Nobody in politics can say this simple truth because the rust belt states are critical swing states.

kennywinkertoday at 4:53 PM

Tariffs are bad unless you’re a domestic producer of a good that has just been tariffed, and now you have less competition and can raise your prices.

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KPGv2today at 3:24 PM

Here buddy, you dropped this straw.