President Donald Trump’s long-threatened tariffs against Canada and Mexico went into effect Tuesday, putting global markets on edge and setting up costly retaliations by the United States’ North American allies.
And
President Trump has said “it’s a myth” that U.S. consumers will be paying for the tariffs through higher prices. But businesses dealing with cross-border trade with Mexico swiftly raised prices Tuesday.
Those who say that prices won't go up are eitther lying or they are denser than a lead brick if they truly believe that. The aluminum in everything from beer cans to trucks largely comes from Canadian producers because, thanks to cheap hydropower, they can smelt aluminum at less cost.
How much will this cost American consumers? More than any of the Felon's sycophants will admit. The prices for new cars and trucks are going to climb quite a bit. And when new car/truck prices skyrocket, so do the prices for used rides. We've seen this play before.
As for farmers, their exports are a prime target for retaliation.
Prices are going to rise just as inflation was easing. The economy, which was forecast to continue growing before the Fat Orange Bastard began mucking with it, is now forecast to contract.
A model utilized by the Federal Reserve Bank of Atlanta updated Monday to forecast an even steeper economic contraction, after first showing negative growth in its update last Friday.
The Atlanta Fed's GDPNow model had, up until the Feb. 28 update, been forecasting growth between 2-4% in line with most other models. ... But the Feb. 28 update of GDPNow saw a plummeting forecast from roughly that same 2%+ mark to -1.5%. The model updated Monday with an even more pessimistic outlook: -2.8%.
People who are under economic strain aren't schlepping their kids to Disney and other theme parks, so that'll hurt tourist states. Some red states slashed unemployment benefits, so those who will lose their jobs will suffer even more.
Looks like, thanks to the Trump Tariffs, we're heading into the Trumpcession. Be ready to see more homeless camps, a/k/a Trumpvilles, popping up here and there.
The Party of Hoover is living up to its nickname.
Don't say you weren't warned about this shit.
2 comments:
Now in a savings mode. Hunkering and Bunkering down for the economic followup to The Shithead's first term. Went back to work after that one just to replenish funds expended to cover higher costs. May have to come out of retirement again.
We warned and were warned. Time is up.
Eck!
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