America's future hinges on one important question
www.abc.net.au
What's most important for Australia — and the entire Western world — is that America has fallen to anti-globalists, and they are carrying out a deep regime change in the style of an autocratic takeover.
  • xmunk@sh.itjust.works
    0·
    8 days ago

    I’m slow to buy into conspiracy theories but the fucker is doing everything I could think of to revert America to an economic backwater.

      • gigglybastard@lemmy.world
        0·
        8 days ago

        Hot damn, i am also not an economist, I had to read that article 3 times just to grasps what Yanis is trying to say.

        So in essence, when Trump and Musk said, brace for recession, it will have to be bad before it gets good, this article confirms it.

        Trump wants to devalue the dollar to boost exports and thus strengthen the domestic production?

        This i don’t understand though:

        This is what his critics do not understand. They mistakenly think that he thinks that his tariffs will reduce America’s trade deficit on their own. He knows they will not. Their utility comes from their capacity to shock foreign central bankers into reducing domestic interest rates. Consequently, the euro, the yen and the renminbi will soften relative to the dollar. This will cancel out the price hikes of goods imported into the US, and leave the prices American consumers pay unaffected. The tariffed countries will be in effect paying for Trump’s tariffs.

        So foreign currencies will also soften relative to the dollar? How can all currencies devalue at the same time? Is he trying to create world wide recession ?

        If someone could ELI5 for us, that’d be great.

        Another thing I’d like to mention, I respect Yanis a lot but Trump has never given us any indication he indeed thinks and understands economics on this level. Maybe he treats us all as dumbasses and dumbs it down for us but the truth is, he has never spoken in terms that would indicate he understands economy at this level. So he’s either getting muppetered by others or Yanis is giving him too much credit.

        • seeigel@feddit.orgEnglish
          2·
          5 days ago

          The part didn’t make sense to me for another reason: When there are 25% tariffs, should the other currencies devalue 25% to compensate?

          But then, everything but the tariffed goods are much cheaper.

          Would you be interested in posting the question to AskLemmy? Otherwise I would post it.

    • delgato@sh.itjust.works
      0·
      8 days ago

      It is actually incredible how even the most bipartisan bills are getting axed, like the CHIP act. I always knew he loathed Obama-Biden so much he would cancel any and everything they did but, man, it’s just sad to see he doesn’t have an ounce of decency.