I think this really drives home the problem with these kind of arbitrary tariffs / taxes:
>One of the country’s largest manufacturers is worse off now than it was six months ago. Last month, John Deere said net income in its most recent quarter was down 29 percent from a year earlier. Higher tariffs, primarily on steel but also on aluminum, have cost the company $300 million so far, with nearly another $300 million expected by the end of the year. This summer the company laid off 238 employees across factories in Illinois and Iowa.
>Yet John Deere is just the sort of manufacturing powerhouse that Mr. Trump says he wants more of in the United States. The company, based in Moline, Ill., has made farm equipment since 1837. Its green-and-yellow tractors, combines and sprayers help farmers feed the country and produce billions of dollars’ worth of crops for export.
As the article goes on it notes that the tariff fights have extended to hit US agricultural exports and of course that means farmers not bringing in money won't want to spend more on new equipment.
taylodl · 1d ago
Economic policy is nuanced. Trump is the opposite of nuance - he's a bull in a China shop. Moreover, Trump has never once demonstrated a basic understanding of business, finance, or economics. Things are going sideways as a result: we're witnessing economic contraction, fewer jobs, lower profits, and higher inflation. All of these outcomes were predicted.
I remember when the GOP were regarded as the fiscal experts, but that reputation has eroded since they sold the government to billionaires 20 years ago. Today, the GOP is the party of crony capitalism and regulatory capture.
I think this really drives home the problem with these kind of arbitrary tariffs / taxes:
>One of the country’s largest manufacturers is worse off now than it was six months ago. Last month, John Deere said net income in its most recent quarter was down 29 percent from a year earlier. Higher tariffs, primarily on steel but also on aluminum, have cost the company $300 million so far, with nearly another $300 million expected by the end of the year. This summer the company laid off 238 employees across factories in Illinois and Iowa.
>Yet John Deere is just the sort of manufacturing powerhouse that Mr. Trump says he wants more of in the United States. The company, based in Moline, Ill., has made farm equipment since 1837. Its green-and-yellow tractors, combines and sprayers help farmers feed the country and produce billions of dollars’ worth of crops for export.
As the article goes on it notes that the tariff fights have extended to hit US agricultural exports and of course that means farmers not bringing in money won't want to spend more on new equipment.
I remember when the GOP were regarded as the fiscal experts, but that reputation has eroded since they sold the government to billionaires 20 years ago. Today, the GOP is the party of crony capitalism and regulatory capture.