If Donald Trump had his way, your iPhone would be insanely pricey

CNET ^ | January 19, 2016 | Roger Cheng

[Kenny]

But isn’t Trump in a better position to understand policy and ramifications than any other candidate in this race?

Others get in and have to take their advisors advice as gospel because they have zero knowledge of finance. I can’t imagine Trump would want to fail in this area because of his reputation.

[riverdawg]

I value Trump’s experience and expertise in business. However, I think his position on tariffs is based on emotions rather than analysis.

[Marie]

That’s only if Apple continues to keep its huge profit margin. They’d be forced to stop raking it in to keep the company going.

Just like other American companies.

[CodeToad]

BS. The iPhone would increase maybe $10-$20 from its $650 price tag.

Apple would simply take less profit; you know, the $200 billion cash reserves they brag about, all the while also bragging about how they use cheap Chinese labor to get it.

[central_va]

You forgot to mention the Apple CEO says Americans are to lazy and stupid to build iphones and they must have gook labor to survive.

[AustinBill]

Actually, the next wave in manufacturing, agriculture, and service industries will be the mass deployment of robotics and the move to "onshore", along with capital repatriation and cutting off illegal immigrant workers will jump start that in a major way here.

So yes, Apple will make iPhones locally, but that isn't going to translate into a million new hires.

[minnesota_bound]

The iPhone is already very expensive.
Cut the ceo pay to help reduce costs.
http://money.cnn.com/2015/01/23/technology/tim-cook-pay/

Tim Cook’s Total Pay For 2014 Was Over $100 Million
http://www.businessinsider.com/heres-how-tim-cook-raked-in-over-100-million-in-2014-2015-1

[minnesota_bound]

I worry what Donald Trump will do as president. He and Ted Cruz are the best running but I do not like their support for the cheap labor express. Trump panders to everyone including corrupt people like the clintons so no surprise he supports bribing people. It is wrong of course. I wish we had better people running things instead of the crooks we do in too many areas.

[riverdawg]

Apple has monopoly power in the smartphone market; i.e., it faces a downward-sloping demand curve for its product. Cutting the pay of its CEO will not affect Apple's marginal revenue or its marginal cost of production. Profit-maximizing output and price would therefore be unchanged, but it's total profit would rise even further.

ECON 101

[dfwgator]

The smartphone market is maturing, it reaches a point where most smartphones will be “good enough” for a good period of time.

[riverdawg]

“The smartphone market is maturing, it reaches a point where most smartphones will be “good enough” for a good period of time.”

That may be true, and a good reason why Apple may reduce the price of the iPhone in the future. But it is irrelevant to whether lower CEO pay would cause Apple to reduce it’s prices, as some people claimed. It won’t.

[Zhang Fei]

http://www.techinsider.io/apple-product-prices-in-brazil-2015-8

[hinckley buzzard]

Got news for you. iPhones are insanely pricey now.