Posted on 12/02/2024 7:53:00 AM PST by marcusmaximus
Russia and China could face economic chaos after Donald Trump threatened BRICS nations with 100% tariffs on US imports.
The nine-strong alliance led by Russia and China, including Brazil, India, South Africa, Egypt, Ethiopia, Iran and the United Arab Emirates, has expressed frustration with the dominance of the US dollar.
According to the IMF, nearly all commodities, including oil and crops, are traded using the US dollar, accounting for around 58% of all foreign exchange reserves.
The bloc is set to be joined by applicants Turkey, Azerbaijan, and Malaysia. It has said it wants to trade in non-dollar currencies to end what it claims is America's stranglehold over the global banking system.
At the most recent BRICS summit in Kazan, Russian President Vladimir Putin said he planned to 'de-dollarise' the world economy
(Excerpt) Read more at express.co.uk ...
Biden was put in charge of Ukraine policy around early 2014. But remember, in the grand cosmic scheme of things, this is just a blink in the eye of a universe that's busy expanding and contemplating its own existence.
And your side thought President Trump was going to throw a victory parade for Putin…
- **Protection for Local Industries**: Tariffs can act as a shield, protecting domestic industries from cheaper foreign competition. Think of it as giving your local producers a VIP pass to a less crowded market. They've been used historically for this purpose, but like any good bouncer, they can sometimes get a bit too enthusiastic and overdo it, leading to unintended consequences like higher prices for consumers.[](https://en.wikipedia.org/wiki/Tariff)[](https://www.investopedia.com/news/what-are-tariffs-and-how-do-they-affect-you/)
- **Revenue Generation**: Once upon a time, before the era of income taxes, tariffs were the rock stars of government revenue. Now, they're more like the backup singers. They still bring in some cash, but they're not the main act. For instance, in 2023, tariffs contributed less than 2% to U.S. federal revenue.[](https://finance.yahoo.com/personal-finance/what-is-a-tariff-194059448.html)
- **The Price Hike Effect**: Tariffs often just pass the cost onto consumers. It's like if you're at a bar and the bouncer charges you an extra fee to enter, you're not likely to tip more generously for your drinks. Economists generally nod in agreement that this means higher prices for goods, reducing consumer welfare but giving a boost to domestic industries (at least for a while).[](https://www.cfr.org/backgrounder/what-are-tariffs)
- **Trade Wars**: Sometimes tariffs are thrown around like gauntlets in medieval times, leading to trade wars where countries retaliate with their own tariffs. This can escalate into everyone trying to out-tariff each other, which might benefit a few but often leaves everyone worse off, like a game of economic chicken.[](https://www.theguardian.com/world/2024/nov/29/what-are-tariffs-and-how-do-they-work-explained-in-30-seconds)[](https://www.bbc.com/news/articles/c20myx1erl6o)
- **Economic Impact**: While tariffs might protect jobs in certain sectors, they can also lead to job losses in industries that rely on imports for raw materials or components. It's a bit like trying to keep all the water in one compartment of a sinking ship; you might save that section, but the rest could go under.[](https://taxfoundation.org/research/all/federal/tariffs/)
So, do tariffs work? Well, they work in the sense that they can achieve specific short-term goals like protecting certain industries or raising some revenue. But in the grand, cosmic dance of economic policy, they're often seen as a move that's out of step with the free trade waltz most economists prefer. They can indeed be a double-edged sword, slicing through consumer wallets while trying to carve a niche for domestic producers. However, like many things in life, their effectiveness depends on how they're used and the broader economic context.
These dumbass bedwetters actually think the bargaining process is over. What children (I apologize to actual children for equating them with these whiners)!
What it comes down to is that China will make their markets open to us; and we’ll adjust tariffs accordingly.
President Trump just nuked Putin’s BRICS currency. And President Vance will keep it dead.
These dumbass bedwetters actually think the bargaining process is over. What children (I apologize to actual children for equating them with these whiners)!
What it comes down to is that China will make their markets open to us; and we’ll adjust tariffs accordingly.
Idiot Liberals seem to assume that all change is good. Doing some or most or all of major international trade in non-dollar currency could be a very very very bad thing. China and Russia are not exactly the most honest brokers on the block.
And the simple truth is, if Mr. Trump can't get Congress to control spending and our sky-rocketing debt, the US dollar will continue to inflate until... well, it won't just be the BRICS countries that look elsewhere for a stable currency...
I disagree. 13 former colonies on the arse end of the world consistently used tariffs to build local industries and economies to became the industrial power of the world. The name of that country is the United States of America.
Incontrovertible.
.
Meanwhile:
Emil Kastehelmi
@emilkastehelmi
This fall has been grim for Ukraine. According to our assessment, between 1 September and 30 November, the Russians captured over 1600 km2 in Ukraine, and retook roughly 500 km2 in Kursk. The rate of advance accelerated every month, despite the Russians suffering heavy losses.
The BRICS coalition is an attempt by Russia and China to nibble at the dollar’s central role in America’s global economic and financial power. Trump will break up the BRICS coalition with threats and exemplary beat downs.
The “Free Trade Waltz” is what got us here. It doesn’t have to be all free trade no brakes OR all Tariffs. There is a spot far away from the Free Trade Waltz that will work well for everyone. The pendulum has been stuck on Free Tradecat all costs for so long that people think that’s normal and not destructive.
They are applied at the point of manufacturing...that is the original Wholesale price...
So a 10% tariff applied to the original manufacturers price out the door for bulk quantities goes down to small fractional increase by the time the consumer purchased it.
I have bought several of those 100 trillion and 100 billion dollar Zimbabwe notes off of EBAY. They make great Christmas gifts. People always seem to get a kick out of them.
Aren’t there overwhelming sanctions on Russia already?
This is what happened with lumber over the last 35 years. Lumber is a commodity. It is standardized. So with the exception of species preference they can choose to buy the least expensive. So, people in New England tend to mostly buy lumber out of northern New England or Quebec. That is because the freight is cheapest into that region.
People in the southeast US tend to buy mostly southern Yellow pine. That is because there are mills right there producing it.
My company at one point was buying Russian boards. Then a 30% tariff went on all lumber coming out of Russia when they invaded Ukraine. We stopped buying it because it was too expensive in relation to the same product out of Germany, Austria, Finland, Estonia, Sweden or Lithuania,
Many of our automotive companies have outsourced their steel castings to China, India and Brazil because rules, regulations and unions have made it to expensive to run foundries in the USA.
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