I'm pretty sure that's exactly the point. Expand your thinking.
For decades now, manufacturing has left to go to overseas. Only to produce cheaper goods to import back into the US, making it impossible to compete with American made goods. So there goes jobs and entire industries that we used to have, gone. This is the problem.
So how do you remedy this? By making those goods too costly for that business model. So now companies have to make a choice. Either completely miss out on the American market, or they bring manufacturing back to the US, which brings back the jobs, and goods to potentially export. You got to remember, America at its peak was a manufacturing power house. And companies and shareholders are driven by maximizing profits and cornering markets, they don't hold any allegiance to countries or politics. They exist to make money.
Trump is simply trying to bring back what is tried and true, that worked in the past and still does today. It's very basic economics really. That's why the boomer generation is the wealthiest and the currency was still gold backed. That's why american made products from that era are some of the highest quality and built to last because companies back then actually had to compete, but by flooding the markets with cheap goods, by making the highest quality products they could better than their competitor. Hell, my grandmother who is 94 years old still has a fridge and a separate freezer from when my father was born in her garage, and they work perfectly even now. Meanwhile I'm having to replace my fridge every 6-7 years or so because they are made like crap with plastic components.
Sure but what you say, and I agree with it, has NOTHING to do with what Trump said.
He wants to maintain the dollar status as reserve currency and is threatening BRICS countries (which are PRODUCERS, and some of which like Russia are essentially self-sufficient) with...sanctions (?) if they try to replace the dollar.
That's the thing: that's an empty threat. The producer countries don't need the US which PRODUCES NOTHING, and they don't need to be attached to a dollar THAT HAS BEEN USED AS A WEAPON AGAINST THEM.
So what is Trump threatening them with? More sanctions? KEK.
I think it does because he's not one to make empty threats, and that point is where we disagree. So with that in mind, what can we interpret from the tweet?
I think he is implying that most of those countries (at this moment) NEED to maintain trade with the US. If I had to take a guess as to why, the US market probably makes up the largest part of their GDP, and without it, they would be up shits creek. They don't need us for producing, they need us for consuming. They NEED us to continue purchasing their goods (at this current time). The same way we NEED them to continue trade in dollars so we're not the ones up shits creek. Sure, they could trade amongst themselves... but I'm willing to bet it wouldn't be nearly enough to offset losing the US market at this stage of the game. Have you seen the price of imported produce in Russia, lol? Think about it, do you really think the average Russian is going to pay 4$ for a single mango or avocado? Forget about it. Those south american countries need us right now the same way we need them, until we can get off fiat and back to a dollar that's backed by something to restore balance in the markets. Then it can't be weaponized. But for that to happen, we need more time. We have to clean up our own house first and patch some wounds before we try to cut off the head of the beast.
So, besides (empty) threats & debt, what does the US have to offer to global markets?
This is not 1900.
I'm pretty sure that's exactly the point. Expand your thinking.
For decades now, manufacturing has left to go to overseas. Only to produce cheaper goods to import back into the US, making it impossible to compete with American made goods. So there goes jobs and entire industries that we used to have, gone. This is the problem.
So how do you remedy this? By making those goods too costly for that business model. So now companies have to make a choice. Either completely miss out on the American market, or they bring manufacturing back to the US, which brings back the jobs, and goods to potentially export. You got to remember, America at its peak was a manufacturing power house. And companies and shareholders are driven by maximizing profits and cornering markets, they don't hold any allegiance to countries or politics. They exist to make money.
Trump is simply trying to bring back what is tried and true, that worked in the past and still does today. It's very basic economics really. That's why the boomer generation is the wealthiest and the currency was still gold backed. That's why american made products from that era are some of the highest quality and built to last because companies back then actually had to compete, but by flooding the markets with cheap goods, by making the highest quality products they could better than their competitor. Hell, my grandmother who is 94 years old still has a fridge and a separate freezer from when my father was born in her garage, and they work perfectly even now. Meanwhile I'm having to replace my fridge every 6-7 years or so because they are made like crap with plastic components.
Sure but what you say, and I agree with it, has NOTHING to do with what Trump said.
He wants to maintain the dollar status as reserve currency and is threatening BRICS countries (which are PRODUCERS, and some of which like Russia are essentially self-sufficient) with...sanctions (?) if they try to replace the dollar.
That's the thing: that's an empty threat. The producer countries don't need the US which PRODUCES NOTHING, and they don't need to be attached to a dollar THAT HAS BEEN USED AS A WEAPON AGAINST THEM.
So what is Trump threatening them with? More sanctions? KEK.
I think it does because he's not one to make empty threats, and that point is where we disagree. So with that in mind, what can we interpret from the tweet?
I think he is implying that most of those countries (at this moment) NEED to maintain trade with the US. If I had to take a guess as to why, the US market probably makes up the largest part of their GDP, and without it, they would be up shits creek. They don't need us for producing, they need us for consuming. They NEED us to continue purchasing their goods (at this current time). The same way we NEED them to continue trade in dollars so we're not the ones up shits creek. Sure, they could trade amongst themselves... but I'm willing to bet it wouldn't be nearly enough to offset losing the US market at this stage of the game. Have you seen the price of imported produce in Russia, lol? Think about it, do you really think the average Russian is going to pay 4$ for a single mango or avocado? Forget about it. Those south american countries need us right now the same way we need them, until we can get off fiat and back to a dollar that's backed by something to restore balance in the markets. Then it can't be weaponized. But for that to happen, we need more time. We have to clean up our own house first and patch some wounds before we try to cut off the head of the beast.