It's an old attitude from "classical" economics, that tariffs are always passed on to the customer. But if you analyze that situation, it turns out it can only be true if there is no profit margin at all, and all costs must be recovered by the sale price, or if the profit margin is inflexible because it is so thin. If the profit margin is large, as it seems to be with many trade items, then it becomes a trade-off: pass the tariff onto the customer in order to maintain profit margin, but have a reduced market share---or eat some or all of the tariff, resulting in a reduced profit margin, but maintain market share.
Fresh Thyme just raised the price of my organic Guatemalan coffee beans by $5/lb. Businesses in my area aren’t eating any of the tariffs…everything is continuing to increase. Not a fan of tariffs at the moment.
It will be quite a while before I can consider buying a newer Jaguar again. The possible upside to this may be the contraction of the market in addition to the atrocious new design style being promoted. I think I can predict that no former Jaguar owner would be interested in buying something that looks (at best) like a bar of soap. That much market contraction may compel Jaguar to reconsider its nouveau approach and return to its traditions.
This is far from over. If Trump succeeds in establishing External Revenue as the funding engine for government and abolishes Internal Revenue, our incomes will increase. If he manages to get us off fiat money into gold/silver-backed currency, our dollar will increase in value relative to foreign currency, bringing exchange prices down.
Unless you want an EV Jaguar you are running out of time. They are transitioning to ALL EVs starting this year. They will sell their current inventory while they fully ramp up to EVs but that won't take a long time.
That's what they say. It may not take a long time for their offerings to not sell well. I cant imagine what market research led them into this barren ground.
Meanwhile, they are continuing Land Rover as a gas-guzzling option, with engines over 600 hp. I can easily see myself in a Range Rover Velar if there are no more honest Jaguars.
It was the dark silver type seen in one of the pics on the wiki page, although it was a 1966. Dual gas tanks, push-button start, both inside and under the hood for the many times you had to work in the car, and of course the cool wooden dashboard.
I bought it from a guy that was leaving the next morning and he sold it to me for $500. I had to borrow the cash from my Director of Operations until the bank opened the next day (great guy).
The car had it's issues, but mostly it was the frame rusting off the body due to the ample amounts of salt air. I ended up selling it to a chaplain visiting from Germany for $1500. I offered it for $500 but he knew I was an E-2 and he was an O-6 and insisted on the $1500. I heard later that he completely restored it in Germany. I was happy for him - I couldn't have afforded the roughly $3k to ship it back home to the states but he of course could.
My replacement car was less "cool". I bought an old green Vauxhall Chevette for around $100 and a junk brown Vauxhall Chevette from the junkyard for 60 pounds. I used the junker to swap parts including engine/mechanical parts and doors/windows/hood/trunk and ended up with a quasi-camo car. I sold the junker back for 50 pounds. It sucked, but it worked.
I’m a car connoisseur. That along with my degree in business makes me appreciate your response even more than I would minus those factors. I know if all plays out, this is how it will logically work and I can move on. We can afford the increase on the coffee, it’s just annoying to be seemingly absorbing all/most for this business (and I do very minimal shopping there to start). With the same occurring on the various groceries, it’s a mounting effort to stay on budget and keep savings growing. Thanks for the understanding response…I appreciate it.
I am more dismal about Biden's inflation and bad stock market. The "new normal" always seems more expensive. And I live in the state of Washington, whose benighted governor and foolish legislature are taxing gasoline to the price level of Canadian whiskey. (Well, it seems that way.)
I submit…Washington resident wins this discussion. You are correct about the tragic Biden years. We’re at that age of ‘too young to retire, too old to start over’; and it overwhelms me at times. Eternity is increasingly becoming my sole focus for every step earthside.
There's also the fact that many governments subsidize their large exporters, as a way of buying votes. If their exports decrease, unemployment increases, so their tax base and their own political support plummet, all while the liabilities on their social safety net skyrocket. They're in a bad negotiating position to start with.
I’ve been a “tifosi” since the late 1960s but I’m glad the McLarans are doing so well. Good to see a red car on the podium. A wet day in the Ardennes. Lewis Hamilton started 18th and finished 7th!
Lol! They will do as told. We are watching a movie! White Hats have had total control, for years; if not a decade. They are simply making it look like these people that many trust, still seem to have some control. Saving the world from demons, yet protecting the innocent, that trusted the demons!
POTUS negotiated the BIGGERT TRADE DEAL EVER!
The GOAT! 💪✨
That video of PDJT is perfect next to her commenting. Him dancing while fist pumping and saying thank you. 😂
I love these tariff buy down deals. Give the US a crap load of money and we will only tax you X amount on everything that you sell us.
It's an old attitude from "classical" economics, that tariffs are always passed on to the customer. But if you analyze that situation, it turns out it can only be true if there is no profit margin at all, and all costs must be recovered by the sale price, or if the profit margin is inflexible because it is so thin. If the profit margin is large, as it seems to be with many trade items, then it becomes a trade-off: pass the tariff onto the customer in order to maintain profit margin, but have a reduced market share---or eat some or all of the tariff, resulting in a reduced profit margin, but maintain market share.
Fresh Thyme just raised the price of my organic Guatemalan coffee beans by $5/lb. Businesses in my area aren’t eating any of the tariffs…everything is continuing to increase. Not a fan of tariffs at the moment.
It will be quite a while before I can consider buying a newer Jaguar again. The possible upside to this may be the contraction of the market in addition to the atrocious new design style being promoted. I think I can predict that no former Jaguar owner would be interested in buying something that looks (at best) like a bar of soap. That much market contraction may compel Jaguar to reconsider its nouveau approach and return to its traditions.
This is far from over. If Trump succeeds in establishing External Revenue as the funding engine for government and abolishes Internal Revenue, our incomes will increase. If he manages to get us off fiat money into gold/silver-backed currency, our dollar will increase in value relative to foreign currency, bringing exchange prices down.
Unless you want an EV Jaguar you are running out of time. They are transitioning to ALL EVs starting this year. They will sell their current inventory while they fully ramp up to EVs but that won't take a long time.
I just responded to KSR, and could not include a boost for hope on the designs of all our favorite styles of older model cars. It is sad indeed.
That's what they say. It may not take a long time for their offerings to not sell well. I cant imagine what market research led them into this barren ground.
Meanwhile, they are continuing Land Rover as a gas-guzzling option, with engines over 600 hp. I can easily see myself in a Range Rover Velar if there are no more honest Jaguars.
When I was stationed in England (USAF '88-'90) I lucked into one of these:
https://en.wikipedia.org/wiki/Jaguar_S-Type_(1963)
It was the dark silver type seen in one of the pics on the wiki page, although it was a 1966. Dual gas tanks, push-button start, both inside and under the hood for the many times you had to work in the car, and of course the cool wooden dashboard.
I bought it from a guy that was leaving the next morning and he sold it to me for $500. I had to borrow the cash from my Director of Operations until the bank opened the next day (great guy).
The car had it's issues, but mostly it was the frame rusting off the body due to the ample amounts of salt air. I ended up selling it to a chaplain visiting from Germany for $1500. I offered it for $500 but he knew I was an E-2 and he was an O-6 and insisted on the $1500. I heard later that he completely restored it in Germany. I was happy for him - I couldn't have afforded the roughly $3k to ship it back home to the states but he of course could.
My replacement car was less "cool". I bought an old green Vauxhall Chevette for around $100 and a junk brown Vauxhall Chevette from the junkyard for 60 pounds. I used the junker to swap parts including engine/mechanical parts and doors/windows/hood/trunk and ended up with a quasi-camo car. I sold the junker back for 50 pounds. It sucked, but it worked.
I’m a car connoisseur. That along with my degree in business makes me appreciate your response even more than I would minus those factors. I know if all plays out, this is how it will logically work and I can move on. We can afford the increase on the coffee, it’s just annoying to be seemingly absorbing all/most for this business (and I do very minimal shopping there to start). With the same occurring on the various groceries, it’s a mounting effort to stay on budget and keep savings growing. Thanks for the understanding response…I appreciate it.
I am more dismal about Biden's inflation and bad stock market. The "new normal" always seems more expensive. And I live in the state of Washington, whose benighted governor and foolish legislature are taxing gasoline to the price level of Canadian whiskey. (Well, it seems that way.)
I submit…Washington resident wins this discussion. You are correct about the tragic Biden years. We’re at that age of ‘too young to retire, too old to start over’; and it overwhelms me at times. Eternity is increasingly becoming my sole focus for every step earthside.
There's also the fact that many governments subsidize their large exporters, as a way of buying votes. If their exports decrease, unemployment increases, so their tax base and their own political support plummet, all while the liabilities on their social safety net skyrocket. They're in a bad negotiating position to start with.
We have the absolute best negotiator in the world, leading our team. 🇺🇸
When Q said they had it all, the deep states shenanigans, makes me wonder if Trump is using this as a leverage. Lord, I love that man!
I believe, with the information he has on everything, it would be a powerful bargaining chip! Love my President 🤩
AMEN
Willing to bet the negotiation had been completed a while back. This was just the 'show' part.
Similar to the NK summit.
Only on the EU side, tension is not an issue when you hold all the cards. Winning!!!
Oh my heart!
I LOVE OUR PRESIDENT DJT
More winning, yes yes yes
Oscar Piastri.
Wait, wrong venue? Sorry.
Seriously tho, the President is a money-maker and a negotiater.
I’ve been a “tifosi” since the late 1960s but I’m glad the McLarans are doing so well. Good to see a red car on the podium. A wet day in the Ardennes. Lewis Hamilton started 18th and finished 7th!
Lol! They will do as told. We are watching a movie! White Hats have had total control, for years; if not a decade. They are simply making it look like these people that many trust, still seem to have some control. Saving the world from demons, yet protecting the innocent, that trusted the demons!