Friday, August 01, 2025

It's Tariff Week, Again

To the extent that there is any long term strategy other than "Fox News junkie gets mad at something and uses power he believes he has over other countries," it's to settle on high long term tariff rates.

We're past the "panic the market" phase of tariff posturing, for whatever reason, and now we'll see if actual real economy dangers can get them to do anything other than blame Powell.

I do stand by my earlier assertion that that tariffs themselves wouldn't be economy-destroying, but the tariffs+surrounding uncertainty (new policy every day!)+plenty of other things they've done (ICE - workers and tourism, student loans, ACA premiums about to skyrocket, federal job cuts, ...)...

The tariffs matter, the ongoing uncertainty - which will never stop under President Deals - matters more. You might invest in a factory if there's a 20% tariff, you won't if that tariff might be 50, or your competitors in other countries might suddenly get a better deal, or...