Trade Wars and Tariffs

#1,176
#1,176
tvolsfan said:
I feel like you’re using very poor comparisons (like the Roman Empire) and stretching them to fit today like it would be the exact same thing.
Click to expand...

What's the major fundamental difference between the Roman Empire and the US? And it's not just the Roman Empire, all empires fall and if you look into why they fell the similarities are striking.
 
#1,177
#1,177
hog88 said:
It's supply and demand. Since there is nothing tangible backing up the dollar the only thing that gives it value is the demand for it. If countries started trading out US dollars for rupees all of those dollars get sent back here flooding the economy.
Click to expand...
LOL.

I made a post while you were making yours. I am beginning to understand the line of thinking.

I don't agree the US dollar behaves like a commodity.
 
#1,178
#1,178
MurphyVol said:
It would be fascinating to see that everyone in the country would be reacting the exact opposite if Biden had enacted these same tariffs. Literally everything every Dem is saying now, R's would be saying and vice versa.
Click to expand...
Well Biden did maintain and/or increase the initial Trump tariffs 4 years ago. We did not have the outrage like today in the media and this forum. Definitely strange.
 
#1,179
#1,179
McDad said:
Ok. Another point of confusion. Other countries use our currency to facilitate commerce. Other countries borrow our dollars to use as reserve currency. Those countries borrow that money from private (large, I assume) banks in America?
Click to expand...

Yes, or the IMF or world bank which of course are both backed by loan guarantees from our Federal Reserve.
 
  • Like
Reactions: McDad
#1,180
#1,180
McDad said:
LOL.

I made a post while you were making yours. I am beginning to understand the line of thinking.

I don't agree the US dollar behaves like a commodity.
Click to expand...

The US dollar is most certainly a commodity, if it wasn't why else would we care so much about it being the worlds reserve currency or competition from BRICS?
 
  • Like
Reactions: EasternVol
#1,181
#1,181
hog88 said:
What's the major fundamental difference between the Roman Empire and the US? And it's not just the Roman Empire, all empires fall and if you look into why they fell the similarities are striking.
Click to expand...
The Roman Empire declined and strengthened on and off for centuries. You can look at anything from the third century crisis to 1453 and point to something analogous and say we’re doomed. Keep in mind, your comparison in this case includes people who literally did not understand inflation.
 
#1,182
#1,182
tvolsfan said:
It’s crazy talk. Like if Saudi Arabia announces they won’t conduct oil trade in dollars we’re only going to accept our salaries in silver lol.
Click to expand...

No, you would accept your salary in dollars but those dollars wouldn't be worth much.
 
#1,183
#1,183
hog88 said:
The US dollar is most certainly a commodity, if it wasn't why else would we care so much about it being the worlds reserve currency or competition from BRICS?
Click to expand...
Of course it’s good for us if it’s the reserve currency. That doesn’t mean the dollar becomes useless if its share in trades declines.
 
#1,184
#1,184
tvolsfan said:
The Roman Empire declined and strengthened on and off for centuries. You can look at anything from the third century crisis to 1453 and point to something analogous and say we’re doomed. Keep in mind, your comparison in this case includes people who literally did not understand inflation.
Click to expand...

Who didn't understand inflation? You think the ancients didn't understand inflation?
 
#1,185
#1,185
McDad said:
You didn't ruin the party, Forrest.

My first post about reserve currency was acknowledging I didn't understand it. The convo is simply moving too fast and you guys are making leaps that I am unable to. I don't have the understanding yall do. I am learning arithmetic. Yall are doing calculus.
Click to expand...

Its a scam. Just like all scams they come to an end. Generally speaking, the U.S. falls, the world falls... there simply is no de-attaching from U.S. dollar system. If the U.S. stops producing dollars the world will start to collapse, which is what started to happen in 2008-2010 i.e. unable to sustain the equation i.e. attachment of interest to the money creation.

The U.S. can collapse the whole world without one bullet being fired, just shut down money creation.
 
#1,186
#1,186
hog88 said:
What's the major fundamental difference between the Roman Empire and the US? And it's not just the Roman Empire, all empires fall and if you look into why they fell the similarities are striking.
Click to expand...

I feel like USA fall is going to be more akin to the British Collapse. Both were economical.

The USA will always be a player as long as it retains the territorial integrity of the 50 states. Too much land, resources, and people not to be.

We are definitely in interesting times though. I am scared and not thrilled about yesterday's announcement but I am willing to be more in a wait-and-see situation.

I don't think the hole we dug ourselves into can be blamed on a specific Presidency or even perhaps a Political Party. I was talking to some MAGA people the other day and they blame W Bush's push for globalism with China more than the Democrats.
 
  • Like
Reactions: hog88
#1,188
#1,188
tvolsfan said:
Of course it’s good for us if it’s the reserve currency. That doesn’t mean the dollar becomes useless if its share in trades declines.
Click to expand...

There would be uses for the dollar, it could become the new toilet paper since actual TP would be worth more.
 
#1,189
#1,189
hog88 said:
It's supply and demand. Since there is nothing tangible backing up the dollar the only thing that gives it value is the demand for it. If countries started trading out US dollars for rupees all of those dollars get sent back here flooding the economy.
Click to expand...
^^^ This ^^^

There's a reason the US has gone throughout the ME inventing reasons to bomb any oil-producing nation that threatened to sell oil in something besides the petrodollar.
 
  • Like
Reactions: EasternVol, hog88 and volbound1700
#1,190
#1,190
LSU-SIU said:
Its a scam. Just like all scams they come to an end. Generally speaking, the U.S. falls, the world falls... there simply is no de-attaching from U.S. dollar system. If the U.S. stops producing dollars the world will start to collapse, which is what started to happen in 2008-2010 i.e. unable to sustain the equation i.e. attachment of interest to the money creation.

The U.S. can collapse the whole world without one bullet being fired, just shut down money creation.
Click to expand...

China is gaming for that and then they will propose their currency as the new USD.
 
#1,191
#1,191
hog88 said:
No, you would accept your salary in dollars but those dollars wouldn't be worth much.
Click to expand...
Again, your scenario seems to be based on some fantasy where it goes from reserve currency to globally abandoned over night. That’s not a real scenario.
 
#1,193
#1,193
volbound1700 said:
I feel like USA fall is going to be more akin to the British Collapse. Both were economical.

The USA will always be a player as long as it retains the territorial integrity of the 50 states. Too much land, resources, and people not to be.

We are definitely in interesting times though. I am scared and not thrilled about yesterday's announcement but I am willing to be more in a wait-and-see situation.

I don't think the hole we dug ourselves into can be blamed on a specific Presidency or even perhaps a Political Party. I was talking to some MAGA people the other day and they blame W Bush's push for globalism with China more than the Democrats.
Click to expand...

I agree with your post. It's a problem created by both parties over the last 100+ years. I also agree that we as a country can always be a power due to our natural resources, IF we decide to use them.
 
#1,195
#1,195
volbound1700 said:
China is gaming for that and then they will propose their currency as the new USD.
Click to expand...

Well, they can propose anything they want but after the collapse comes liquidation (the walking kind) first before starting the scam all over. Asia on deck for a huge population reduction, you can't feed 4 billion without a working global credit system. Asia will be liquidating quite a lot of unfunded walking liabilities... probably a few billion.
 
#1,196
#1,196
tvolsfan said:
Which of course, will be resoundingly rejected by everyone.
Click to expand...

Not the BRICS. Russia and Brazil will take it. Not sure about India since they hate China. Once that happens, it will start to gain steam.

Probably other nations like Pakistan, Iran, North Korea, various nations in Africa, etc. will also accept Chinese Currency. I wouldn't be surprised if EU starts moving towards China as well. I think a lot of their government officials are bought.
 
  • Like
Reactions: hog88
#1,199
#1,199
tvolsfan said:
Again, your scenario seems to be based on some fantasy where it goes from reserve currency to globally abandoned over night. That’s not a real scenario.
Click to expand...

It wouldn't be overnight. There would be wars fought and it would be a years long process.
 
  • Like
Reactions: Orange_Crush
New posts
You must log in or register to reply here.
Advertisement

Back
Top