by Pa Rock
Citizen Journalist
As of the latest market reports, Donald Trump is still losing his trade war, bigly.
Trump, who once naively described trade wars as "easy to win," undoubtedly knows better by now. He began his experiment in high school economics early this year by announcing tariffs on Chinese steel and aluminum, and quickly expanded his economic cleverness to cover a variety of goods from not only China, but the European Union and our American neighbors - Canada and Mexico - as well. Donald, the master negotiator and bully, knew that leaders get their way throwing tantrums and hurling threats.
But sadly for the big orange menace, trade was not that simple. Each of the countries that Trump targeted with import duties, retaliated in kind - and they cleverly selected products to tax that would affect Trump's voter base. The EU began imposing duties on American bourbon (a slap at McConnell's Kentucky) and Harley Davidson motorcycles, a move that caused Harley to move some manufacturing overseas and left bikers for Trump struggling with conflicting loyalties.
But perhaps the cruelest rebuke of all came from China when it swiftly imposed import duties on some American agricultural products - including massive imports of soybeans - and made a decision to begin buying most of its soybeans from Russia and Brazil. That market shift had a stunning impact on U.S. soybean growers who had been supplying a third of the world's demand for the hearty legume. According to the latest reports, U.S. soybean prices have dropped 13% this year and are now at a 10-year low. The Chinese tariffs also hit corn, cotton, and pork.
That's important to my friends and neighbors in southeast Missouri because some of our biggest agricultural concerns focus on corn, cotton, pork, and, of course, soybeans. And it's also relevant to note that this area of rural Missouri voted overwhelmingly for Trump. The Chinese delivered a laser-focused counter attack and hit Trump right where his sheeple live.
Donald Trump, who is all about saving the government's money and fighting welfare, responded to this economic attack on his supporters by promising government subsidies (welfare) in the amount of $12 billion to help make up for the losses that they would endure due to his ill-advised trade war. Most economists, however, say that amount will be nowhere near enough to compensate the farmers for their lost revenue. And, by the time the $12 billion filters its way down through the various levels of government bureaucracy before it gets anywhere near actual farmers, it is likely to suffer major siphoning and evaporation.
Soybeans are used primarily for livestock feed, but they also work their way into the world's food supply through things like soy flour, soy milk, and tofu. Perhaps now the truly patriotic Trump-loving Americans will come to the rescue of soybean farmers by rolling up their sleeves and eating more tofu - and washing it down with a big glasses of soy milk. It's the absolute least they can do!
Elections have consequences, you betcha they do!
Citizen Journalist
As of the latest market reports, Donald Trump is still losing his trade war, bigly.
Trump, who once naively described trade wars as "easy to win," undoubtedly knows better by now. He began his experiment in high school economics early this year by announcing tariffs on Chinese steel and aluminum, and quickly expanded his economic cleverness to cover a variety of goods from not only China, but the European Union and our American neighbors - Canada and Mexico - as well. Donald, the master negotiator and bully, knew that leaders get their way throwing tantrums and hurling threats.
But sadly for the big orange menace, trade was not that simple. Each of the countries that Trump targeted with import duties, retaliated in kind - and they cleverly selected products to tax that would affect Trump's voter base. The EU began imposing duties on American bourbon (a slap at McConnell's Kentucky) and Harley Davidson motorcycles, a move that caused Harley to move some manufacturing overseas and left bikers for Trump struggling with conflicting loyalties.
But perhaps the cruelest rebuke of all came from China when it swiftly imposed import duties on some American agricultural products - including massive imports of soybeans - and made a decision to begin buying most of its soybeans from Russia and Brazil. That market shift had a stunning impact on U.S. soybean growers who had been supplying a third of the world's demand for the hearty legume. According to the latest reports, U.S. soybean prices have dropped 13% this year and are now at a 10-year low. The Chinese tariffs also hit corn, cotton, and pork.
That's important to my friends and neighbors in southeast Missouri because some of our biggest agricultural concerns focus on corn, cotton, pork, and, of course, soybeans. And it's also relevant to note that this area of rural Missouri voted overwhelmingly for Trump. The Chinese delivered a laser-focused counter attack and hit Trump right where his sheeple live.
Donald Trump, who is all about saving the government's money and fighting welfare, responded to this economic attack on his supporters by promising government subsidies (welfare) in the amount of $12 billion to help make up for the losses that they would endure due to his ill-advised trade war. Most economists, however, say that amount will be nowhere near enough to compensate the farmers for their lost revenue. And, by the time the $12 billion filters its way down through the various levels of government bureaucracy before it gets anywhere near actual farmers, it is likely to suffer major siphoning and evaporation.
Soybeans are used primarily for livestock feed, but they also work their way into the world's food supply through things like soy flour, soy milk, and tofu. Perhaps now the truly patriotic Trump-loving Americans will come to the rescue of soybean farmers by rolling up their sleeves and eating more tofu - and washing it down with a big glasses of soy milk. It's the absolute least they can do!
Elections have consequences, you betcha they do!
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