neoplacebo wrote: ↑Tue Aug 04, 2020 7:02 am
PeacefulPartier wrote: ↑Mon Aug 03, 2020 6:58 pm
LMAO! So what? Did he say if you like your doctor you can keep it too? It's the biggest lie of politics in 2013 according to politico. Did you hate Obama for that?
LMFAO. You drag that line out as an example of Obama "telling a lie?" And you ignore the twenty thousand plus lies trump has uttered. Another good illustration of how gullible folks like you truly cannot see the forest for the tree. As O really noted, the "lie" you attribute to Obama was only made to be a lie by insurance companies, not by Obama. How about you explain to all of us trump's lie that China is paying billions and billions of dollars to the US Treasury due to tariffs imposed by the trump administration. He tells this lie bigly and often, but your silence on it or apparent acceptance of it as fact once again illustrates how gullible you are and how misinformed you are. I ask you AGAIN; do you actually believe that China is paying the US "billions and billions" of dollars because of trump's tariffs? And do you also actually BELIEVE that trump's billions of dollars of taxpayer money sent to the US farmers whose markets trump has destroyed is not socialism? trump rails about socialism constantly but doles it out due to his own failed policies. I still want to know if you BELIEVE either the China lie or the socialism lie.
It's not my fault you don't understand the complexity of international trade, cost, price elasticity and the rest. I'll dumb it down for you.
When the president put a tariff on goods from China, there were three paths that the price of the goods sold in the US could take; increase, decrease, remain the same. Here
is the Chinese imported goods price index. As you can see, after the "trade war" began in 2018, Chinese goods did increase in price. But, prior to the Coronavirus, those prices dropped dramatically. Why? Because they lost market share. When China raised the price of their goods, in an attempt to offset some cost, other goods from various countries became more price competitive. That gave consumers more options. This is part of the price elasticity which measures the ability for suppliers to increase cost without a loss of sales. Eventually, in mid 2019, Chinese business had to cut the price to importers (and thus consumers) in order to regain lost market share. That means they lost some of their profit margin while the US collected more tariffs. So, indeed, China has paid (in an indirect way) some additional tariffs. How much, I don't know.
The other explanation for the drop in price could be the strength of the dollar. As you can see https://www.marketwatch.com/investing/index/dxy
, the dollar was mostly flat during that time period. Certainly not up enough to create such a huge drop in the price index.