Economic, taxes, and tariffs discussion

[revo]

And maybe this is a question for Chance, but how do these countries have the power to force certain companies to raise their employee salaries?

[cardboardbox]

And maybe this is a question for Chance, but how do these countries have the power to force certain companies to raise their employee salaries?

Well I guess Mexico could build a car with lower wage workers but then it wouldnt qualify for tariff free trade?

[revo]

Well I guess Mexico could build a car with lower wage workers but then it wouldnt qualify for tariff free trade?

It’s not Mexico, it’s the auto companies who employ Mexicans.

And BTW, according to reports I’ve seen, the $16/hr rate for workers only is for those producing 30% of the auto. And the penalty for not adhering to that or the 65% of the auto parts being from North America is a 2.5% tariff. Not a 25% tariff, but a 2.5% tariff. Seems like a lot of rigamarole for $750 in tariffs on a $30k vehicle.

[onejayhawk]

I am curious to see what a serious academic analysis of the treaty looks like. It will take a while, but feel free to post when you see one. In the short term, it's a big win for US agriculture.

J

[OaklandA's]

In the short term, it's a big win for US agriculture.

The new agreement opens up 3.59% of the Canadian dairy market to U.S. farmers. The total Canadian dairy industry was worth around $15B, so the U.S. farmers now have access to 3.59% of that, or around $0.5B. Meanwhile, the White House has been pitching a $12B subsidy package to help farmers hurt by Trump's China tariffs. So overall, U.S. farmers are doing much worse under Trump.

[cardboardbox]

So you can post away about the rosy economy Obama created, and I'll post about the cluelessness of our current president and how he's affecting the very people who voted for him. Deal?

since you wont post anything positive about the economy, I thought I'd go ahead and post this:

This is almost the 'too good to be true' economy, Fed chair says

Federal Reserve Chair Jerome H. Powell said Tuesday that the U.S. economy appears to be in the midst of a “remarkably positive” period that is unprecedented in modern history.
The Fed is predicting that unemployment will remain below 4 percent through 2020 and that inflation will stay low — around 2 percent — during that time. This has never happened in modern U.S. history. The last time unemployment was that low for several years, in the 1960s, it triggered high inflation, but the central bank and many outside forecasters don’t think that will occur this time.


“This historically rare pairing of steady, low inflation and very low unemployment is a testament to the fact we remain in extraordinary times,” Powell said in a speech at the annual meeting of the National Association for Business Economics (NABE) in Boston. “I was asked at last week’s news conference whether these forecasts are too good to be true — a reasonable question.”

https://www.msn.com/en-us/money/mark...ays/ar-BBNQubF

[chancellor]

CBB - Interesting article. The Phillips Curve discussion is an interesting one, and the author is correct in noting that the economists who hold the Phillips Curve is accurate in principle do not agree why it's not following for the most part today.

[Sour Masher]

There is no denying the economy, as a whole, is doing very well lately. A couple of points about that, though: 1. How much of this is related to Trump's policies and how much of it would have happened under a Dem? 2. How much of this is a sugar high based on the short term benefits of the things like the corporate tax cut and deregulations, and how far will we crash once the sugar high runs out, and the long term consequences of these things starts to be felt.

[Fresno Bob]

The economy is doing great for the 3%, I still don't see the benefits at the lower levels. Stock market is at a new high, great, what percentage of the bottom 90% own any stock? I'm still terrified when I see that a sizable percentage of Americans could not handle a surprise $400 expense. Hell, I'm carrying around that in cash most days.

[Teenwolf]

The economy is doing great for the 3%, I still don't see the benefits at the lower levels. Stock market is at a new high, great, what percentage of the bottom 90% own any stock? I'm still terrified when I see that a sizable percentage of Americans could not handle a surprise $400 expense. Hell, I'm carrying around that in cash most days.

Thank you! 76% of Americans live paycheck to paycheck. Student debtload is up from $500 Bil 10 years ago to $1.6 Tn. I think it was over 1/2 the country would be financially crippled by an unexpected $400 expense. More than 1/2 the country earns less than $30K.

Not healthy indicators. The tax cut/stock buyback rush was equivalent to the government hitting a payday lender. Some day soon, its gonna hurt.

[cardboardbox]

The economy is doing great for the 3%, I still don't see the benefits at the lower levels. Stock market is at a new high, great, what percentage of the bottom 90% own any stock? I'm still terrified when I see that a sizable percentage of Americans could not handle a surprise $400 expense. Hell, I'm carrying around that in cash most days.

I have stock, where does 90% start?

[nots]

I have stock, where does 90% start?

Lot of folks may not own stock by are tied into the market via 401K, company retirement plans or even pensions for oublic sector workers which are invested in the market. I dont own stock, but am tied to the market via TIAA Cref which my employers funded.

[Fresno Bob]

I have stock, where does 90% start?

do you have over $300k in assets, including equity in your home? If so, I bet that puts you in the top 10% of Americans

[chancellor]

do you have over $300k in assets, including equity in your home? If so, I bet that puts you in the top 10% of Americans

2016 Federal Reserve figures show top 10% net worth to be about 1.18 million, including home equity.

I can’t get the Fed Chart to copy, but it’s also here:

https://dqydj.com/net-worth-brackets-wealth-brackets-one-percent/

Seemed high to me, but I’m not finding anything that’s different.

[revo]

2016 Federal Reserve figures show top 10% net worth to be about 1.18 million, including home equity.

I can’t get the Fed Chart to copy, but it’s also here:

https://dqydj.com/net-worth-brackets-wealth-brackets-one-percent/

Seemed high to me, but I’m not finding anything that’s different.

Is that by average or median? The net worth by average in this country is around $700k, but by median is only about $65k.