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Looks like we're headed for the second Great Depression. Should make the GFC look like a cakewalk. No matter how many times governments have tried, you can't
taketax your way to prosperity.But there is something else here. USA has shown to be more resilient economically than both EU and China. A policy that hurts USA but devastates Europe and China makes a lot of sense. It is better to rule in hell after all.
But this policy hurts Europe and China by devastating the US. Europe and China can continue trading with each other before - and will do so even more.
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But China is basically our factory. I don't see the benefit of devastating one's own factory.
There is this argument that by decoupling from China we can re-shore American manufacturing. However, as long as steps are not taken to address the housing crisis, no realistic increase in American manufacturing jobs will bring substantial quality of life improvements to Americans. The jobs that became available as a result of decoupling from China would, I think, simply not pay enough for that. Correct me if I'm wrong of course. And the Trump administration seems to be doing nothing to tackle the housing crisis. As far as I know, housing is not even a major part of their messaging.
Our factory is trying to behave as our equals[1]. Must be taken down a notch or two.
[1] Not residing or being US citizen. just talking from hegemon point of view
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It is better to rule in hell than serve in heaven, the Devil said. It's not better to rule only in Hell when you're already ruling on Earth!
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You know how depressions and such almost always have multiple factors with any one causative event just being the last straw? It’ll be something new for historians to point to one that was caused by a single person’s obsession with mercantilism.
Great Man Theory is finally cool again.
Make Men Great Again?
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