Now discuss the word "embargo" and its relevance for a state that has shifted from income tax to tariffs... As an EU resident I look forward to the US revising its tax base in this way. It's nice to be able to adjust the US tax base directly as an external actor. Lots of fun to be had. I'd imagine Russia and China have similar thoughts. It certainly casts the idea of a trade war in a rather novel light... Go for it, I say. At the very least, it'll be a giggle :)
The only goal of his administration and the conservative congress is to accumulate as many assets as possible while having no accountability for their actions. Everything else is a side show that can be ignored. Focus on those two things and you will see through all the distractions. Tax cuts are part of the asset accumulation. And all the debt that comes with it will be part of the no accountability for their actions.
Just answer me this: Before the income tax was imposed in 1913, how did the government fund itself for.the first _137_ years of its existence? The biggest problem in all of this is the SPENDING and size of the federal government, which is WAY, WAY, WAY bigger than the scope the Founders intended with Article 1, Section 8 and the 10th Amendment of the Constitution.
But the government growing bigger has also led to overall better outcomes for people in the USA. For example, the overwhelming size and production of the military during WWII would not have been met without tax, the H bomb was the largest amount of money the government had spent on any project. This tax allowed the US and its citizens to become a superpower. Social security is the other giant cost to the US which I am sure you have your opinions on but millions of Americans rely on it every year. Income tax also levels the playing field as it means that the top 1% can’t make even more money of the rest of the country. Wealth disparity is already bad in the US but would be far worse without income tax.
Simple. Back then, not much money was needed compared to today. There was virtually no infrastructure. Cars and Airplanes didn’t exist. No real mechanized military. Much smaller population and most living in the eastern United States. No medical technology. No social programs. Education was very basic for the majority of people.
You are correct. And everyone seems to think that the businesses that provide jobs should pay for everything . If you were in business you'd move somewhere where things are cheaper too. How about all the blood sucking politicians who get a big pay,cash in on inside trading,and put their money in off shore accounts..
@goosegamerau3200 You ignorance is impressive. The tax system is used as a weapon to keep the rich at the top and you at the bottom. The rich never want the income tax to go away because of this. Please educate yourself on the issues.
@@hyppievanmanThe US Government spending isn't overinflated, 90% is on mandatory spending. This is why Trump cutting taxes on the ultra wealthy will cut benefits to include social security and Medicare. The wealthy do not need those things. To reduce Government spending he will reduce the services to the people.
Sounds similar to sales tax. Id rather be taxed on things i buy, either by a percent add or increase in price, instead of any money coming out of my paycheck. We are obsessed with buying things and that needs to slow down.
truth, I wouldn't mind paying extra tax on shit I buy if it means I save more money in the long run by them not taking income taxes out of my paycheck. Unsure how feasible that analogy is though.
It would force the prices up on everything including food when the poor are already struggling to eat and they don't pay taxes now so they receive no benefit only deeper poverty!
U missed a few things about tariffs. Its not really about making the government more revenue because he wants to also lower income taxes. Another reason you impose tariffs is to incentivize companies to bring their manufacturing back to your country because all those jobs are needed here. When you lose jobs you lose a lot of GDP and money circulating through your home country’s economy. When you have a huge trade deficit for decades in a row like we have, it makes your country poorer and poorer while making your trade partners richer and richer which is exactly whats happened to us. They keep siphoning our money away and giving us plastic garbage that disintegrates. You may not understand the demoralizing effect this has had on Americans being in Australia, but the psychological effect is dramatic. Gen z and younger basically feel like a normal life, home ownership, starting a family etc is now unattainable.
This is the big picture, which sadly most people will overlook. And I think such changes would take a long time to come to fruition. Probably more years than Trump will be in office. The government has been digging a deeper and deeper hole for decades.
The problem is the current generation learned from the previous generation, which learned from the baby boomers. The baby boomers basically destroyed the idea of "for the greater good," or "for the good of the country" and just threw the entire country into disarray. In order for the country to ever have a chance of healing, the current generation has to sacrifice more in order to teach the next generation about how to take care of the country rather than just being a bunch of anti-america hating sympathizers and anarchists. Nobody denies that these tariffs WILL hurt in the short term, but over the long term it'll ultimately help America for the better.
@@AtlasAdvice254 The "boomers " did not destroy the greater good, the owners of the companies who shut the factories down did. As for the idea that the presant younger generation can actuly do the manufactuing jobs these factories offer is laughable. It will be AI and robots doing most of the work, wherever the tones of cheap ispoable tat is made. Riseing amounts of money flying around that seem to get people excited is not the best way to measure the economic health of a nation. Healthy citzens who can afford the basics is.
One thing no one seems to mention is if things go up 5 to 10% but we stop being taxed 13 to 25%. It will still be better. Especially if the over time tax goes away, I just lost 33% of my bonus.. that’s absurd
@DrewJenks76 I can guarantee that the income tax is not the only federal tax and is not the biggest money maker for the government. As it stands, if the government is low on money they'll just take it from something else such as social security anyway
@@tbear0553 In essence, collapsing the economy is not a viable solution to address its problems. While it is true that the system faces challenges, destroying the U.S. economy will not rectify these issues of misuse. We must elect individuals who are committed to doing the necessary work and due diligence to fix the system. This involves taking the time to craft proper legislation that is not influenced by lobbyists or corporate interests seeking specific outcomes. Furthermore, it is crucial to reject the notion that the solution lies solely with individuals on either the right or left who advocate for extreme measures, such as cutting spending or increasing taxes. Instead, we should focus on long-term gains rather than short-term benefits. Continuing to prioritize short-term gains will exacerbate the already fragile system.
Studies have shown that Tariffs don't actually increase prices. In multiple countries studied, when Tariffs were imposed, consumers would switch their buying habits to purchasing domestic goods. A result of this was that the overall prices for goods did not increase and the local economy got a boost because more money was being spent on domestic goods. For the USA this would mean more jobs for Americans at higher wages at the same time that goods don't experience any increasein prices. This is the best of all worlds. Trump is doing the right thing for Americans by imposing tariffs and eliminating the income tax.
As long as those products exist that are produced locally. While the US produces loads of things, there are a great many things that don’t have a domestic manufacturer and that cannot be easily produced locally. Also remember that many manufacturers left the US and Canada many years ago in order to manufacture items with cheaper labour. So a massive tariff will cause so many thing you purchase (think electronics, most cars of Mexico and Canada have tariffs), clothes, some food products, most home products, books, and of course a huge amount of machinery needed to make such products. Also if people do switch to locally produced products, then no taxes are generated either, so you can’t reduce income taxes then
Thank you, someone else who gets it. Sure prices of stuff we don’t make domestically or in enough quantity domestically YET will be more expensive for a while. One should avoid buying these whenever possible during that time. Fast forward a couple years or so and we will see companies either coming back, or new companies filling the gap of companies who left because they didn’t want to come back. At the end of the day it comes down to which companies are for growing America and care for everyone here, or those companies that only care about themselves even if it costs America and its people. Additionally if we make our own products here at home we don’t have to rely on anyone like China, who can use that as leverage and starve us of everyday things. We need to be self sufficient, computer chips/processors we need to get going domestically desperately, I believe Biden addressed this too. Let’s pump that money back into America and fix our infrastructure and power grid that is decades past its service life and crumbling/rotting away.
The tarriff plan will evidently lead to high inflation, the high inflation is a significant reason why most retirees have sleepless nights. The increase in prices of everyday items puts them at risk of running out of money. As prices rise, the amount of money retirees can withdraw from their retirement savings also increases.
The increasing prices have impacted my plan to retire at 62, work part-time, and save for the future. I'm concerned about whether those who navigated the 2008 financial crisis had an easier time than I am currently experiencing. The combination of stock market volatility and a decrease in income is causing anxiety about whether I'll have sufficient funds for retirement.
If you are in cross roads or need sincere advice on the best moves to take now its best you seek an independent advisr who knows about the financial markets. It's better to hire a skilled financial planner especially if you're not one yourself. I hired one after my retirement pension took a hit in April due to the crash.
My CFA, “Annette Christine Conte” is widely recognized for her competence and expertise in the financial market. She has a thorough understanding of portfolio diversification and is regarded as an authority in this field.
@@jeffDwyer1 Interesting. I am on her page on the browser now doing my due diligence. She seems proficient. I wrote her an email and scheduled a phone call.
@@marcmarc1967 Because it is a cash cow for Musk. The money he takes away VA, Social Security, Medicare and other programs will be redirected to his projects.
Before all else, how about Americans decide how wealth and income should be shared? From there, who should bear the biggest burden to keep the System functioning? Isn't that what's government and taxes all about?
You pay 20% at least if you're in the lower income range so a little more on imported goods is a great deal... We can produce more here and make good jobs in the USA
If you're in the lower range you're not paying any income taxes,because of deductions and credits. Many people have a negative effective tax rate. I would definitely benefit from this as I'm making 200k a year and already own all the big ticket items.
Also if you watched the video you would know that we would need a 78% tariff on all imports just to make up the current income tax revenue. This will never work.😂
You won me over, I was about to point out that the commentator on the video forgot to mention that such tariffs promote American companies to produce here in the main land hence more jobs and wellbeing for the American citizens... Your money won't be supporting any longer labor exploitation in Third World Countries , just saying....
then how will we pay for the country to function (the Military for example , there is a lot that goes into the government i mean expenses ) , i would say we need to cut spending but if there is no revenue how will government work
LOL. au contraire. income taxes can be scrapped for salaries less than 150k/y. but everyone making more should be milked and all the 'loopholes' closed.
“Imported goods will become more expensive”… yeah that’s kind of the point… his whole model is to buy American products because it’s good for American businesses and the US economy when people feel like it makes more sense to buy American products only.
There’s so many products and resources that we rely on that America has little to no infrastructure in such as semiconductors and electronics such as phones and TVs. It helps us none if we can’t manufacture the stuff here. For example: Name a cheap television manufactured in the USA, name a cheap phone manufactured in the USA, etc
well for American manufactures to get price advantage we need at least 50-100 percent tariffs (depending on the industry) nothing wrong with tarrifs just a tool. But we cant make the money the government currently needs just from tariffs the more you increase the traffis the less people will consume there needs to be a balance for most revneue
Here's a crazy idea. STOP SENDING ALL OF OUR MONEY TO OTHER COUNTRIES! If we did that, we could eliminate all personal income tax and wouldn't need tariffs.
The tariffs will hurt financially for about a year or so on items that we import. Then our manufacturing will come back like it used to be, and we will no longer be paying high prices for items, being they will now be made in the US. This will bring jobs back, eliminate the income tax, and I’ve done correctly pay back our deficit.
You do realize we cannot manufacture everything or grow specific items in the US. For instance, we cannot grow cacao trees or coffee beans domestically. It also takes years to build the factories necessary to make these parts that can end up being a bigger hassle than giving any sort of benefits. You're asking to pay more even though the guy said he'd fight inflation when he'll end up contributing to it.
@sorta.average you want to believe that but he wants to enforce tariffs across the board, meaning he's tariffing things we cannot produce en masse. All his tariffs prove is he is not a good negotiator and is willing to tear down his own trade agreements.
@@Smash_terI love how you use "years" as a fear tactic. To be clear 3 to 5 years max for a large facility. Meaning 1 to 2 max for average size facility and about a year for smaller facilities. No not everything can be produced in the U.S. but you fail to mention not everything the U.S. can produce can be produced in other countries as well. Do you really think those other countries will put high tariffs on their items and not expect to pay through the nose for goods they can only get from the U.S.? It seems everyone forgets they are mixing needs and wants together. We need food, and we can grow our own food. We want a cheap phone or TV but it's not required to live. Under that Democrats back in 1913 wanted to shift from tariffs to tax so they could move business overseas for slave labor. You've been living in a dream world Neo
Comparing apples to apples (in the USA), a quick internet search shows that individual incomes in 2023 were ~$23 trillion and corporate incomes (revenues) were ~$30 trillion. And yet, individuals pay ~89% and corporations pay ~3.5% of the tax base. I know this is simplistic, but given the impact and costs corporations cause to governments (e.g. bailouts, etc.) it seems like it is something that should be discussed.
And then top 1% pay 50 % of taxes so where's the math there you neglected to mention there are 300000000 regular folk and like ten trillion dollar corporations
One more small point everyone seems to miss about corporate tax. When a corporation pays more in taxes they charge more for their products. Thus the consumer pays more and pays more in sales tax. Fines imposed on companies result in higher prices too. There is no free meal.
If you increase corporate taxes it can just lead to businesses moving overseas and less growth. Due to this its common for countries to increase corporate tax rates then subsequently see their corporate tax revenue decrease. So its very difficult to get the balance right.
Corporations have shareholders and they pay another taxes on top of corporate tax. So lower corporate tax means more prosits for corporations which mean higher share prices which mean higher capital taxes and higher dividend withholding taxes.
Go ahead and tariff goods and eliminate my income tax. I would get a guaranteed extra 24% on my annual salary. I don’t even spend near 24 percent of my annual salary on imported goods. So it would be a win for me. I only spend about 60 percent of my annual salary period and that includes a lot of stuff like mortgage, utilities and foods that are all domestic.
This is s slight oversimplification but given your inelegant response I am guessing you understand that and were just making the simple point. you are clearly on track.
You guarantee spend way more than 24% on imported goods. Do you buy electronics? Do you have car? Do you buy any kitchenware? Do you buy groceries? Do you buy laundry detergents and dish soap? Many of the raw goods used the make the cars are imported, including the raw iron and aluminum used for the chassis and engine. Virtually all electronic boards are made in Asia, so anything you get with electronics in it is either fully or partially imported. When our growing season ends, we import produce from countries in the southern hemisphere (like Chile) to fill the void. If you buy any food outside of the US growing season, high chance that the food was imported. Some of the chemicals used in detergents and some of chemicals the dish soap is made from are imported as well. Nearly everything in our country is either partially or fully imported.
@@xboxbam3979 Electronics, dish soap, kitchenware, vehicles etc... etc.... I don't buy every week. But payroll taxes do come out of my check every week. With no federal income tax or reduced federal income tax I can afford to buy these such things when I need to buy them. The money that I save in taxes I can use for investments now. Which is not much. But it's still more than not having said money at all. We will have more of a choice to how and where we spend our money because it will be in our control.
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I’ve been forced to find additional sources of income as I got retrenched. I barely have time to continue trading and watch my investments since I had my second daughter. Do you think I should take a break for a while from the market and focus on other things or return whenever I have free time or is it a continuous process? Thanks...
Quitting may not be the best approach if you ask me personally .When it comes to investment, diversification is key. That is why I have my interests set on key sectors based on performance and projected growth. They range from the EV sector, renewable energy, Tech and Health (AMD) alongside coins, and gold. I'm also working on an investment plan with my CFA that includes AI looking into Nvidia, MSFT, Alphabet stocks among others. I've been utilizing a CFA for more than 4 years and I've made over $000,000.
That's quite remarkable! I'm genuinely interested in benefiting from the guidance of such experienced advisors, especially considering the current state of my struggling portfolio. May I know the names of the advisors who has been assisting you in navigating these financial challenges?
Tarrifs are a consumption tax, it would have to be done carefully and in lock step with reducing income taxes. Why do some people freak out over taxing consumption (much of which is discretionary) but not stealing from people's labor.
While it sounds great on the surface, I can’t help but wonder-how will this impact retirees like us? With inflation already sky-high, I’m worried it might make things worse
Same here! On one hand, it could mean more cash in our pockets, but on the other, if government programs like Social Security or Medicare lose funding, we’d be left to fend for ourselves. That’s a scary thought for people close to retirement
For those of us managing investments, any shift in government revenue could send shockwaves through the market. That’s why I’ve been working with my CFA, Joseph Nick Cahill. He’s helped me diversify my portfolio to withstand economic uncertainties like this. His free consultations are a great way to get started, too.
I’ve heard of Joseph Nick Cahill! He’s known for offering free consultations, which is a great way to get personalized advice without any initial commitment. Joseph has helped many people, myself included, with both long-term and short-term investments. My portfolio is in much better shape thanks to his guidance.
That’s reassuring to hear. I’ll look him up and schedule a consultation. It sounds like he can help avoid common mistakes, like being too heavily invested in one area or failing to prepare for market downturns. I need someone who knows how to adapt to these changing financial conditions.
So tariff makes a bottle of wine go up $10 bucks, that’s liveable especially considering someone would go from $20 to $26-28 bucks an hour without income tax…
I think the point is that they wouldn't be able to replace income tax with tariffs, so they're still stuck with the $20/hour but they have to pay more for goods. So the worst of both worlds. In my opinion, wine is a bad example because it's not a necessity. If you think about something that is less flexible, like a washing machine or refrigerator (priced at $1000), it becomes a lot harder to afford when it increases to $1200. Especially when all of your other expenses are also increasing, and your income stays roughly the same.
@@trentasaurus5478 I am going to copy and paste a comment that I just replied to someone else's comment because I am too lazy to type it all again. COPY/PASTE: Electronics, dish soap, kitchenware, vehicles etc... etc.... I don't buy every week. But payroll taxes do come out of my check every week. With no federal income tax or reduced federal income tax I can afford to buy these such things when I need to buy them. The money that I save in taxes I can use for investments now. Which is not much. But it's still more than not having said money at all. We will have more of a choice to how and where we spend our money because it will be in our hands. Not the Federal Governments hands.
The Smoot-Hawley Tariff Act of 1930 was a law that increased tariffs on imported goods, resulting in Increased prices, reduced global trade and economic decline which is often blamed for worsening the Great Depression. “History Doesn't Repeat Itself, but It Often Rhymes” - Mark Twain.
The Great Depression was caused by the Federal Reserve and prolonged by government spending. 1913 was the year they took our freedom away and made us all slaves. Trumps plan if he can succeed at making it happen without being killed by the bankers would finally restore our freedom. Everyone wants to look at one issue and not look back at the foundation it was built on to see there were flaws under it that were the real problem. A central bank loaning us money they print out of nothing and then we must pay them back with interest but the only place we can get the interest is from them so we are in permanent servitude to them with no way out unless we reassert the constitutional responsibility to mint the currency like we did in the beginning and like Lincoln and JFK tried to do. It all depends on if Trump can get the constitution reasserted and without them killing him like they have all the ones in the past who stood up to them.
@@patndave4919 Absolutely true. All the more reason to change things so the working class have a chance. The current income tax actually traps the poor in nearly eternal poverty because if they work hard they loose government aid and get trapped in the lower middle class. The middle class pay well over half of all the taxes so getting out of the middle class is nearly impossible. All the real tax benefits are bought and paid for by the rich so they stay where they are and the politicians are happy to do that for them because of the back door money they get. Show me a politician who went to DC and came out in the same financial position they were when they went in and I will show you an honest politician. They all go in at one level and come out much richer. Many go in with nothing and become multi millionaires off the people they supposedly serve.
A good portion of this “wasteful spending” is related to our defense/military budget. How yall dance around that fact without addressing it is baffling. But trump not gonna cut into that of course not so the American people have to suffer to avoid cutting that and prove a point to other countries
Tariffs aren't a good idea because it creates a snowball effect with the exporting country placing on counter-tariffs. This was found in the 70s and 80s
If the US had imposed tariffs on Chinese imports identical to the amount China imposed on US goods since the 90's, the US's deficit would be much, much smaller and the oceans a lot more healthy. Does it look like China's economy sank since the 90's??
Look at the bigger picture. Look at the slavery of central banking and how paying infinite interest on nothing has us enslaved to the international bankers. The Terri's are not the problem. If we do not cut the chains of bankers international slavery then nothing we do will ever work. Int he 70's we exported a lot today we do not export nearly as much as we import, we are slaves to the rest of the world so things are different today. that said until we address the issue of central banks nothing will work. Trump has made comments about his plans to address this central bank issue as well. If he can do that then all the rest will fall into place. The concern I have is the last two presidents who took on the central bankers were both killed. Lincoln after the second national bank was shut down and he showed how printing our own money was better during the time they wanted to bring in the 3rd national bank, and JFK under the 3rd national bank (The Federal Reserve).
Those that advocate for a flat rate tax do not understand the value of money at all. Spending $10 if you have $100 means a lot than if you're spending $1,000 if you have $10K
Government spending needs to be cut dramatically. It’s crazy how much of our money they spend. If we the people spend more money than our budgets we are screwed
@anubisgod23 he says he wants to "balance" trade deficit how does tariffs on US good and services help when retaliatory tariffs make them more expensive to import
During his first presidency Trump imposed tariffs on EU goods. The EU responded with targeted retaliatory tariffs aimed at Trump's base such as 58% on Harley Davidson bikes. Biden ended this spat and in response Harley Davidson's CEO wrote on their website "Today's news is a big win for Harley-Davidson and our customers, employees and dealers in Europe. Our thanks go out to President Biden, Secretary Raimundo and the U.S. Administration, for their efforts in this negotiation. We are excited that this brings an end to a conflict that was not of our making, and in which Harley-Davidson had no place. This is an important course correction in U.S.-EU trade relations, that will allow us to further....". Blanket tariffs are a blunt instrument that are as likely to backfire and hurt the instigator as much as the targeted country.
The Trump TAX cuts only benefited the stakeholders and not the economy as they (share holders) gained more returns on investments. The biggest share holders were the Boards of directors and huge share holders. The average person in fact saw their taxes increase. Also these cuts were pay backs to the big donors of the parties. There is NO TRICKLE DOWN effect!!!!
Bullshit…..that’s why Biden didn’t let them sunset, right? Because it only benefited “shareholders” right? A quick google search will show you’re wrong but you do you, boo boo. Keep spreading that misinformation
I think it hurts all consumers. Low income is generally priced out or subsidized heavily. Middle is extinct. Basically making it or slipping to not making it.
Except local industry will boom which will increase demand for labor, which will pull people out of lower income brackets. Low income jobs are being sutomated away, anyway, so this is the best option.
Reduce the income tax to equal the raise in tariffs = no effective price increase for imports and savings for buying local goods. Local support increases employment and production we can export. The more labor is in demand the more wages will increase, corporations love mass immigration because it lowers labor costs. Supposed increased criminal activity isn't an excuse to accepted it, crush it or be subjugated by it. Following up with reductions to government will further lower the amount of money needed to support it. We can always add things back, until then we need to keep cutting.
But you have redistributed the tax burden onto the poorer half of Americans, I would call the a repercussion. Sales taxes are highly regressive forcing the poor to pay a higher percentage on their income on taxers. Rest assured buying investment products will not be taxed but bread will,
@tombeegeeeye5765 The burden is shifted onto those nations who wish to have access to our consumer base, not to the poor. The adjusted sales taxs will affect import goods, not local goods, and with that sudden surge of support for local production will lead to both jobs and increased wages absence income tax. Even if sales taxs were to replace income tax, it would affect the rich far more, given they can't write the expense off while the poor will have increased power to manage their finances in terms of purchases vs it disappearing from their check before they even get access to it.
@@Smash_ter Business also pay taxes to the nations their headquartered in. Rather, through government assisted subsidies or lowered tax revenue, those nations pay into the tariffs.
Another Question, if tarifs become unprofitable for the imports to be brought in that kills imports removing any tax revenue at all and you can't tax zero and get more
i cant be the only one who heard 71% tarrif on everything. and thought... "THATS IT???" hell a 150" short throw 4k projector is 1k on Amazon right now. i dont need a 150" TV... i need assets.
Crazy idea here... exporter isnt allowed to raise the price on goods to compensate and importer isn't allowed to price gouge... like oh no ceo's only get a 5 million dollar bonus this year instead of 7 million. Come on guys its not that complicated.
No he wants to change the way America makes it's income. By raising the tariffs and lowering the tax rate the equivalent percentage you can bring in the same cash without having had to steal it from your citizens and businesses. The idea is the saved income by businesses will be reinvested by competent merit based individuals rather than dmv workers at the government. This would grow the value of the businesses and the general economy which is going to help the debt issue as it would no longer be as large a percentage of gdp
@@justinmadonna3733 The problem with that as a solution to swap tax with a tariff income is that the ultra wealthy will pay a consumption tax along with the rest of the population. So as a percentage of income it is pretty well near zero for most of them.
The main problem with tariffs you have missed, example I know the US dairy industry, exports 15% of production and increasing. Their production costs go up because many inputs they use are imported and will get a tariff, making US dairy farmers not competitiive on the World market.This makes the 15% milk products exported not competitive so it then has to pushed onto the domestic market pushing down the price of domestic milk. Destroys many small dairy farms. Possibly good for Australian and NZ dairy farmers. Also Trump wants to deport many of the farm workers pushing up the cost of labour. Tariffs don't work.
100%, there's a compounding effect to tariffs, a US company that manufactures some product that depends on multiple materials that have tariffs applied may have to raise prices a lot more than the notional "20%" example used in the video
So then a domestic suppler will be found for those products needed. Tariffs do work, its why there are virtually no American cars in europe. Its proven that they work, your argument Is simplistic and weak.
I find it interesting I've seen several people spend all this time explaining how they'll just add the cost of the tariffs to the price of the goods, and the consumer will end up paying it. And then go on to suggest raising corporate taxes.. would that not be passed on to the consumer as well?
If we followed the constitution, our whole federal government was supposed to play golf 90% of the time. The remaining 10%, they were supposed to campaign for reelctions.
The whole idea behind the American republic was that the States solve people's problems and the federal government was to only look after the courts, national defense, and resolve tensions between the states themselves. Now we have a top heavy government, its like a 200 lb person with a 140 lb head.
The whole idea behind our Republic was that the Federal government was only to look after the Federal courts, National defense and resolve conflicts between the states themselves. Everything else (inlcuding welfare) was left to the States.
Now we have a top heavy system, where the Feds do most of the heavy lifting and the states are there to provide lip service. It is like a 200lb person with a 140 lb head. It was not supposed to be like this.
The irony of a country imposing tariffs that imports more than it exports. We're really gonna feel it, and the people who can afford to will just leave.
@@iamscoutstfu You know it will cost hundreds of billions of dollars to build up that infulstructure to "build american" right? Which means more subsadies to coperations- oh wait, how is the federal government going to pay for that? You can take a big guess as the tarrifs can be thrown back to the USA withe the same sort of goods, or worse.
I can’t help but think with all the billionaires in Trump’s cabinet and inner circle they may have different priorities than the rest of us. Maybe it will be a golden future for all but I’m very skeptical.
@@Brent233Trumps a populist, his agenda isn't going to concern the ordinary human. America is just a giant shit show of people clambering over each other waiting for a new war for unification.
หลายเดือนก่อน +2
golden era for Musk to not pay billions of dollars in taxes!
VAT taxes are not comparable to a tariff. VAT is factored at the store so you don't have to math it out at check out, while a tariff is the cost of importing goods/products. Leveraging tariffs as negotiation tools to get back at China is a dumb trade policy that misuses the authority granted to the president.
@@iamscoutstfuthe vast majority of products are made outside the us, so obviously all Americans buy foreign products (or buy domestic products that are created using foreign products). The US is never bringing back low cost garment manufacturing or basic goods, which are things poor people need. So yes they would be buying foreign goods and paying more.
You forgot to mix in exporting fuel and energy. Or at least 3/4 of the way into the video it didn’t say anything about that income for the government. You also didn’t mention that if those companies built a factory on US soil, they wouldn’t have to pay those tariffs bringing more business onto our lands creating jobs amongst other things
Consumers always pay for the taxes. Tariffs will just raise prices and promote shady tactics. I don't see production coming back to the US. Instead to our trade partners. Since their are tariffs companies can justify increases on supply chain. Pricing will generally will always go up unless we find a country to lower production costs.
I'd much rather pay 10% more for a product than have the government steal 30% of my paycheck against my will every two weeks. I find it interesting that you dedicate the whole video to talking about the nuance and knock-on effects of tariffs and how everything is interconnected...then you just drop 'raise corporate taxes' and gloss over the nuance. Raising the corporate tax will have all the same negative effects of tariffs with none of the potential benefits. If you raise tariffs or corporate taxes, the prices will go up as companies pass the cost down, but with corporate tax, many companies will either close because profit margins are way tighter than people seem to believe or they will leave the country to maintain profit. For some reason, I think having huge numbers of American companies leaving or closing will have a negative effect on the country.
Funny how Trump and his supporters think that other coutries are going to sit there and watch USA do it, without responding. Do you think you're going to sell your coke, Tesla, Nike shoes Microsift office, nvidia chips or Levis without tariffs added ?
They already do. How many American cars do you see across the world? Compared to America where foreign cars are at least half of the vehicles on the road. I dunno if this is the right move, but we have to do something, the economy is heading for disaster as it is. I suppose we'll see how it goes.
Companies are the ones saying this is going to hurt the consumer. We might have to shop smarter when buying non American made goods. Goods might cost more but you might also have more cash in your pocket if tax can be reduced. More jobs in America more money in Americans pockets. More stimulation of the American economy. Most of this is a threat too
It is so more complex than just not buying imported goods. Trump wants blanket tariffs... Even American made products usually have imported materials in their manufacture. You will not have more cash because everything you buy that you need will cost more. The last time tariffs was used as Trump suggests,, it caused the great depression. Go look it up.
@@Terrackhimself The most chilling thing is that the tariffs is actually the lesser evil Trump plans as the deportations of workers will cost USA even more.
@@Terrackhimself that’s why trump is trying to tackle the economy at multiple angles. And yes it was mostly a threat. I would imagine trump was educated however the skeleton is there. Trying to do tariffs will need a ton of critical thinking on how it would work were the u.s could become self sustainable or atleast make deals with countries like a nato of consumerism. The concept of self sustainable country is there but only allies can make it possible. Trump is doing the are you my friend or theirs. Pick a side hs girl bully logic in order to get Canada and Mexico on line. China is a leech not a friend
Excellent breakdown! And kudos for discussing the matter of corporate taxes. 1 thing is missing though (understandably for a 15min video), historical evidences of the effects of tariffs which can be seen by looking at late 1920s era.
The only things we have to import are things we cant manufacture at home. So yeah, pay more for the wine, pay more for the fancy flat screen tvs. We need groceries to be cheaper
Love these comments. Nearly 60% of fruits and nuts consumed in the U.S. are imported. 40.4% of vegetables consumed in the U.S. are imported. 70-85% of seafood consumed in the U.S. is imported. Also. Check the labels on your clothes. Oops.
In every scenario where any taxes is raised , consumers will find it harder. The benifit to consumers will come if corporates accept lower margins across the board
Jack Welch ended that. US companies are driven *entirely* by return to shareholders. Just look at the recent shooting of a healthcare CEO - profit trumps everything else.
If they accept lower margins , them they have less profit, therefore fewer jobs and lower wages for existing jobs, which reduces US consumer spending and the cycle keeps goimg............... Not that ximple
Its because a person makes 20000 and a businesses makes 20000000000. Percentage is relative. 1% corporate earnings annually is more money than a whole family will earn combined in their lifetimes
So once they raise their prices on non essential goods, you stop buying those goods. When the company loses money, they will either lower the cost and eat the tariff themselves or go out of business. This will force countries to comply or lose their businesses. Sounds pretty smart to me.
Exactly. People just think buying all this shit is somehow a necessity. It's stupid plastic trinkets that we can all live without perfectly fine. If they jack the prices up really high, they will suffer massive losses and could perhaps go out of business entirely. They will eat some of the tariff costs if they want people to buy their stupid things. And people would be better off if they get rid of their consumerism and just went without some of this retarded stuff.
Tariffs are great for the American people if implemented properly. I don't like Chinese food and wine or their products. I'll stay away from foreign made products. Made in America used to be the standard
Only because the rest of the world was recovering from the world war, once European, Japanese, Chinese manufacturering got back on their feet American industry was undercut on pricing and surpassed in quality
Used to be until companies realized it costs less to import goods. "if implemented properly"...sorry to tell you but no such creature exists. Costs will increase especially on domestically produced goods.
The really insidious thing is retailers embed all these tariffs, fees, levies and taxes into the price, which you then end up paying sales tax on. The higher all these embedded taxes the more the gov makes in sales tax from you directly, and the less value for your hard-earned money you get.
Income tax was never meant to be a permanent part of the American government at our founding. Income tax and Fiat currency is a chokehold on the economy. The Federal Reserve being able to print money at will is unconstitutional and dangerous.
There is zilch in the Constitution stating how government fiscal policy should operate. It states nothing about a metallic standard and nothing about how the government should create or demonetize currencies.
Sorry didn’t see if you mentioned that companies have the option to move manufacturing to US - the only option isn’t to raise prices, and think it should be mentioned. I don’t agree with replacing income tax with tariffs. IMO we should have both and pay down the national debt.
You forget that the companies that move back to America will raise prices anyway. Your worker base isn't skilled enough to start manufacturing and also are too expensive. The raw materials needed will most likely come from overseas which is also then tariffed, prices get raised to the end consumer....So that idea is torpedoed. You can't lower income tax and raise tariffs at the same time. It's not possible. You can't then also pay your debt down either simultaneously. Why? Because that would mean America wouldn't be #1. It would have to rein in spending which your biggest liability is defence. As an American you are most proud of your military and image on the world stage. So that ain't happening anytime soon because America loves a good conflict. It's part of the nation's DNA! You can't have it all mate!
You don't pay the debt . If they wanted to they could have just done that long ago by printing the money. They want to inflate the debt away over time to screw the debtors. The goal is to outgrow the interest by raising the rate of gdp growth faster than the inflation rate. To reduce the deficit and idk maybe even have a surplus would be the long term solution since American debt is not a bill they can pay off like a mortgage. It comes from selling bonds that must be paid with the agreed interest on the agreed schedule. Stop selling bonds start exporting more goods grow the market
Or have the government cut its outlandish paying ?! Does DOGE ring a bell ? You think want to be made poorer??? While the government prints away money freely devaluating the little you have?
Moving your entire manufacturing process to another country takes a ton of time and money, much more likely companies ride out the 4 years and wait for the next president to roll back the tariffs
Tariffs don't work, it's tit for tat with them. America is an mostly an importer and the already high costs of exported of the small number of american goods would collapse those businesses overnight.
didn't they point that out to Trumpy at Wharton oh right, some prof called him "the dumbest goddam student I ever had" he was also the dumbest goddam president the US ever had according to 50 historians and it takes a A LOT of dumb to elect a moron
You don’t need to impose 71% in tariffs to make the same revenue for government, cause government needs to be cut in half and be efficient, then you would only need 35.5% in tariffs.
Australia's economic decisions are troubling. Devaluing our dollar to sell items cheaply negatively impacts the majority, while only a few, like certain industries (and only than, owners…), seem to benefit. With the possibility of further tariffs, our currency might face additional devaluation to skirt around this. Why are we accepting this situation? Issues such as unskilled immigration and an overfunded government that practices crony capitalism is not the way. Australia, it's time to reassess and rectify our woke mindset and self imposed challenges. As an Australian, I'm thankful that I haven't invested in this unstable economy for several years. The writing was on the wall… and now it’s engraved.
@@beaunorman3706 - where do you think the value of the AUD comes from? It isn’t fixed by the Government? It floats and is market driven - the only real influence of any substance is the RBA setting of interest rates. And the model of supporting the exporter is about our balance of trade - imports versus exports. The more exports the stronger the AUD, the less exports and more imports, the weaker the AUD. So if you stop supporting exports and want to artificially fix the dollar - well that will generate debt as the Aust government props up the fixed dollar like it used to before the 80’s. And by the way - this has zero to do with woke.
hmm - government taking 30-50% of my check vs paying additional 10-20% on goods while keeping 100% of my check. ... I'll take increase cost of goods over the ineffective government use of my dollars
One thing you didn't factor in is gas prices which has impacted all goods and services dramatically. Once we produce our own US domestic oil again, prices of food and everything will decrease for the American consumers. I think tariffs are the way to go.
We already do produce a significant amount of crude oil domestically. The problem is that we literally export all of it because our refineries are all geared for low-quality imported shit.
Controversial? Income tax was never supposed to be permanent. People just kept paying it and the government never told them to stop. This country used to exist only on tariffs.
I'm no economist, but is there something to be said around how buying locally will keep more money in the "local system" and potentially boost revenue from other forms of taxation related to spending and earnings? So, if you as a consumer are spending more on local goods then you would on imported goods (before tariffs), you would be supporting local jobs, job creation would create a larger tax base. Having more people with jobs and money will mean more people buying things in general etc, taxes around real estate, businesses (more being set up locally). Of course with the above if federal income tax was abolished then the government wouldn't be able to get some of those potential benefits in revenue. Although again in the USA don't they have federal and state income taxes, is it just federal that would be abolished? This is more of me thinking out loud than a statement itself, I do find it interesting how you change one thing and it can have all of these unexpected knock on effects etc, changes in the peoples behaviours.
In theory yes, but domestic products often are way more expensive than imported, which keeps low income families from being able to buy them. If you want to support local production dismantle monopolies and subsidize small businesses. Capitalism is failing spectacularly, the only people who are benefiting are people like musk, trump and their friends (friends meaning people with similar amounts of cash).
Your statements are on a long-term effect viewpoint which does make it sound nice. But how long will it take to bolster the local business so that the average joe (who doesn't have more than $1000 in a bank account) can afford to shop there? Many places that the majority of the nation sho at like cosco, sams club and Walmart will have to raise their prices to a point where people don't want to shop there anymore. I don't see all of that happening in a 4 year term.
Yes, there are Federal, State, County income taxes, Keep in mind: Some states run without income taxes at all And most Counties run with little to no income taxes, There also a possibility that we could a Switzerland like system, where the States are the ones collecting the bulk of the taxes and giving money the the Federal government instead of the Federal government doing most if it and supporting states since they don’t tax much
In theory sure, but that's assuming that all the materials needed to produce the local goods are actually available locally, local companies may rely on importing supplies from other countries to actually manufacture their goods/provide services
I go out of my way to buy American now. This I fully support. Additionally in the early 1900s we funded everything with tariffs so we have a benchmark of how well it works. People are trying to complicate this in an attempt to to show it as bad when in fact, it is good for america.
There is no reality where American tax payers can continue on this current economic path. Tariffs won't solve the problems alone, but NATO is a perfect example. Every country on earth has benefited from trade deficits with the US, while not paying their fair share. We're tired not just of the US government screwing us - every government does. We finally have someone that's doing something about it and if that means more expensive wine... we'll live.
Get a 7-day free trial and 40% off Blinkist Annual Premium by clicking bit.ly/NewMoneyDec24 or scanning the QR code.
Now discuss the word "embargo" and its relevance for a state that has shifted from income tax to tariffs... As an EU resident I look forward to the US revising its tax base in this way. It's nice to be able to adjust the US tax base directly as an external actor. Lots of fun to be had. I'd imagine Russia and China have similar thoughts. It certainly casts the idea of a trade war in a rather novel light... Go for it, I say. At the very least, it'll be a giggle :)
I’m gonna give Blinkist a try😊. Thanks
Thanks for not being bias
speaking of tax and Australia.. can someone please explain to me why we still have luxury car taxes when there are no car manufacturers in Australia?
The only goal of his administration and the conservative congress is to accumulate as many assets as possible while having no accountability for their actions.
Everything else is a side show that can be ignored. Focus on those two things and you will see through all the distractions. Tax cuts are part of the asset accumulation. And all the debt that comes with it will be part of the no accountability for their actions.
“The government will have less money”
That is a sacrifice I am willing to make
So you think!
I mesn he has said he uses the gov money....and hes like a lagit criminal lol, criminal will be criminals.
I guess you don't know economics . I guess you didn't know that that was how the government was funded before there was the irs
The irs is not that old. The usa used tariffs for two hundred years before good ol wwii rolled around!! And it was supposed to be temporary!
@craigwilliams1577 exactly right!
Just answer me this: Before the income tax was imposed in 1913, how did the government fund itself for.the first _137_ years of its existence? The biggest problem in all of this is the SPENDING and size of the federal government, which is WAY, WAY, WAY bigger than the scope the Founders intended with Article 1, Section 8 and the 10th Amendment of the Constitution.
Genius right here!
But the government growing bigger has also led to overall better outcomes for people in the USA. For example, the overwhelming size and production of the military during WWII would not have been met without tax, the H bomb was the largest amount of money the government had spent on any project. This tax allowed the US and its citizens to become a superpower. Social security is the other giant cost to the US which I am sure you have your opinions on but millions of Americans rely on it every year. Income tax also levels the playing field as it means that the top 1% can’t make even more money of the rest of the country. Wealth disparity is already bad in the US but would be far worse without income tax.
Simple. Back then, not much money was needed compared to today. There was virtually no infrastructure. Cars and Airplanes didn’t exist. No real mechanized military. Much smaller population and most living in the eastern United States. No medical technology. No social programs. Education was very basic for the majority of people.
You are correct. And everyone seems to think that the businesses that provide jobs should pay for everything . If you were in business you'd move somewhere where things are cheaper too. How about all the blood sucking politicians who get a big pay,cash in on inside trading,and put their money in off shore accounts..
@goosegamerau3200 You ignorance is impressive. The tax system is used as a weapon to keep the rich at the top and you at the bottom. The rich never want the income tax to go away because of this. Please educate yourself on the issues.
Get rid of income tax and let me be in charge of how my money gets spent. We The People damnnit.
We The People always meant to the new American government not the actual citizens
You will never be in charge of how your money is taken.....it will simply be taxed more by your local gov't, idiot
You're enslaved. "we the people" was a hoax. The p3d0 oligarchy rules supreme over the peons.
Getting rid of the irs means getting rid of mandatory medicare! Bye bye penalties!!
The real question is why does the government need 2.2trillon dollars to function for a year.
Google it mate
Because it’s overinflated and needs to be cut back like Trump is pushing to do. Also, tons of waste and BS like giving other countries OUR money.
@@hyppievanmanThe US Government spending isn't overinflated, 90% is on mandatory spending. This is why Trump cutting taxes on the ultra wealthy will cut benefits to include social security and Medicare. The wealthy do not need those things. To reduce Government spending he will reduce the services to the people.
So they can pay the saleries of all its employees, the depatment of defense gets at least half of that money
11 aircraft carriers, 20,000ish nuclear weapons, 71 submarines, 19 stealth bombers, 630 f35s. Should I continue?
Sounds similar to sales tax. Id rather be taxed on things i buy, either by a percent add or increase in price, instead of any money coming out of my paycheck. We are obsessed with buying things and that needs to slow down.
Exactly! I'd almost rather pay MORE based on consumption that I control than on my income that disincentivises me from increasing my income!
Agreed
truth, I wouldn't mind paying extra tax on shit I buy if it means I save more money in the long run by them not taking income taxes out of my paycheck. Unsure how feasible that analogy is though.
I'd rather just be taxed on one and have the other left alone.
It would force the prices up on everything including food when the poor are already struggling to eat and they don't pay taxes now so they receive no benefit only deeper poverty!
Imagine missing out on XAI44K$ when it’s this early. Some people just never learn.
If XAI44K$ really hits $10 in the next cycle, I’ll finally buy that car I’ve been dreaming about.
Well something has to change. We can't keep doing the same thing over and over expecting a different result.
I thought I was late to XAI44K$, but realizing it’s still early made me double my position.
U missed a few things about tariffs. Its not really about making the government more revenue because he wants to also lower income taxes. Another reason you impose tariffs is to incentivize companies to bring their manufacturing back to your country because all those jobs are needed here. When you lose jobs you lose a lot of GDP and money circulating through your home country’s economy. When you have a huge trade deficit for decades in a row like we have, it makes your country poorer and poorer while making your trade partners richer and richer which is exactly whats happened to us. They keep siphoning our money away and giving us plastic garbage that disintegrates. You may not understand the demoralizing effect this has had on Americans being in Australia, but the psychological effect is dramatic. Gen z and younger basically feel like a normal life, home ownership, starting a family etc is now unattainable.
This is the big picture, which sadly most people will overlook. And I think such changes would take a long time to come to fruition. Probably more years than Trump will be in office. The government has been digging a deeper and deeper hole for decades.
@@MFN.Starboy facts
The problem is the current generation learned from the previous generation, which learned from the baby boomers. The baby boomers basically destroyed the idea of "for the greater good," or "for the good of the country" and just threw the entire country into disarray. In order for the country to ever have a chance of healing, the current generation has to sacrifice more in order to teach the next generation about how to take care of the country rather than just being a bunch of anti-america hating sympathizers and anarchists. Nobody denies that these tariffs WILL hurt in the short term, but over the long term it'll ultimately help America for the better.
@@AtlasAdvice254 The "boomers " did not destroy the greater good, the owners of the companies who shut the factories down did. As for the idea that the presant younger generation can actuly do the manufactuing jobs these factories offer is laughable. It will be AI and robots doing most of the work, wherever the tones of cheap ispoable tat is made. Riseing amounts of money flying around that seem to get people excited is not the best way to measure the economic health of a nation. Healthy citzens who can afford the basics is.
And yet they are the generation of Shein and Temu... Get your head out of the clouds.
One thing no one seems to mention is if things go up 5 to 10% but we stop being taxed 13 to 25%. It will still be better. Especially if the over time tax goes away, I just lost 33% of my bonus.. that’s absurd
True!! Plus there will be more domestic jobs created!!
If you remove federal taxes how do you fund the federal government?
@DrewJenks76 I can guarantee that the income tax is not the only federal tax and is not the biggest money maker for the government. As it stands, if the government is low on money they'll just take it from something else such as social security anyway
@@DrewJenks76 you don't! There's so much misuse of government funds. Its infuriating.
@@tbear0553 In essence, collapsing the economy is not a viable solution to address its problems. While it is true that the system faces challenges, destroying the U.S. economy will not rectify these issues of misuse. We must elect individuals who are committed to doing the necessary work and due diligence to fix the system. This involves taking the time to craft proper legislation that is not influenced by lobbyists or corporate interests seeking specific outcomes.
Furthermore, it is crucial to reject the notion that the solution lies solely with individuals on either the right or left who advocate for extreme measures, such as cutting spending or increasing taxes. Instead, we should focus on long-term gains rather than short-term benefits. Continuing to prioritize short-term gains will exacerbate the already fragile system.
Studies have shown that Tariffs don't actually increase prices. In multiple countries studied, when Tariffs were imposed, consumers would switch their buying habits to purchasing domestic goods. A result of this was that the overall prices for goods did not increase and the local economy got a boost because more money was being spent on domestic goods. For the USA this would mean more jobs for Americans at higher wages at the same time that goods don't experience any increasein prices. This is the best of all worlds. Trump is doing the right thing for Americans by imposing tariffs and eliminating the income tax.
As long as those products exist that are produced locally. While the US produces loads of things, there are a great many things that don’t have a domestic manufacturer and that cannot be easily produced locally. Also remember that many manufacturers left the US and Canada many years ago in order to manufacture items with cheaper labour. So a massive tariff will cause so many thing you purchase (think electronics, most cars of Mexico and Canada have tariffs), clothes, some food products, most home products, books, and of course a huge amount of machinery needed to make such products. Also if people do switch to locally produced products, then no taxes are generated either, so you can’t reduce income taxes then
@@frogApple Unless those producers move to the US to keep the tax rate lower and provide their products at the same price as before.
Thank you, someone else who gets it.
Sure prices of stuff we don’t make domestically or in enough quantity domestically YET will be more expensive for a while. One should avoid buying these whenever possible during that time.
Fast forward a couple years or so and we will see companies either coming back, or new companies filling the gap of companies who left because they didn’t want to come back. At the end of the day it comes down to which companies are for growing America and care for everyone here, or those companies that only care about themselves even if it costs America and its people.
Additionally if we make our own products here at home we don’t have to rely on anyone like China, who can use that as leverage and starve us of everyday things. We need to be self sufficient, computer chips/processors we need to get going domestically desperately, I believe Biden addressed this too.
Let’s pump that money back into America and fix our infrastructure and power grid that is decades past its service life and crumbling/rotting away.
The tarriff plan will evidently lead to high inflation, the high inflation is a significant reason why most retirees have sleepless nights. The increase in prices of everyday items puts them at risk of running out of money. As prices rise, the amount of money retirees can withdraw from their retirement savings also increases.
The increasing prices have impacted my plan to retire at 62, work part-time, and save for the future. I'm concerned about whether those who navigated the 2008 financial crisis had an easier time than I am currently experiencing. The combination of stock market volatility and a decrease in income is causing anxiety about whether I'll have sufficient funds for retirement.
If you are in cross roads or need sincere advice on the best moves to take now its best you seek an independent advisr who knows about the financial markets. It's better to hire a skilled financial planner especially if you're not one yourself. I hired one after my retirement pension took a hit in April due to the crash.
Market behavior can be complex and unpredictable. Mind if I ask you to recommend this particular coach to whom you have used their services?
My CFA, “Annette Christine Conte” is widely recognized for her competence and expertise in the financial market. She has a thorough understanding of portfolio diversification and is regarded as an authority in this field.
@@jeffDwyer1 Interesting. I am on her page on the browser now doing my due diligence. She seems proficient. I wrote her an email and scheduled a phone call.
How about the government cut it's spending and then cut taxes.
Absolutely.
DOGE. That needs to be worked into the entire discussion of this video.
@@marcmarc1967 Because it is a cash cow for Musk. The money he takes away VA, Social Security, Medicare and other programs will be redirected to his projects.
They are planning to
Before all else, how about Americans decide how wealth and income should be shared? From there, who should bear the biggest burden to keep the System functioning? Isn't that what's government and taxes all about?
xAI39E$ and ETH together? Bro, this combo feels unstoppable. 15x is just the start 🚀
Income taxation absolutly needs to be completely, and perminantly abolished.
😂
Taxation is your annual subscription fee for the society you live in
@@grantsmith505 🤦🏾
@@grantsmith505 that's cap. 🧢
@@LibertyGoblin Just move. Problem solved.
You're welcome.
You pay 20% at least if you're in the lower income range so a little more on imported goods is a great deal... We can produce more here and make good jobs in the USA
The same people crying over tariffs are the ones who got us in this mess!
If you're in the lower range you're not paying any income taxes,because of deductions and credits. Many people have a negative effective tax rate. I would definitely benefit from this as I'm making 200k a year and already own all the big ticket items.
Also if you watched the video you would know that we would need a 78% tariff on all imports just to make up the current income tax revenue. This will never work.😂
@@linemanapYou're delusional
You won me over, I was about to point out that the commentator on the video forgot to mention that such tariffs promote American companies to produce here in the main land hence more jobs and wellbeing for the American citizens... Your money won't be supporting any longer labor exploitation in Third World Countries , just saying....
Eliminating income taxes will end a great injustice on the American People.
then how will we pay for the country to function (the Military for example , there is a lot that goes into the government i mean expenses ) , i would say we need to cut spending but if there is no revenue how will government work
@@yashwingokavarapu6845get rid funding for social issues, they’ve always been bs
@yashwingokavarapu6845 there are other forms of revenue.
Most of that military money goes to defense contractors, it doesnt even go to the soldiers
This is the opposite of the truth.
LOL. au contraire. income taxes can be scrapped for salaries less than 150k/y. but everyone making more should be milked and all the 'loopholes' closed.
“Imported goods will become more expensive”… yeah that’s kind of the point… his whole model is to buy American products because it’s good for American businesses and the US economy when people feel like it makes more sense to buy American products only.
The problem with that is that American made products still tend to be more expensive due to labor costs.
There’s so many products and resources that we rely on that America has little to no infrastructure in such as semiconductors and electronics such as phones and TVs. It helps us none if we can’t manufacture the stuff here.
For example: Name a cheap television manufactured in the USA, name a cheap phone manufactured in the USA, etc
well for American manufactures to get price advantage we need at least 50-100 percent tariffs (depending on the industry)
nothing wrong with tarrifs just a tool. But we cant make the money the government currently needs just from tariffs
the more you increase the traffis the less people will consume there needs to be a balance for most revneue
Issue with that is business will see over seas price and try to match its a lose lose situation
@@ripman21 Not necessarily because it’s less shipping costs for them. We just need ✊🏿 people to get off the welfare, and get actual jobs
Here's a crazy idea. STOP SENDING ALL OF OUR MONEY TO OTHER COUNTRIES! If we did that, we could eliminate all personal income tax and wouldn't need tariffs.
Facts💯 i said the same thing look out for the American people that work hard every year
The tariffs will hurt financially for about a year or so on items that we import. Then our manufacturing will come back like it used to be, and we will no longer be paying high prices for items, being they will now be made in the US. This will bring jobs back, eliminate the income tax, and I’ve done correctly pay back our deficit.
elon musk is already lining up half of india and china on visas to make it happen.
You do realize we cannot manufacture everything or grow specific items in the US. For instance, we cannot grow cacao trees or coffee beans domestically. It also takes years to build the factories necessary to make these parts that can end up being a bigger hassle than giving any sort of benefits. You're asking to pay more even though the guy said he'd fight inflation when he'll end up contributing to it.
@@Smash_terwe aren’t going to significantly tariff products we can’t quickly set up manufacturing in the us for, that would be dumb
@sorta.average you want to believe that but he wants to enforce tariffs across the board, meaning he's tariffing things we cannot produce en masse. All his tariffs prove is he is not a good negotiator and is willing to tear down his own trade agreements.
@@Smash_terI love how you use "years" as a fear tactic. To be clear 3 to 5 years max for a large facility. Meaning 1 to 2 max for average size facility and about a year for smaller facilities.
No not everything can be produced in the U.S. but you fail to mention not everything the U.S. can produce can be produced in other countries as well. Do you really think those other countries will put high tariffs on their items and not expect to pay through the nose for goods they can only get from the U.S.?
It seems everyone forgets they are mixing needs and wants together. We need food, and we can grow our own food. We want a cheap phone or TV but it's not required to live. Under that Democrats back in 1913 wanted to shift from tariffs to tax so they could move business overseas for slave labor. You've been living in a dream world Neo
Comparing apples to apples (in the USA), a quick internet search shows that individual incomes in 2023 were ~$23 trillion and corporate incomes (revenues) were ~$30 trillion. And yet, individuals pay ~89% and corporations pay ~3.5% of the tax base. I know this is simplistic, but given the impact and costs corporations cause to governments (e.g. bailouts, etc.) it seems like it is something that should be discussed.
And then top 1% pay 50 % of taxes so where's the math there you neglected to mention there are 300000000 regular folk and like ten trillion dollar corporations
One more small point everyone seems to miss about corporate tax. When a corporation pays more in taxes they charge more for their products. Thus the consumer pays more and pays more in sales tax. Fines imposed on companies result in higher prices too. There is no free meal.
If you increase corporate taxes it can just lead to businesses moving overseas and less growth. Due to this its common for countries to increase corporate tax rates then subsequently see their corporate tax revenue decrease. So its very difficult to get the balance right.
Corporations have shareholders and they pay another taxes on top of corporate tax. So lower corporate tax means more prosits for corporations which mean higher share prices which mean higher capital taxes and higher dividend withholding taxes.
@@simpleminded5215 they still cant pass 100% of the burden to the consumer though, at the end of the day they will bear part of it.
Go ahead and tariff goods and eliminate my income tax. I would get a guaranteed extra 24% on my annual salary. I don’t even spend near 24 percent of my annual salary on imported goods. So it would be a win for me. I only spend about 60 percent of my annual salary period and that includes a lot of stuff like mortgage, utilities and foods that are all domestic.
This is s slight oversimplification but given your inelegant response I am guessing you understand that and were just making the simple point. you are clearly on track.
You guarantee spend way more than 24% on imported goods.
Do you buy electronics? Do you have car? Do you buy any kitchenware? Do you buy groceries? Do you buy laundry detergents and dish soap?
Many of the raw goods used the make the cars are imported, including the raw iron and aluminum used for the chassis and engine.
Virtually all electronic boards are made in Asia, so anything you get with electronics in it is either fully or partially imported.
When our growing season ends, we import produce from countries in the southern hemisphere (like Chile) to fill the void. If you buy any food outside of the US growing season, high chance that the food was imported.
Some of the chemicals used in detergents and some of chemicals the dish soap is made from are imported as well.
Nearly everything in our country is either partially or fully imported.
😅😅😅😅 He's nuts.
@@xboxbam3979 Electronics, dish soap, kitchenware, vehicles etc... etc.... I don't buy every week. But payroll taxes do come out of my check every week. With no federal income tax or reduced federal income tax I can afford to buy these such things when I need to buy them. The money that I save in taxes I can use for investments now. Which is not much. But it's still more than not having said money at all. We will have more of a choice to how and where we spend our money because it will be in our control.
willing to bet you pay zero in income tax
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Tarrifs are a consumption tax, it would have to be done carefully and in lock step with reducing income taxes.
Why do some people freak out over taxing consumption (much of which is discretionary) but not stealing from people's labor.
probably because we know he won’t lower our taxes, he’ll only reduce corporate taxes
Because the low income worker doesn't pay federal taxes. With Trump's plan they will.
Preach it.10000000% You understand!
@@jimmycrackcorn99 We need to educate them on how it will actually make their lived better.
@@Angrycapitalist it would hurt middle to low income households the hardest, while high income households will benefit from more cuts.
While it sounds great on the surface, I can’t help but wonder-how will this impact retirees like us? With inflation already sky-high, I’m worried it might make things worse
Same here! On one hand, it could mean more cash in our pockets, but on the other, if government programs like Social Security or Medicare lose funding, we’d be left to fend for ourselves. That’s a scary thought for people close to retirement
For those of us managing investments, any shift in government revenue could send shockwaves through the market. That’s why I’ve been working with my CFA, Joseph Nick Cahill. He’s helped me diversify my portfolio to withstand economic uncertainties like this. His free consultations are a great way to get started, too.
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His consulting page ranked top
So tariff makes a bottle of wine go up $10 bucks, that’s liveable especially considering someone would go from $20 to $26-28 bucks an hour without income tax…
I think the point is that they wouldn't be able to replace income tax with tariffs, so they're still stuck with the $20/hour but they have to pay more for goods. So the worst of both worlds.
In my opinion, wine is a bad example because it's not a necessity. If you think about something that is less flexible, like a washing machine or refrigerator (priced at $1000), it becomes a lot harder to afford when it increases to $1200. Especially when all of your other expenses are also increasing, and your income stays roughly the same.
@@trentasaurus5478 I am going to copy and paste a comment that I just replied to someone else's comment because I am too lazy to type it all again.
COPY/PASTE: Electronics, dish soap, kitchenware, vehicles etc... etc.... I don't buy every week. But payroll taxes do come out of my check every week. With no federal income tax or reduced federal income tax I can afford to buy these such things when I need to buy them. The money that I save in taxes I can use for investments now. Which is not much. But it's still more than not having said money at all. We will have more of a choice to how and where we spend our money because it will be in our hands. Not the Federal Governments hands.
The Smoot-Hawley Tariff Act of 1930 was a law that increased tariffs on imported goods, resulting in Increased prices,
reduced global trade and economic decline which is often blamed for worsening the Great Depression.
“History Doesn't Repeat Itself, but It Often Rhymes” - Mark Twain.
The Great Depression was caused by the Federal Reserve and prolonged by government spending. 1913 was the year they took our freedom away and made us all slaves. Trumps plan if he can succeed at making it happen without being killed by the bankers would finally restore our freedom. Everyone wants to look at one issue and not look back at the foundation it was built on to see there were flaws under it that were the real problem. A central bank loaning us money they print out of nothing and then we must pay them back with interest but the only place we can get the interest is from them so we are in permanent servitude to them with no way out unless we reassert the constitutional responsibility to mint the currency like we did in the beginning and like Lincoln and JFK tried to do. It all depends on if Trump can get the constitution reasserted and without them killing him like they have all the ones in the past who stood up to them.
100%
That was 1930 lol. Things changed
The depression did not hurt the rich so much. It was devastating for the working class.
@@patndave4919 Absolutely true. All the more reason to change things so the working class have a chance. The current income tax actually traps the poor in nearly eternal poverty because if they work hard they loose government aid and get trapped in the lower middle class. The middle class pay well over half of all the taxes so getting out of the middle class is nearly impossible. All the real tax benefits are bought and paid for by the rich so they stay where they are and the politicians are happy to do that for them because of the back door money they get. Show me a politician who went to DC and came out in the same financial position they were when they went in and I will show you an honest politician. They all go in at one level and come out much richer. Many go in with nothing and become multi millionaires off the people they supposedly serve.
Why aren’t you discussing the wasteful spending that’s been eating our taxes for decades that haven’t made the country better
DOGE
How much do you wasteful spending amounts to?
Examples
@@TheDevastator619 1m dollar toilet in california
A good portion of this “wasteful spending” is related to our defense/military budget. How yall dance around that fact without addressing it is baffling. But trump not gonna cut into that of course not so the American people have to suffer to avoid cutting that and prove a point to other countries
Imagine XAI20A$ at $1 now and $15 next year. That’s why I’m all in-no brainer!
Buy American made…especially big ticket items. I means something to me.🇺🇸
Tariffs aren't a good idea because it creates a snowball effect with the exporting country placing on counter-tariffs. This was found in the 70s and 80s
I think the US imports a lot more than it exports to those countries? So wouldn't really effect them
If the US had imposed tariffs on Chinese imports identical to the amount China imposed on US goods since the 90's, the US's deficit would be much, much smaller and the oceans a lot more healthy. Does it look like China's economy sank since the 90's??
BUT they need us more than we need them 😉
Then its time we placed our counter tariffs on the countries that already tariff us.
Look at the bigger picture. Look at the slavery of central banking and how paying infinite interest on nothing has us enslaved to the international bankers. The Terri's are not the problem. If we do not cut the chains of bankers international slavery then nothing we do will ever work. Int he 70's we exported a lot today we do not export nearly as much as we import, we are slaves to the rest of the world so things are different today. that said until we address the issue of central banks nothing will work. Trump has made comments about his plans to address this central bank issue as well. If he can do that then all the rest will fall into place. The concern I have is the last two presidents who took on the central bankers were both killed. Lincoln after the second national bank was shut down and he showed how printing our own money was better during the time they wanted to bring in the 3rd national bank, and JFK under the 3rd national bank (The Federal Reserve).
I’m fine with paying more for goods that I buy daily. I want to get paid all my money that I worked for at my job.
Imagine xAI39E$ at $1 now and $15 next year. That’s why I’m all in-no brainer!
You said xAI39E$ will 100x in your last vid. Can you share more details? Everyone needs to know!
Just do a flat 10% tax, and the government just has to operate within that budget. Done.
Those that advocate for a flat rate tax do not understand the value of money at all. Spending $10 if you have $100 means a lot than if you're spending $1,000 if you have $10K
Government spending needs to be cut dramatically. It’s crazy how much of our money they spend. If we the people spend more money than our budgets we are screwed
OMG, your calls are insane! 10% gains last week. Thinking about xAI39E$, SOL, and MATIC now. Thoughts?
There is also the retaliatory tariffs that will be placed against US exports to consider, how will that affect US companies profits
He doesn't care about that
@anubisgod23 he says he wants to "balance" trade deficit how does tariffs on US good and services help when retaliatory tariffs make them more expensive to import
Those tariffs already exist. Trumps tariffs ARE the retaliatory tariffs.
@anubisgod23
Damn bro. You love posting your midwit
Takes just about everywhere, huh?
During his first presidency Trump imposed tariffs on EU goods. The EU responded with targeted retaliatory tariffs aimed at Trump's base such as 58% on Harley Davidson bikes. Biden ended this spat and in response Harley Davidson's CEO wrote on their website "Today's news is a big win for Harley-Davidson and our customers, employees and dealers in Europe. Our thanks go out to President Biden, Secretary Raimundo and the U.S. Administration, for their efforts in this negotiation. We are excited that this brings an end to a conflict that was not of our making, and in which Harley-Davidson had no place. This is an important course correction in U.S.-EU trade relations, that will allow us to further....". Blanket tariffs are a blunt instrument that are as likely to backfire and hurt the instigator as much as the targeted country.
You know, these past 4 yearsi payed more in taxes, more illegals and less money.
Did your income go up a bunch? That is the only way you paid more taxes.
Stop believing the BS
Been watching xAI39E$, and I can’t resist anymore. Dropped $50k, and I’m ready for the boom!
The Trump TAX cuts only benefited the stakeholders and not the economy as they (share holders) gained more returns on investments. The biggest share holders were the Boards of directors and huge share holders. The average person in fact saw their taxes increase. Also these cuts were pay backs to the big donors of the parties. There is NO TRICKLE DOWN effect!!!!
Bullshit…..that’s why Biden didn’t let them sunset, right? Because it only benefited “shareholders” right? A quick google search will show you’re wrong but you do you, boo boo. Keep spreading that misinformation
XAI106K has real value, unlike so many hyped projects. Holding strong and waiting for the world to notice.
scam, stay away from this.
Consumers can easily avoid higher prices by not buying these goods. You can't avoid the taxes when they tax your paycheck.
It would mainly hurt low income earners as they aren't paying much income tax. Compared to paying 25% more for everything.
I think it hurts all consumers. Low income is generally priced out or subsidized heavily. Middle is extinct. Basically making it or slipping to not making it.
Except local industry will boom which will increase demand for labor, which will pull people out of lower income brackets.
Low income jobs are being sutomated away, anyway, so this is the best option.
Reduce the income tax to equal the raise in tariffs = no effective price increase for imports and savings for buying local goods. Local support increases employment and production we can export. The more labor is in demand the more wages will increase, corporations love mass immigration because it lowers labor costs. Supposed increased criminal activity isn't an excuse to accepted it, crush it or be subjugated by it. Following up with reductions to government will further lower the amount of money needed to support it. We can always add things back, until then we need to keep cutting.
But you have redistributed the tax burden onto the poorer half of Americans, I would call the a repercussion. Sales taxes are highly regressive forcing the poor to pay a higher percentage on their income on taxers. Rest assured buying investment products will not be taxed but bread will,
@tombeegeeeye5765 The burden is shifted onto those nations who wish to have access to our consumer base, not to the poor. The adjusted sales taxs will affect import goods, not local goods, and with that sudden surge of support for local production will lead to both jobs and increased wages absence income tax. Even if sales taxs were to replace income tax, it would affect the rich far more, given they can't write the expense off while the poor will have increased power to manage their finances in terms of purchases vs it disappearing from their check before they even get access to it.
@@AzraelofLegionbrother, businesses pay the tariffs not the countries.
@@Smash_ter Business also pay taxes to the nations their headquartered in. Rather, through government assisted subsidies or lowered tax revenue, those nations pay into the tariffs.
@@Smash_ter🤦♂️
You said XAI20A$ will 100x in your last vid. Can you share more details? Everyone needs to know!
Another Question, if tarifs become unprofitable for the imports to be brought in that kills imports removing any tax revenue at all and you can't tax zero and get more
Trumps plan is to make the economy boom for America. Which means american companies. The opposite of imports 🤦🏽
i cant be the only one who heard 71% tarrif on everything. and thought... "THATS IT???"
hell a 150" short throw 4k projector is 1k on Amazon right now.
i dont need a 150" TV... i need assets.
Crazy idea here... exporter isnt allowed to raise the price on goods to compensate and importer isn't allowed to price gouge... like oh no ceo's only get a 5 million dollar bonus this year instead of 7 million. Come on guys its not that complicated.
Presumably the tariffs are just serving as a threat in foreign policy for better negotiation power. Lets see how many will really be imposed
Yep, Trump has managed to turn the American consumer into a bargaining chip
No he wants to change the way America makes it's income. By raising the tariffs and lowering the tax rate the equivalent percentage you can bring in the same cash without having had to steal it from your citizens and businesses. The idea is the saved income by businesses will be reinvested by competent merit based individuals rather than dmv workers at the government. This would grow the value of the businesses and the general economy which is going to help the debt issue as it would no longer be as large a percentage of gdp
It could also go really badly if countries just decide to sign free trade agreements elsewhere (e.g., China).
@@justinmadonna3733 This will cause problems in the short term, but strengthen the American economy in the long term.
@@justinmadonna3733 The problem with that as a solution to swap tax with a tariff income is that the ultra wealthy will pay a consumption tax along with the rest of the population. So as a percentage of income it is pretty well near zero for most of them.
The main problem with tariffs you have missed, example I know the US dairy industry, exports 15% of production and increasing. Their production costs go up because many inputs they use are imported and will get a tariff, making US dairy farmers not competitiive on the World market.This makes the 15% milk products exported not competitive so it then has to pushed onto the domestic market pushing down the price of domestic milk. Destroys many small dairy farms. Possibly good for Australian and NZ dairy farmers. Also Trump wants to deport many of the farm workers pushing up the cost of labour. Tariffs don't work.
100%, there's a compounding effect to tariffs, a US company that manufactures some product that depends on multiple materials that have tariffs applied may have to raise prices a lot more than the notional "20%" example used in the video
Unsure if you are aware of this but New Zealand farmers and industries (I am a Kiwi) receive zero subsidies from the Govt.
So then a domestic suppler will be found for those products needed.
Tariffs do work, its why there are virtually no American cars in europe.
Its proven that they work, your argument
Is simplistic and weak.
@@iamscoutstfu There are few American cars in Europe because American cars are not the type of cars that Europeans want to drive.
@@iamscoutstfu there's no American cars in Europe because they're sh*t, plenty of Japanese ones though.
I find it interesting I've seen several people spend all this time explaining how they'll just add the cost of the tariffs to the price of the goods, and the consumer will end up paying it. And then go on to suggest raising corporate taxes.. would that not be passed on to the consumer as well?
😂
XAI106K is like a hidden gem nobody sees yet. Waiting patiently for the breakout moment.
Pump and dump scheme
...but, you already knew that.
Don’t complain when he goes playing golf, just let him go and play as much golf as he wants
If we followed the constitution, our whole federal government was supposed to play golf 90% of the time. The remaining 10%, they were supposed to campaign for reelctions.
The whole idea behind the American republic was that the States solve people's problems and the federal government was to only look after the courts, national defense, and resolve tensions between the states themselves. Now we have a top heavy government, its like a 200 lb person with a 140 lb head.
The whole idea behind our Republic was that the Federal government was only to look after the Federal courts, National defense and resolve conflicts between the states themselves. Everything else (inlcuding welfare) was left to the States.
Now we have a top heavy system, where the Feds do most of the heavy lifting and the states are there to provide lip service. It is like a 200lb person with a 140 lb head. It was not supposed to be like this.
All in favor of a consumption tax rather than a success penalizing income tax any day.
The irony of a country imposing tariffs that imports more than it exports. We're really gonna feel it, and the people who can afford to will just leave.
Then we'll stop importing snd make it here.
Which is the whole point.
Welcome to the discussion?
@@iamscoutstfu You know it will cost hundreds of billions of dollars to build up that infulstructure to "build american" right? Which means more subsadies to coperations- oh wait, how is the federal government going to pay for that? You can take a big guess as the tarrifs can be thrown back to the USA withe the same sort of goods, or worse.
I can’t help but think with all the billionaires in Trump’s cabinet and inner circle they may have different priorities than the rest of us. Maybe it will be a golden future for all but I’m very skeptical.
A golden era for oligarchs!
*and grifters.
@@Brent233Trumps a populist, his agenda isn't going to concern the ordinary human. America is just a giant shit show of people clambering over each other waiting for a new war for unification.
golden era for Musk to not pay billions of dollars in taxes!
This is a stupid comment.
@NewMoney if tariffs are so bad, why do all the other countries place tariffs on the USA??
VAT taxes are not comparable to a tariff. VAT is factored at the store so you don't have to math it out at check out, while a tariff is the cost of importing goods/products. Leveraging tariffs as negotiation tools to get back at China is a dumb trade policy that misuses the authority granted to the president.
XAI106K gonna be huge, bro. People sleeping on this one 😤
Pump and dump scheme
...but, you already knew that.
Tariffs really just become a form of consumer tax. It affects the lower income earners far more than the wealthy.
Especially when he lowered the highest earners income tax
No, only if they choose to by foreign products.
@@iamscoutstfu ... and why do they buy foreign
@@iamscoutstfuthe vast majority of products are made outside the us, so obviously all Americans buy foreign products (or buy domestic products that are created using foreign products). The US is never bringing back low cost garment manufacturing or basic goods, which are things poor people need. So yes they would be buying foreign goods and paying more.
Government inefficiency is the biggest problem. The cost of running government needs to be slashed. 90% would be a good goal.
You forgot to mix in exporting fuel and energy. Or at least 3/4 of the way into the video it didn’t say anything about that income for the government.
You also didn’t mention that if those companies built a factory on US soil, they wouldn’t have to pay those tariffs bringing more business onto our lands creating jobs amongst other things
Consumers always pay for the taxes. Tariffs will just raise prices and promote shady tactics. I don't see production coming back to the US. Instead to our trade partners. Since their are tariffs companies can justify increases on supply chain. Pricing will generally will always go up unless we find a country to lower production costs.
I'd much rather pay 10% more for a product than have the government steal 30% of my paycheck against my will every two weeks.
I find it interesting that you dedicate the whole video to talking about the nuance and knock-on effects of tariffs and how everything is interconnected...then you just drop 'raise corporate taxes' and gloss over the nuance. Raising the corporate tax will have all the same negative effects of tariffs with none of the potential benefits. If you raise tariffs or corporate taxes, the prices will go up as companies pass the cost down, but with corporate tax, many companies will either close because profit margins are way tighter than people seem to believe or they will leave the country to maintain profit.
For some reason, I think having huge numbers of American companies leaving or closing will have a negative effect on the country.
Funny how Trump and his supporters think that other coutries are going to sit there and watch USA do it, without responding. Do you think you're going to sell your coke, Tesla, Nike shoes Microsift office, nvidia chips or Levis without tariffs added ?
The USA has the best leverage in the world because the dollar is the world reserve currency. That's the only reason it will work.
They already do. How many American cars do you see across the world? Compared to America where foreign cars are at least half of the vehicles on the road. I dunno if this is the right move, but we have to do something, the economy is heading for disaster as it is. I suppose we'll see how it goes.
Companies are the ones saying this is going to hurt the consumer. We might have to shop smarter when buying non American made goods. Goods might cost more but you might also have more cash in your pocket if tax can be reduced. More jobs in America more money in Americans pockets. More stimulation of the American economy. Most of this is a threat too
It is so more complex than just not buying imported goods. Trump wants blanket tariffs... Even American made products usually have imported materials in their manufacture.
You will not have more cash because everything you buy that you need will cost more.
The last time tariffs was used as Trump suggests,, it caused the great depression.
Go look it up.
@@Terrackhimself The most chilling thing is that the tariffs is actually the lesser evil Trump plans as the deportations of workers will cost USA even more.
@@Terrackhimself that’s why trump is trying to tackle the economy at multiple angles. And yes it was mostly a threat. I would imagine trump was educated however the skeleton is there. Trying to do tariffs will need a ton of critical thinking on how it would work were the u.s could become self sustainable or atleast make deals with countries like a nato of consumerism. The concept of self sustainable country is there but only allies can make it possible. Trump is doing the are you my friend or theirs. Pick a side hs girl bully logic in order to get Canada and Mexico on line. China is a leech not a friend
Controversial? There wasn’t an income tax for the first half of this country’s history. In fact, it was unconstitutional.
America has a waste and spending problem. Lets solve that first.
USA now has an Oligarchy problem
Work in progress....they stop one the bils recently
Excellent breakdown! And kudos for discussing the matter of corporate taxes. 1 thing is missing though (understandably for a 15min video), historical evidences of the effects of tariffs which can be seen by looking at late 1920s era.
The only things we have to import are things we cant manufacture at home. So yeah, pay more for the wine, pay more for the fancy flat screen tvs. We need groceries to be cheaper
Love these comments.
Nearly 60% of fruits and nuts consumed in the U.S. are imported.
40.4% of vegetables consumed in the U.S. are imported.
70-85% of seafood consumed in the U.S. is imported.
Also. Check the labels on your clothes.
Oops.
Really well produced and clearly explained using infographics. It made me think and I learned something! Great work Brandon!
Wonderful, easy to understand summary of a very complicated economic and political topic. Thank you for sharing!
Cut spending, eliminate income tax, and use tariffs. And implement a federal income tax.
In every scenario where any taxes is raised , consumers will find it harder.
The benifit to consumers will come if corporates accept lower margins across the board
I think that is why he tries to low corp taxes so they can maintain their margin 😂.
Jack Welch ended that. US companies are driven *entirely* by return to shareholders.
Just look at the recent shooting of a healthcare CEO - profit trumps everything else.
Corporations will only accept lower margins if their is more competition.
@colliderule how do we increase competition?
If they accept lower margins , them they have less profit, therefore fewer jobs and lower wages for existing jobs, which reduces US consumer spending and the cycle keeps goimg............... Not that ximple
I dont know much about US economics but I was really surprised small the incomes are from corporate income tax is relative to personal income tax.
Its because a person makes 20000 and a businesses makes 20000000000. Percentage is relative. 1% corporate earnings annually is more money than a whole family will earn combined in their lifetimes
Why is this controversial?
Or could be cheaper for a business just to pay Americans to make the same product in America, crazy idea.
So once they raise their prices on non essential goods, you stop buying those goods. When the company loses money, they will either lower the cost and eat the tariff themselves or go out of business. This will force countries to comply or lose their businesses. Sounds pretty smart to me.
Exactly. People just think buying all this shit is somehow a necessity. It's stupid plastic trinkets that we can all live without perfectly fine. If they jack the prices up really high, they will suffer massive losses and could perhaps go out of business entirely. They will eat some of the tariff costs if they want people to buy their stupid things. And people would be better off if they get rid of their consumerism and just went without some of this retarded stuff.
Many of them will lose their business. Which will make people lose their jobs and wealth.
Increasing prices for imported goods, is just an easy way of discounting locally manufactured goods.
Tariffs are great for the American people if implemented properly. I don't like Chinese food and wine or their products. I'll stay away from foreign made products. Made in America used to be the standard
Only because the rest of the world was recovering from the world war, once European, Japanese, Chinese manufacturering got back on their feet American industry was undercut on pricing and surpassed in quality
Used to be until companies realized it costs less to import goods.
"if implemented properly"...sorry to tell you but no such creature exists.
Costs will increase especially on domestically produced goods.
The really insidious thing is retailers embed all these tariffs, fees, levies and taxes into the price, which you then end up paying sales tax on. The higher all these embedded taxes the more the gov makes in sales tax from you directly, and the less value for your hard-earned money you get.
Income tax was never meant to be a permanent part of the American government at our founding. Income tax and Fiat currency is a chokehold on the economy. The Federal Reserve being able to print money at will is unconstitutional and dangerous.
There is zilch in the Constitution stating how government fiscal policy should operate. It states nothing about a metallic standard and nothing about how the government should create or demonetize currencies.
We need to factor the cuts to the bureaucracy - government will shrink considerably according the DOGE. Who know this could be a mess real quick.
Sorry didn’t see if you mentioned that companies have the option to move manufacturing to US - the only option isn’t to raise prices, and think it should be mentioned.
I don’t agree with replacing income tax with tariffs. IMO we should have both and pay down the national debt.
You forget that the companies that move back to America will raise prices anyway. Your worker base isn't skilled enough to start manufacturing and also are too expensive. The raw materials needed will most likely come from overseas which is also then tariffed, prices get raised to the end consumer....So that idea is torpedoed.
You can't lower income tax and raise tariffs at the same time. It's not possible. You can't then also pay your debt down either simultaneously. Why? Because that would mean America wouldn't be #1. It would have to rein in spending which your biggest liability is defence. As an American you are most proud of your military and image on the world stage. So that ain't happening anytime soon because America loves a good conflict. It's part of the nation's DNA!
You can't have it all mate!
You don't pay the debt . If they wanted to they could have just done that long ago by printing the money. They want to inflate the debt away over time to screw the debtors. The goal is to outgrow the interest by raising the rate of gdp growth faster than the inflation rate. To reduce the deficit and idk maybe even have a surplus would be the long term solution since American debt is not a bill they can pay off like a mortgage. It comes from selling bonds that must be paid with the agreed interest on the agreed schedule. Stop selling bonds start exporting more goods grow the market
@@justinmadonna3733and inflation threatens bonds because you only buy them if they can beat inflation.
Or have the government cut its outlandish paying ?! Does DOGE ring a bell ? You think want to be made poorer??? While the government prints away money freely devaluating the little you have?
Moving your entire manufacturing process to another country takes a ton of time and money, much more likely companies ride out the 4 years and wait for the next president to roll back the tariffs
You still think funds from federal income tax goes to run the country...
Tariffs don't work, it's tit for tat with them. America is an mostly an importer and the already high costs of exported of the small number of american goods would collapse those businesses overnight.
Tariffs do work.
Other countries already tariff us. Now were going to tariff them back.
NOT tariffing obviously doesnt work.
didn't they point that out to Trumpy at Wharton
oh right, some prof called him "the dumbest goddam student I ever had"
he was also the dumbest goddam president the US ever had according to 50 historians
and it takes a A LOT of dumb to elect a moron
You don’t need to impose 71% in tariffs to make the same revenue for government, cause government needs to be cut in half and be efficient, then you would only need 35.5% in tariffs.
Australia's economic decisions are troubling. Devaluing our dollar to sell items cheaply negatively impacts the majority, while only a few, like certain industries (and only than, owners…), seem to benefit. With the possibility of further tariffs, our currency might face additional devaluation to skirt around this. Why are we accepting this situation? Issues such as unskilled immigration and an overfunded government that practices crony capitalism is not the way. Australia, it's time to reassess and rectify our woke mindset and self imposed challenges. As an Australian, I'm thankful that I haven't invested in this unstable economy for several years. The writing was on the wall… and now it’s engraved.
@@beaunorman3706 - where do you think the value of the AUD comes from? It isn’t fixed by the Government? It floats and is market driven - the only real influence of any substance is the RBA setting of interest rates. And the model of supporting the exporter is about our balance of trade - imports versus exports. The more exports the stronger the AUD, the less exports and more imports, the weaker the AUD. So if you stop supporting exports and want to artificially fix the dollar - well that will generate debt as the Aust government props up the fixed dollar like it used to before the 80’s. And by the way - this has zero to do with woke.
hmm - government taking 30-50% of my check vs paying additional 10-20% on goods while keeping 100% of my check. ... I'll take increase cost of goods over the ineffective government use of my dollars
One thing you didn't factor in is gas prices which has impacted all goods and services dramatically. Once we produce our own US domestic oil again, prices of food and everything will decrease for the American consumers. I think tariffs are the way to go.
We already do produce a significant amount of crude oil domestically. The problem is that we literally export all of it because our refineries are all geared for low-quality imported shit.
Seems misleading…purchase locally made pay less taxes.
Supply restrictions, raise prices - this is econ 101
Controversial? Income tax was never supposed to be permanent. People just kept paying it and the government never told them to stop. This country used to exist only on tariffs.
I'm no economist, but is there something to be said around how buying locally will keep more money in the "local system" and potentially boost revenue from other forms of taxation related to spending and earnings? So, if you as a consumer are spending more on local goods then you would on imported goods (before tariffs), you would be supporting local jobs, job creation would create a larger tax base. Having more people with jobs and money will mean more people buying things in general etc, taxes around real estate, businesses (more being set up locally).
Of course with the above if federal income tax was abolished then the government wouldn't be able to get some of those potential benefits in revenue. Although again in the USA don't they have federal and state income taxes, is it just federal that would be abolished?
This is more of me thinking out loud than a statement itself, I do find it interesting how you change one thing and it can have all of these unexpected knock on effects etc, changes in the peoples behaviours.
In theory yes, but domestic products often are way more expensive than imported, which keeps low income families from being able to buy them. If you want to support local production dismantle monopolies and subsidize small businesses. Capitalism is failing spectacularly, the only people who are benefiting are people like musk, trump and their friends (friends meaning people with similar amounts of cash).
Your statements are on a long-term effect viewpoint which does make it sound nice. But how long will it take to bolster the local business so that the average joe (who doesn't have more than $1000 in a bank account) can afford to shop there? Many places that the majority of the nation sho at like cosco, sams club and Walmart will have to raise their prices to a point where people don't want to shop there anymore.
I don't see all of that happening in a 4 year term.
Nothing is produced in isolation, the cost/price of “local” items are also dependent on external factors.
Yes, there are
Federal, State, County
income taxes,
Keep in mind:
Some states run without income taxes at all
And most Counties run with little to no income taxes,
There also a possibility that we could a Switzerland like system, where the States are the ones collecting the bulk of the taxes and giving money the the Federal government instead of the Federal government doing most if it and supporting states since they don’t tax much
In theory sure, but that's assuming that all the materials needed to produce the local goods are actually available locally, local companies may rely on importing supplies from other countries to actually manufacture their goods/provide services
I go out of my way to buy American now. This I fully support. Additionally in the early 1900s we funded everything with tariffs so we have a benchmark of how well it works. People are trying to complicate this in an attempt to to show it as bad when in fact, it is good for america.
We just are going to have to use more made in USA .that's supporting American business
There is no reality where American tax payers can continue on this current economic path. Tariffs won't solve the problems alone, but NATO is a perfect example. Every country on earth has benefited from trade deficits with the US, while not paying their fair share. We're tired not just of the US government screwing us - every government does. We finally have someone that's doing something about it and if that means more expensive wine... we'll live.
I will vote for TRUMP forever if he cancels income taxes. 💪🇺🇸
Your forever will last a very short time.
As long as the IRS dissapears I dont mind paying extra for products