- cross-posted to:
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- cross-posted to:
- [email protected]
Summary
Trump announced that 25% tariffs on imports from Canada and Mexico will take effect on February 1, though a decision on including oil remains pending.
He justified the move by citing undocumented migration, fentanyl trafficking, and trade deficits.
Trump also hinted at new tariffs on China.
Canada and Mexico plan retaliatory measures while seeking to address U.S. concerns.
If oil imports are taxed, it could raise costs for businesses and consumers, potentially contradicting Trump’s pledge to reduce living expenses.
Video game consoles are sold at a loss on occasion because the marginal cost of game sales is extremely high. There’s no associated product to pair with cement that would drive you to sell it at a loss.
My point was that yes, it will drive people to local businesses, because they will be cheaper. Local businesses have no reason to keep their prices the same if the competition just got more expensive however.
I’m glad you found my comment informative. I’d hate to think I was talking to someone who wanted to say their opinion and then got defensive if someone disagreed with them. It’s a sign of someone with at least a wrinkle or two that they’re open to discussing their thoughts.
For more insight from people even more knowledgeable than me:
https://www.businessinsider.com/what-are-tariffs
https://www.businessinsider.com/krugman-trump-tariffs-immigration-deportation-grocery-prices-wealth-taxes-policy-2025-1
https://paulkrugman.substack.com/p/the-end-of-north-america
https://taxfoundation.org/research/all/federal/trump-tariffs-trade-war/
Well the console example demonstrates long term payout strategies. Another example is in free to play games with microtransactions. You develop a game at a cost, you give it away for free, and you hope that it’s good enough to hook people and get them to spend on “hats”. It’s a lot of money up front to make more later.