Unravel Outlook 2020: global supply chains will unravel. Trade wars, tariffs, Brexit & new populist governments will unwind world manufacturing & service links. Those connections had increased cooperation & lowered costs through economies of scale. Breaking up is hard to do, will slow innovation & raise costs for consumers. Unhappy bunny Guessed the Word? …
Tag: tariff
Temporary tax How long can a temporary tax last? USA’s 1964 “chicken tax”, to retaliate for French & German tariffs, prevents light-duty truck imports even today. UK’s 1799 temporary income tax to raise money to fight Napoleon’s French forces is still in force 200 years on. Temporary taxes & tariffs can go on forever Guessed…
Tariff war What happens to the global economy if the tariff war escalates? The tide going out lowers all boats. Higher import costs drive up inflation, squeeze buying power & drag down consumption. Firms respond to lower demand & earnings by cutting investment & jobs, which worsens the downturn. Tariffs sound good, but are actually…
Guess the Word and Contact Us for prizes! Series 39 starts soon….. 1st letter of each Post Title (in a Series) spells a business word – spelt correctly or jumbled up. Previous answers: Series 38 spelt F-A-T-F-I-R (TARIFF) Series 37 spelt R-E-C-I-T-A-L (ARTICLE) Series 36 spelt C-O-M-E-O-U-T (OUTCOME) Series 35 spelt Y-E-T-I-D-U-E-L (YULETIDE) Series 34 spelt T-I-D-Y-R-U-N-S (INDUSTRY) Series 33 spelt V-I-E-W-E-R (REVIEW) Series 32 spelt C-I-G-L-O …
Rival Pincered by a rival: US lobsters face 8% tariff, but Canada lobsters get into Europe duty-free. A Maine lobster lands on a Beijing dinner plate in 2 days, via Canada – avoiding China’s 25% tariff on US live lobsters from 6 July. Until 1800’s, lobster was low-class food, eaten only by the poor. 2017 US live…