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The EU has an official mechanism to combat economic pressure like this that includes suspension of all intellectual property from the country imposing the tarrifs.
Yes, because the initial tarriff talks went over so well...
It did for Mexico and Canada.
They agreed to nothing new, and the terrifs vanished.
It must be like trying to negotiate with a toddler.
I remember John Kerry's election in 2004 was thwarted due in part to the perception that he was flip-flopping around a lot of issues. Trump is constantly making an absolute fool of himself by constantly backing away from shit he said he was going to do.
He has never flip-flopped on his electorate more important issues, like blaming immigrants for every problem on their lives.
Based on an overwhelming amount of economic studies of tariffs in the last 100 years, the EU should ignore it. Why enact tariffs on American goods and make life more expensive for Europeans? Studies show EU businesses will raise prices accordingly. The citizens will be worse off.
However, based on our knowledge of how politicians act, they'll take the bait and retaliate, thus making things more expensive for EU citizens.
This is what I've been thinking about for Canada's reaction - do nothing! I can't say how it will affect us now and in the immediate future but it seems the damage is already done anyway. BTW. this is my 1st post on Lemmy - thank you!
We didn't do nothing. We announced massive retaliatory tariffs. The do nothing impression came from the fact that they asked for concessions we already offered.
Also, the US is still hitting us with tariffs. Starting March 4, 25% on everything then in April an additional 25% on steel and aluminum.
Maybe not "do nothing" but I like the remove certain products from shelves. Like stop the sale of American alcohol from shelves.
I don't get it. If we do retaliate, the US will have something to gain (back) by removing the tariffs.
I don't know what studies you are referring to (please leave a link) but it seems counterintuitive to not have that bargaining chip to force a quick end to the tarriffs (See US vs Canada 2025, US vs Mexico 2025).
I don't see how one could reasonably measure policies like these through time; of course it's worse in the short term for all involved parties but should resolve the situation faster. If they only measure the time during active tarriffs of course it's better through survivorship bias.
Eugster, J., Jaumotte, M. F., MacDonald, M. M., & Piazza, M. R. (2022). The Effect of Tariffs in Global Value Chains. International Monetary Fund.
Furceri, D., Hannan, S. A., Ostry, J. D., & Rose, A. K. (2020). Are tariffs bad for growth? Yes, say five decades of data from 150 countries. Journal of Policy Modeling, 42(4), 850–859. https://doi.org/10.1016/j.jpolmod.2020.03.009
Schularick, M., & Solomou, S. (2011). Tariffs and economic growth in the first era of globalization. Journal of Economic Growth, 16(1), 33–70. https://doi.org/10.1007/s10887-011-9061-6
York, E. (2018). The Impact of Trade and Tariffs on the United States. Tax Foundation.
I read the abstract of the two links. The first one just says "tarrifs bad" without even mentioning our discussion above.
The second abstract said they did not find any evidence of "tarrifs good", other factors had greater impact for growth. This is not the same question either.
try reading the entire articles. the question you asked are described in the lit reviews and discussion
yeah american tourists are going to have a hard time in the next 50 years.
Studies show the majority of Americans don't have a passport let alone have left their own state. 3rd world country.
That's unfortunately what happens when people get gaslit into thinking being a debt slave is morally righteous.
Capitalism-lover hates competition. Interesting.
Capitalism strives to make money. Competition means profit margins shrink. So yes capitalists are against competition.
That is one of the many reasons listening to companies is not good economic planning for countries.
Ofc the EU was created to screw the USA. Good for them. Nobody wants to be subservient to the paper petrol-dollars of a genocidal empire that's literally destroying the planet for a few ultra privileged man babies.
"This again? See you next month, Don."
He's like clockwork, but he's more of a fake Rolex.
The piece of shit saying that was formed to screw the US
Wtf kinda drug are the elite in the US on?
Special K if Elon is any indication
Cocaine, I remember hearing about Elon Musk's supplier a while back. Most of the Republican Party is cranked, too, according to a historically young GOP congressman Madison Cawthorn.
Money and power the name of that drog
Ketamine, or so I heard.
Russian psy-ops boosted by algos from coked up tech bros.
Capitalism.
Side effects include electing a complete moron and his piss baby groupies to the presidency
Putin's puppet
Fucking do it then, cunt!
Classic aim high and make the second offer seem like a win tactic?
Slap 100% tariffs on the bloc of united states, as a courtesy.
I'm in the EU and I very much I hope he does, beause the response will be spectacular: apparently there is an Act from 2023 that the EU can respond to this by suspending intellectual property rights of US companies, plus from last time Trump was President the EU learned to target counter-Tariffs for maximum political effect (basically hitting Republican states hardest) and that will also work fine in targetting US companies politically affiliated with Trump (bye, bye, Tesla!).
Also it will definitelly finish off any lingering delusions of European politicians that the US is an "ally".
The EU was setup to help protect Europe and enable them to have better control over overly enthusiastic capitalist companies such as those found in the US.
But what do we expect from a low intelligence puppet of Russia?
