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31 sats \ 2 replies \ @028559d218 16h \ parent \ on: What lies behind the dramatic shift in markets? (FT, Mohamed El-Erian) econ
I still don't understand what any of that means. That companies will hire Americans to work in factories? Why? Will it be more expensive? And if it is will the goods be more expensive?
And if the 'factories get built' and the Americans can't or won't work in the factories... (due to low pay or the types of jobs) then what, the factories are highly automated?
Employing relatively few Americans or only those with advanced educations... who would probably get jobs anyway?
Mr Trump's whole goal (I think) is to 'employ lots of Americans in factories' NOT necessarily to 'make lots of things'. Making 'lots of things' may not require 'lots of people'... or lots of jobs at least.
So I'm still not sure what Mr. Trumps' goals are... and if he has carefully considered the different potential consequences
There are lots of open questions, for sure, about how this will play out.
I'm just pointing out that any major change to the structure of the economy will change the profit and loss landscape unevenly, which will mean large resource reallocations.
Transitions like that are costly in the short term, even if the reallocation makes more long term sense (which is an open question).
Basically, the current downturn might not tell us much about whether these reforms make sense or not.
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All I know... is that Bitcoin doesn't change. And that's why I'm here
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