Just some perspective on the majority of what China sends to the US.
Electronics, toys, furniture, clothes, shoes, plastics and optical equipment.
I think we should be thanking them. Now we can clean out our closets and garages.
What’s really important… semiconductors, aircraft, biotech, natural gas/crude oil and defense equipment.
Finally, we have the most hash rate and #bitcoin.
we don't need most of the stuff they make.
Good perspective. China knows the only super valuable industry they control is processing rare earth minerals and magnets, hence why they banned exports of those to the US
I'm bummed Amazon caved on displaying tariff costs cause that would've shown us where those products are actually coming from. So hard to find the country of origin on so many things on shamazon
The US is a consumer economy.
The other big spending post is military.
All of that is only possible since the Dollar is the world reserve currency.
Put simple: everybody needs dollars to buy stuff, oil is a major driver.
Everyone needs to get their dollars from the US.
They all pay that full dollar amount while the US can just print that dollar, most are not even physical they only exist digital.
That dollar demand makes it possible for the US to live way above a norm that would else be possible.
All the economic power is partly waisted on a huge military and playing the world cop, the remainder is use for consuming.
If that dollar looses it's status of reserve currency, some 90% of that power house will be gone.
Especially the first few decades when all those exported dollars over the last ~80 years will all flow back to the US.
And will cause it to hyperinflate.
It is nothing different as from a loan that is used and gotten bigger for some 80 years, but suddenly needs to be paid back.
Good luck with that.
