Prof G Markets The State of Trade with China — ft. Alice Han
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Feb 13, 2025 
Alice Han, a China economist and director at Greenmantle, shares her insights on the impact of Trump's tariffs on China. She discusses how weak consumer demand is leading to domestic price drops. Han also examines the significance of the 'Sputnik moment' of DeepSeek for China’s AI race. Furthermore, she offers her perspective on Elon Musk's complex relationship with China and warns of an incoming period of geopolitical instability, highlighting the challenges faced in U.S.-China trade dynamics.
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Tariff Impact
- Trump's steel and aluminum tariffs benefit US metal companies by increasing demand and pricing power.
- However, they harm consumers by raising prices on goods like houses and cars.
Carried Interest Loophole
- The carried interest loophole allows investment fund managers to pay lower taxes on commissions.
- This is viewed as an unfair advantage, transferring wealth from the middle class to the rich.
Attempts to Close Loophole
- Trump, Biden, and now Trump again have all attempted to close the carried interest loophole.
- Congress has previously blocked these attempts.