Politix

100 Days Of Squalitude

14 snips
Apr 30, 2025
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INSIGHT

Trade War Causes Immediate Shortages

  • The physical logistics of halted shipments already lock in shortages and soaring prices for months.
  • These impacts arise even if tariffs are suddenly reversed due to shipping and supply chain delays.
INSIGHT

Uncertainty Paralyzes Economic Activity

  • Policy uncertainty from abrupt tariff changes paralyzes business investment more than tariffs' levels do.
  • Businesses cannot plan effectively with unpredictable tariff shifts on a weekly basis.
INSIGHT

Rebuilding Economy Takes Years

  • Reorienting supply chains and manufacturing away from China takes years and retraining of workers.
  • The US economy requires extensive transformation, undoing decades of resource allocation for open trade.
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