cross-posted from: https://lemmy.ca/post/44568036
There is a clear pattern to U.S. President Donald Trump’s tariff negotiations. Andrew Chang explains four key steps to Trump’s playbook and breaks down to what extent they work — and at what cost.
One of the biggest reasons this has been as effective as it has been is due to non-currency capital that was spent previously: soft power. The US has spent the last 70 years building that capital through aid and good will with partners around the world, and trading some of it back for advantageous deals in other sectors. Now, when their global impact is waning, particularly relative to China, he is spending that good will and partnerships built up over decades to extract concessions that would otherwise be considered untenable. And it will work, for a while. But it also means that countries will look to other trading partners rather than sticking with the no-longer-stable partnership with the US, such as the UK’s auto industry in the video. The big problem is that soft power, good will to America, is being spent at a tremendous rate while also reducing the amount they build. When the piggy bank is empty, and all their partners have moved on, the dream of independence, which is in reality isolationism, will show its true consequences, a primarily internal economy and no cushioning or expanding effects of global trade. This will probably take longer than Trump being in power for the full effects to be seen, which is doubtless seen as a positive by Republicans. The real question is if it will be enough to make it impossible to support their military at current levels, and if they will then try to use that military to prop up their economy, as has been done elsewhere.
IT’S NOT A “STRATEGY” FOR SUCCESS!!!
It was NEVER designed to help the US, to make things better, to bring manufacturing back onto US soil.
If you were the Russian government and wanted to destroy the US from within, every single thing you would try to do is exactly what Trump is doing.
Either he’s a committed Russian agent, an incredibly hapless stooge, or we’re looking at the biggest coincidence in human history.
TL:DW;
Trump’s 4 step playbook:
- Make a maximalist demand
- Let it simmer for a while
- Pull back
- Claim a big win regardless of outcome
Positives:
- It does force leaders to come to the table with the US.
- A handful of concessions can be extracted.
- Method of ‘negotiation’ is popular with base due to step 4.
Negatives:
- The concessions or wins are minor compared to short term damage done
- The longer-term position after concessions may be unchanged or worse than the starting position for the US.
- Immeasurable amounts of trust in the US is lost, foreign leaders look elsewhere to negotiate and strike trade deals rather than be bullied
- Foreign citizen sentiment of US lowered, affecting US businesses and political influence on the world.
TL:DR
it is just the venture capital business plan applied to a country
Is video about china or canada? Not clear any changes with Canada have occurred. Or blowback he notices.
Canadians at large are speaking out against the US with their voices, votes, feet and wallets.
They are. Is Canada rulership able to grt policy Impacts? I only hear of enhanced military subjugation offers.
Art of the Deal.
