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> Few Americans borrow in non-U.S. dollars. And the U.S This is interesting. But, the world is not all about US. My question is, can Trump do same with some Eu

by pknerd 8y ago

> Few Americans borrow in non-U.S. dollars. And the U.S This is interesting. But, the world is not all about US. My question is, can Trump do same with some European country?

ax0ar 8y ago
In the world's current economic situation it pretty much is mostly all about the U.S. and the dollar. Most of the global trade is conducted with the dollar and he can mess up other currencies in a similar way.
- pknerd 8y ago
  Should we call Trump an evil genius? Why did not previous Presidents think of it and opted for traditional war? This trade war is more safer for Americans.
  - ax0ar 8y ago
    I wouldn't call him a genius, he's quite the opposite. >why didn't previous presidents think of it They probably did, but were likely smart enough to figure out that a trade war with the world will trigger a backlash that the US won't be able to handle. The world will seek an alternative to the US dollar, and I think it will happen very soon if Trump continues doing what he does.
    - pknerd 8y ago
      guess you are right. US Chamber of Commerce after Turkey imposition of the tariff on US goods. https://www.cnbc.com/video/2018/07/03/us-chamber-of-commerce-campaign-against-trumps-tariffs.html https://www.cnbc.com/video/2018/07/03/us-chamber-of-commerce...
- the_grue 8y ago
  Erdogan has been heading that way for a long time. US is just the latest addition to the growing line of Turkey's allies-turned-enemies, following Israel and Europe. The West was willing to overlook his arrogance and hostile rhetoric for a time, but in transforming Turkey from a strong democracy to weak autocracy he crossed a red line. The West doesn't want countries like that in EU or even NATO. We now realize that we are better off supporting Kurds, who are long overdue their own state, and that the EU is much better off setting up barriers for Turks so that they can no longer invade their territory with their hostility and rudeness and a pan-Turkish, Muslimisation agenda. (I am generalizing, of course, not all Turks are like this.)
JumpCrisscross 8y ago
> can Trump do same with some European country? Trump didn’t cause Turkey’s problems. Decades of debt-driven growth, an imbalanced reliance on exports and incompetent administration (in defending property rights and monetary policy) caused this. Investors aren’t dumping Turkish assets because the U.S. levied light sanctions. They’re selling because Erdogan installed an incompetent son-in-law as central banker. Erdogan travels a well-worn path. Most dictators don’t leave office peacefully. They die horribly or die in power. Their nation’s economies therefore transform into a mechanism for preserving their power. Longer-term and broader concerns, in turn, atrophy.
- pknerd 8y ago
  Erdogan was taking care of the mess done by previous governments. He was not 100% successful but took a good degree turn of what was given to him. In this same thread I learnt about the launching of Lira 2.0. Previous was very weak.
  - JumpCrisscross 8y ago
    > Erdogan was taking care of the mess done by previous governments Initially. Now he’s making his own. The present policy of printing money to buy currency with which to pay debts is unsustainable. Putting family and cronies in positions that are meant to be independent makes people sell.
ypzhang2 8y ago
The tariffs and the sanctions were just the proverbial last straw. Turkey was heading to a economic crash anyways. The latest US-Turkey stuff just pushed it over the edge. But yes, the US is in a very strong position vis a vis almost every other nation in the world. Trade wars in general are not good economic policy, but the truth is that they will generally hurt the counter-party more than they hurt the US .

by pknerd 8y ago

> Few Americans borrow in non-U.S. dollars. And the U.S This is interesting. But, the world is not all about US. My question is, can Trump do same with some European country?

ax0ar 8y ago

In the world's current economic situation it pretty much is mostly all about the U.S. and the dollar. Most of the global trade is conducted with the dollar and he can mess up other currencies in a similar way.

pknerd 8y ago
Should we call Trump an evil genius? Why did not previous Presidents think of it and opted for traditional war? This trade war is more safer for Americans.
- ax0ar 8y ago
  I wouldn't call him a genius, he's quite the opposite. >why didn't previous presidents think of it They probably did, but were likely smart enough to figure out that a trade war with the world will trigger a backlash that the US won't be able to handle. The world will seek an alternative to the US dollar, and I think it will happen very soon if Trump continues doing what he does.
  - pknerd 8y ago
    guess you are right. US Chamber of Commerce after Turkey imposition of the tariff on US goods. https://www.cnbc.com/video/2018/07/03/us-chamber-of-commerce-campaign-against-trumps-tariffs.html https://www.cnbc.com/video/2018/07/03/us-chamber-of-commerce...
the_grue 8y ago
Erdogan has been heading that way for a long time. US is just the latest addition to the growing line of Turkey's allies-turned-enemies, following Israel and Europe. The West was willing to overlook his arrogance and hostile rhetoric for a time, but in transforming Turkey from a strong democracy to weak autocracy he crossed a red line. The West doesn't want countries like that in EU or even NATO. We now realize that we are better off supporting Kurds, who are long overdue their own state, and that the EU is much better off setting up barriers for Turks so that they can no longer invade their territory with their hostility and rudeness and a pan-Turkish, Muslimisation agenda. (I am generalizing, of course, not all Turks are like this.)

JumpCrisscross 8y ago

> can Trump do same with some European country? Trump didn’t cause Turkey’s problems. Decades of debt-driven growth, an imbalanced reliance on exports and incompetent administration (in defending property rights and monetary policy) caused this. Investors aren’t dumping Turkish assets because the U.S. levied light sanctions. They’re selling because Erdogan installed an incompetent son-in-law as central banker. Erdogan travels a well-worn path. Most dictators don’t leave office peacefully. They die horribly or die in power. Their nation’s economies therefore transform into a mechanism for preserving their power. Longer-term and broader concerns, in turn, atrophy.

pknerd 8y ago
Erdogan was taking care of the mess done by previous governments. He was not 100% successful but took a good degree turn of what was given to him. In this same thread I learnt about the launching of Lira 2.0. Previous was very weak.
- JumpCrisscross 8y ago
  > Erdogan was taking care of the mess done by previous governments Initially. Now he’s making his own. The present policy of printing money to buy currency with which to pay debts is unsustainable. Putting family and cronies in positions that are meant to be independent makes people sell.

ypzhang2 8y ago

The tariffs and the sanctions were just the proverbial last straw. Turkey was heading to a economic crash anyways. The latest US-Turkey stuff just pushed it over the edge. But yes, the US is in a very strong position vis a vis almost every other nation in the world. Trade wars in general are not good economic policy, but the truth is that they will generally hurt the counter-party more than they hurt the US .