Why cant liberals understand economics?

why cant liberals understand economics?

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>an avocado costing $5
what a rip off.

>jose sells an avocado to john for $5
>donald imposes 20% border tax so mexico pays for wall
>jose cant sell avocado to john anymore because avocado price up 20%
>john buys avocado from somewhere else
>jose goes broke and mexico collapses
>wall built

only democrats seem to have no problem buying avocados for $5

john paid for the wall as the burden of tax is shifted from producer to consumer.

>UK cant understand economics

All is normal in the world

Who pays for the wall if Mexico collapses?

>Avocadoes are perfectly inelastic

Liberals truly are useful idiots

This makes me fucking hungry.

...

We need the polandball comic with cuba/merica/mexico, it summed it up pretty well.

>buy similar avocado for 5.50 from another country
>mexico loses revenue
>us dollars start getting expensive in mexico because not as many are getting in
>mexicans start paying more for imported goods
>mexican president starts how to pay for the wall in exchange for having his tax revenue back

Mexico. They pay dearly.

John tells Jose to drop his price or he will source avocados from Pedro for $5.00. Pedro will sell more Avocados now as his customer base has increased due to Jose going out of business.

John tells Jose
>"Hey Jose, I'm already being ripped off on your shitty product, you add any more to it and I'll buy it from Pablo and you don't get shit......get it?"
Jose then sells for 5 dollars and absorbs the cost.

...

United states can't understand VAT tax is a indirect tax on the consumer and doesn't effect producers at the slightest

20% tariff is simply a negotiating tactic. Why don't you leftist shit heads at least read some of Trump's books so you can at least understand how he operates?

Studied economics too?

Publix has avocados for $0.47 each this week, fuck Jose

they probably dont ignore demand elasticity

>jose goes broke and mexico collapses
>wall built

But who paid for the wall?

Mexico

>pic related

It's too late. The Peso is getting weaker by the day. Payments to the US with interest would make the situation for them worse as well, they might as well borrow from their own bank and pray that the inflation isn't too harmful.

TLDR; Trump fucked Mexico no matter what

U will

He should tax remittances to Mexico

I wonder how will Liberals spin that one

Because they've never had to pay their own bills with money they earned working 60 hrs/wk.

Avocados from mexico are the best fuck off with that bullshit logic, I'm not buying some bullshit
ass avocados

VAT is a tax that is still worked into the overall pricing, where companies will take the profit hit from making their prices after VAT at a reasonable price. It doesn't always have to go to the consumer.

This is only true if Jose has a monopoly on avocados and avocados are necessary to my daily life.

I KNEW GUAC WAS EXTRA, BUT NOT THIS EXTRA
REEEEEEEEEEEEE FUCK TRUMP

Then pay a little extra for your guac, Jeb.

Except when production of the final product is multi- country. Businesses are consumers as well. The EU offers rebates on VAT taxes as well. It's not some perfect idealized situation Sir. It never is.

Coming from the one who has their government put taxes on imported goods because 60% of the country is paid under the table. kek.

This, sometimes the companies pay more % of the taxes than the consumers.

>trumpler impeached by HoR jumps from 18% to 25%
soooo much potential happenings this year and its only january!

3a. John buys the Avocado elsewhere.

They do.

>buying anything from mexico
lmaoing at your life

Why just avocados?

Take auto manufacturing.

The tariff makes Mexico uncompetitive. Business moves back to the US. The US produces more, more money stays in the US, more people are employed in the US, all these benefits add to the US economy.

Meanwhile Paco is unemployed because the auto plant is shut down.

Who paid for the wall? It paid for itself. Mexico lost money. Mexico paid for not paying for the wall.

I used to be very liberal and I honestly can't fathom how the left can have this attitude to immigration and tariffs. The left should be FOR them. They protect YOUR WORKERS, YOUR JOBS. 10 years ago the only ones this fucking globalist were corporations and libertarian cunts who want open borders because you can pay people peanuts and they'll still be forced to work for you.

At this stage the budget reduction needed to help support all the illegals would be a lot higher than the cost to build a wall. Win / win.

This.

Don't disrupt the echo chamber.

John paid for it, with the extra $1 he paid.

So increased prices make US products more economically competitive

We get the money from raiding the chaotic lands that were Mexico.

>Mexico paid for not paying for the wall.

But they didn't pay.

Any sciencefags can tell me if avocado could be grown in Hawaii?

This.

>What is inflation.

Grow your own asshole. Just buy a mexican branch to graft.

And then they tax us back and both governments get more money out of it while jose gets less money.

why cant conservatives understand economics?

They do. You just cant handel realety.

Now stfu and pay wall tax.

Work at a Trader Joe's. People will literally ask me to check the back to make sure the sizable olive oil bottle they're buying is really 1$ less than the neighboring olive oil. And this is in San Francisco.

>Jose sells avocados on US market for $2
>The Donald imposes his 20% wall tax
>Jose and his shitty Mexican exporting company needs to decide whether to take a profit cut or be literally thrown out of the market because no one is going to pay for 20% more expensive Mexican avocados when they take purchase them from other Latin American countries
>Jose lowers his profits on avacados because the alternative is nebulous for his businesses (farms, transportation paths, clients etc are already set in stone, can't just rip out all the avacados and put in watermelon)
>even if he did put in watermelon, Mexico exports 98% of their watermelon to the US, so Trump's wall tax is still ebin

They don't.

technically, you can grow them anywhere with the right equipment. Bananas can grow in northern US in a Greenhouse for example.

>Business moves back to the US
And cars become more expensive, so people buy fewer cars and have to borrow more money to buy them. So who pays for the wall? We do still. Oh and Jew bankers make even more profits.

nice logic shlomo.

Yes. Or a fucking greenhouse.

>tax remittances sent from US to Mexico
>???
>Mexicans pay for wall

Yes they do. There are tons of leftist economists.

The bigger question is why liberals don't understand that the threat of the tariff was to force nieto to negotiate on the wall

There was never going to be a 20% tax unless nieto wanted to destroy his econemy

>And cars become more expensive, so people buy fewer cars and have to borrow more money to buy them.

But more people have jobs and they make more money and you can export cars from the US instead.

Why do you think economics is a zero sum game?

On the contrary as pacos mexico needs cars too and hes with tax still cheaper.

1 dollar 20 pessos.

Not to mention if you dont pay for paco goods you still pay for the wall. If you buy paco goods YOU still pay for the wall.

seeing how i bought them from jośe from chilie and not mexico i dony oay shit fuck off fagyo

...

Awesome, lets consume even more electricity growing an acacado.
>But it costs to ship it here
Economy of scale, you realize trains can move a ton of freight over 470 miles on a single gallon of fuel?

You know what's funny is you can use this argument against raising the minimum wage, which they want to do. If I have to pay you $15 an hour I will just raise my prices. I hate how they do this, they can't go five minutes without destroying their own arguments.

To be fair, even a 20% tariff would likely go unnoticed by consumers.

If we get rid of them, who will clean my chamberpot?

And U.S. wages go up and people can afford U.S. products. I think the biggest thing is keeping the money in the states. Next time you need a money order or a check cashed go to Walmart on a Friday. There will be 20 Mexicans in line each sending a few hundred back to their family in Mexico. Fuck those parasites. The Japs have the right idea about immigrants.

I honestly don't understand how these people operate. Even if you don't know anything about the laws of supply and demand, surely you'd stop for just a second and ask yourself why José isn't selling his avocados for $6 in the first place if he can. Do they think José just sets the price according to what he feels is fair?

And paco is still cheaper.

who have been unsurprisingly wrong the last 8 years

scribd.com/document/337535680/Full-David-Brock-Confidential-Memo-On-Fighting-Trump#from_embed

>more people have jobs
Yes, but now we have inflation because of the Tariff bubble.
>Export Cars
Sure, except now noone will buy them because they are too expensive compared to cars build in other countries. Plus you don't think they will start slapping tariffs on our products as well?

>he thinks the price of avacados will go up worldwide because of a little wall

Sorry bruv, GUACemala gives no shits.

Who the hell pays $5 for one fucking avocado.

Yes they advocate basic income, free everything and destroying all wealth through burdensome abusive punitive tax

>HP sells a computer for $500
>The Democratic governor imposes a 5% salesTax
>John pays $525
>HP still makes $500

>implying they won't collapse because of the wall

>Prices go up
>Wages go up

Its like you people have never heard of inflation before.
> There will be 20 Mexicans in line each sending a few hundred back to their family in Mexico.
Thats not all that bad, you know how many products we export to mexico? Also the better things are down there, the less likely they will want to come here.

Obama got us out of a pretty bad recession. While there are definitely many people that still struggle, the country is definitely better off than it was in 2008.

Just use sunlight in sunny areas. You do not need much electricity. The greenhouse is mostly just to isolate the environment and keep random shit off them.

Indeed, the most cited economists in the world is a leftist, Stiglitz. T. Friedman forgets more about geography and trade patterns than I'll ever know, and is a leftie. They are wrong on VAT taxes, trade, and tariffs though. Who is the only industrialized nation in the world without a VAT tax?

>the threat of the tariff was to force nieto to negotiate on the wall

There is no suggestion of that anywhere in the actual chain of events.

>There was never going to be a 20% tax

Correct. The US congress would never agree to such a measure. It would not be legal under WTO rules. It would put people put of work in the US and cripple the US manufacturing industry.

>Tariff bubble
No such thing.

>noone will buy them
We already export cars. Also, see: Monopolistic competition.

You can continue to find loops to make sure it's always american people paying for everything, but the problem then becomes; what on earth do you think makes different countries better or worse off?

Because in your zero sum calculation it's always the people who pay. The US doesn't have the same taxation as the rest of the west but is still economically ahead. How come?

How come GDP isn't just proportional to people?

You keep acting like there's no way tarriffs and production can change anything about the economy when they're some of the strongest levers that exist.

you don't understand economics

you're dumb

Two words:
Whole Foods

They don't drink milk
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>you likely have Milkdabots inside you right now
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of course the VAT tax is passed to buyers.

ALL taxes are passed along to the guy on the bottom rung.

thats why VATs poison economies and destroy nations.

paco cant sell avocados at $6 because i can pick them from my own fucking avocado tree, or buy them from a california grower at 3 for a $1

mexico WILL pay for the wall, cuz we can grow our own letuce, buy shit imported from guatamala or chile or argentina.

mexico loses income, so mexico can either pay for the wall up front or languish in poverty.

EVERYTHING we get from mexico can be sourced from another country.

we arent like britain, we can start farming again if the cheap mexican shit is tariffed to the sky.

no company pays a tax, and no company ever will
it is always a cost of doing business, and thus is rolled into the price of their goods and services.
that you believe such inane twaddle demonstrates that marxist economics has infiltrated deep into the british mind.

They have had it easy their entire life and someone actually have to deal with life and overcome it is foreign to them.

Because if they could they wouldn't be liberals

>sunlight in sunny areas
Except they don't get that much rain, so now your depleting aquifers. Also lets not forget, someone has to pick these avacados, and guess what, now you're paying that guy $15/ hour... So that avocado is getting really expensive

So Jose is still making the same profit while John pays more? Then who paid for it?

Not Jose.

>The tariff makes Mexico uncompetitive.
considering labour costs down there are around half of USA, I doubt it will

He sat there while we grew our way back out. Mostly he was neutral but for some reason he started doing retarded things near the end. Maybe Trump getting elected fucked him up a bit.

im confused, if john is american and jose is mexican, then thats $1 of john's money going to the wall, not $1 of joses, jose gets the same amount so the person paying loses. I'm confused

>Jose Sells avocado to John for $5
>Trump Imposes 20% border tax, so that Mexico pays for the wall
>Now Jose sells the avocado to John for $5+20%=$6
>John won't buy it at that price, and buys it from Mike down the road
>Jose makes no money
>Mexico pays for the wall, or collpases

Its not a choice, pal

Clearly those avocados are used for housing.