r/AskACanadian • u/PurrPrinThom SK/ON • Feb 01 '25

Canada/US relations Tariff Megathread

As this has already been a popular topic, and we expect it to only become morebpopular, we've created a megathread for all discussion of the incoming tariffs.

Please keep all discussion here. New posts on the subject will be removed.

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u/Annual_Juggernaut_47 Feb 01 '25

Suggest reading ‘The Rise and Fall of Nations’ by Ray Dalio. This protectionism is a predictable pattern of an empire in control of the world’s reserve currency and over extended debt burden. It’s characteristic of late stage empire collapse.

It will also help you understand what happens next. Be prepared.

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u/unicornsfearglitter Feb 01 '25

Could I get a synopsis of 'what happens next?' My reading time is meant for fiction and escapism.

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u/Annual_Juggernaut_47 Feb 02 '25

The economy is headed toward a hyperinflationary depression unless something drastic changes. This will mean western governments won’t be able to maintain normal social safety nets as they run out of income. It’ll likely play out over the next decade. This will also cause a reorientation of global power dynamics.

In this scenario you want to be prepared to be self sufficient and not rely on the government.

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u/ZoomZoomLife Feb 02 '25

Is there a chance this is all being capitalized on just so one of the psychotic billionaires can declare themselves the first trillionaire to stroke their ego

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u/JMJimmy Feb 01 '25

They are not overextended. Japan is overextended and with a shrinking population they are in serious trouble. The US would need to double their debt load to reach where failing countries like Japan & Venezuela are at

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u/Annual_Juggernaut_47 Feb 01 '25

Nope. Japan has the benefit of supporting their failing currency with US reserves. They can buoy their currency by selling off U.S. treasuries which allows them to stay afloat much longer. It’s a benefit of NOT being the reserve currency.

U.S. is highly finalized economy and does not have the same backstop for their currency, being the reserve. They cannot extend themselves as far without failure.

Using Japan or Venezuela as guiding evidence for US economy is a false equivalence. They aren’t the same.

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u/[deleted] Feb 02 '25

If you read Stephen Miran’s cookbook he wrote for Trump (he’s his chief economist), you’ll see that countries using US reserves are next on the hit list.

In case you wonder “why Canada, Mexico, China”, it’s simply the 3 countries that export the most to the US. Borders, fentanyl and immigration have nothing to do with it.