china begging us for meeting on trade
How’s that working out for you?
There was a story about rockefeller and the railroad titans. rockefeller needed the railroads to ship his oil to be refined. nearly 50% of the volume of the railroads were from oil. the railroad titans entered rockefellers oil business. rockefeller told them to go away but they wouldnt. the railroad titans told him that he has no choice since he had no other way to ship the oil. rockefeller got pissed and just completely shut down the refineries. he did not care that he could not use the refineries and lost in the process, he just wanted to destroy the people who opposed him. with half the volume gone the train titans started losing a lot of money. they tried to cut wages and go bare bones. the employees revolted and burned the stations. their stock crashed and the railroad titans were effectively ruined. after this they did not mess with rockefeller again. this is how you win trade wars. let us destroy all who oppose us!
So Rockefeller was able to maintain his wealth while the all of the railroad employees lost their jobs and had their wages cut? Seems like the average people were the real winners of trade wars.
#nerdylogic
Enjoy
The spoils of victory for Rockefeller were immense. Tom Scott was so desperate for cash that he offered to stop refining oil AND he offered the refining assets of the Pennsylvania Railroad at fire-sale prices (refineries, storage tanks, pipelines, steamships, tugboats, barges, loading docks) . . . even so, it was more than Standard Oil could pay. Scott refused to budge on two points, however: Standard Oil had to buy ALL the assets in which he offered, and he wanted $2.5 million of the $3.4 million purchase price to be paid by certified check in 24 hours. _That last demand taxed even Standard Oil’s financial reserves, in that Rockefeller only had half of the $2.5m on hand. As a result, Rockefeller toured Cleveland’s banks, telling each banker that he needed all the money they had, immediately. Yet, through all this, Rockefeller actually STRENGTHENED his alliance with Scott; his goal was always, if possible, to be conciliatory and to expand his influence._Standard Oil agreed to ship at least 2 million barrels of oil per year via the Pennsylvania Railroad, while SO received an additional 10% rebate. Standard Oil (once again) became the “Oil Umpire” for the railroads, deciding on the percentage of oil shipments for each (PA 47%; NY Central and Erie, 21% each; Baltimore & Ohio 11%). And, to top it off, Standard Oil demanded that the Pennsylvania Railroad pay Standard Oil .20 per shipped barrel, like the NY Central and Erie Railroads. In the end, Rockefeller insured that the railroads could never again challenge his power and influence in the oil industry . . . Rockefeller’s next big move to consolidate even more power and profit in the oil industry would come in 1882, with the creation of the Standard Oil Trust.
Rockefeller always wanted to trade and reconcile but he wanted to do it in terms that benefitted him. Sometimes we need to sacrifice in the short run to hurt our enemies to get them to capitulate and win in the long run.
By weakening their industries and subsequently strengthening ours, sure we are hurting perfect competition but who cares. Economists want perfect competition, businessmen want monopolies!
with that said their exports to us is only 4 percent of their economy. It’s hardly a dent! The upside is if our industry learns to manufacture that product and make it so that we can compete globally and destroy them. Their exports make up 20 percent of their economy.
RT @realDonaldTrump: China is actually placing propaganda ads in the Des Moines Register and other papers, made to look like news. That’s because we are beating them on Trade, opening markets, and the farmers will make a fortune when this is over! https://t.co/ppdvTX7oz1
I’ve bought CN futures a couple times now, and sold for a gain each time.
lololoz riiiigggghhhht.
Anyhow, DOW hit new high today. CN markets in the gutter with the rest of the trash. Winning!
Shrug, that may be, but it’s also true that my two futures trades were for gains. Not mutually exclusive.
Damn pa was right trump punked out
May have to do with the midterms and the likelihood that Republicans are losing the house
I give this a 1% chance of an agreement. Agree with this guy from BB’s article.
“I don’t buy the story for a second,” said Michael Every, head of Asia financial markets research at Rabobank in Hong Kong. “This seems a perfect way to ensure equities rally into election day, put Xi into a box in terms of what is expected of him and then have someone to blame when the deal then falls through.”
5 words, The Art of the Deal
Market will see through this bs. Trump’s been holding a 500 pt rally in his back pocket for months. I guess this is art of the deal type stuff – problem is we’re dealing with major economies not a casio or whatever.
a fascinating study on the trade war and subsequent opium wars between Britain and China. british wanted china’s tea and ran deficits. british wanted a trade deal but were rejected by china who wanted to maintain control. britain who wasted money on india used the fields tehre to generate opium which the chinese people wanted. but opium was illegal so the british had to smuggle it in. which then resulted to a trade war!
anyways its fascinating! yall should watch. nice parellel to the us who are now heavy drug users and have outlawed it. anyawys would be nice if we could just outlaw chinese products as well!
https://www.youtube.com/watch?v=fgQahGsYokU&list=PLhyKYa0YJ_5CfNx__nBNXi_0Kl6aFA2Dl
https://www.youtube.com/watch?v=DxN12jzHrqI
valuetainment. great content. very smart man. about us china trade war.
https://www.celebritynetworth.com/richest-celebrities/authors/patrick-bet-david-net-worth/
worth 70m.
Well. Great show gentlemen, very entertaining. I literally read this entire thread. Sigh. This is how I’m spending my newly discovered post L3 free time. But on the plus side, I’m marginally more educated on inflation/deflation and definitely more confused on who is winning the trade war. But serious when I say this was an enjoyable read.