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What Happens After Trump's Tariffs Are Imposed?

Link Copy 2025-04-04 15:57:43

Prediction

A global recession is expected. Mass layoffs and cost cuts will begin.

Reason

The GDP of the United States (24%) is almost a quarter of the world GDP. The United States has an impact on the entire world economy. International trade in 50% of cases is conducted in dollars. If the U.S. buys less because of tariffs, it will cause a downturn in the entire global economy in the short term. In the long term, confidence in the U.S. and the dollar will fall, and the focus will shift to China and the yuan as the world's second-largest economy. This whole process will be painful and will be accompanied by massive cost cuts, optimization of business processes, layoffs and closure of enterprises. The United States itself will suffer greatly and will not be able to recover from such a policy, since its factories are distributed around the world and depend on the supply of components and raw materials.

A global recession is expected. Mass layoffs and cost cuts will begin.

From April 3, 2025, 25% duties on car imports will come into effect, and by May 3, 2025, on auto parts manufactured outside the United States. From April 5, 2025, the minimum basic customs duty of 10% will come into force. From April 9, 2025, the rest of the tariffs will come into effect. The minimum base tariff of 10% will be applied to all countries. Most likely, this will all end after Trump's change as president in 2029. On April 8, Trump introduced a 3-month delay for those countries that did not impose retaliatory tariffs.

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When will the United States lose its leadership in the world?

Link Copy 2023-09-23 13:27:31

Prediction

After the loss of the Navy and the loss of the dollar's status as the world's reserve currency.

Reason

By 2030, the United States will become the third economy in the world in terms of gross domestic product after China and India. China's dominance in the economic sphere does not in itself weaken the influence of the United States as a power. It is expected that by 2048, the dollar will cease to be the world's leading currency. And the US fleet can only be lost in the event of a protracted war with China and Russia in 2060.

After the loss of the Navy and the loss of the dollar's status as the world's reserve currency.

If America faces economic collapse and abandonment of all military and diplomatic obligations, then the rest of the world will be plunged into anarchy, they say - there will be no one to intervene in the friction between South Korea and the DPRK, India and Pakistan, China and its neighbors.

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Why can't Trump end the war in one day?

Link Copy 2025-01-15 02:53:54

Prediction

Because not everything depends on him.

Reason

Under Trump, the United States will no longer sponsor the war in Ukraine, but a peace treaty must be signed to end it. Russia will not do this with an illegitimate Ukrainian president. Therefore, first we need to hold elections in Ukraine. Then it is necessary to hold a referendum so that the people give up part of the territory in order to end the war. And only after that, peace negotiations will begin. That's about six months, the time limit that Trump has named.

Because not everything depends on him.

Elections in Ukraine are scheduled for May 25. 5 months. 1 month is the inauguration. 1 month is the referendum. 1 month - negotiations. A total of 8 months.

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Will the global financial system collapse if the dollar is abandoned as a reserve currency?

Link Copy 2023-04-11 14:46:57

Prediction

No, the US is only scary. Dedollarization is a long process.

Reason

If the dollar ceases to be the dominant world currency, the US will lose significant economic influence on the world stage. This will weaken their geopolitical positions.

No, the US is only scary. Dedollarization is a long process.

The absence of a worthy alternative to the dollar in international settlements has led to a distortion in the foreign exchange market, which is expressed in the fact that when the dollar rises in price, most of the world's reserve currencies become cheaper, and vice versa. The world of currency and financial markets, accustomed to such an order, may not be ready for the fact that the credibility of the American will ever be lost forever.

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