Thursday, 10 April 2025

Macro Economics

 10 April 2025

A blogger explains how an increase in tariffs can affect economics and cause unemployment, recession, inflation, and conflict. Chandu Stun on X: "@Ronxyz00 When an entrepreneur goes bankrupt, unemployment rises. Those who lose their jobs often struggle to keep up with their mortgage payments, leading to an oversupply of homes on the market with fewer buyers. As housing prices drop, the value of properties no longer matches the" / X "matches the collateral for loans, forcing even those who aren’t yet in dire straits to sell their homes because they can’t provide sufficient guarantees to the bank. Real estate agencies collapse, leaving brokers unemployed.

Delis and diners face challenges as their regular customers - who used to grab breakfast or lunch during workdays - disappear. If these businesses don’t shut down entirely, they at least cut staff, adding to the growing number of people in debt.

Meanwhile, inflation rises as costs increase, and interest rates climb, making it even harder for those who are still managing to stay afloat. They reduce their spending, which leads to more stores and entrepreneurs going bankrupt. And in this game of Monopoly, you can go back to the starting square and start a new round."




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