Why Trump’s tariff chaos actually makes sense (big picture)
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Further reading mentioned in the video:
Scott Bessent’s essay: https://www.economist.com/by-invitation/2024/10/23/the-international-economic-system-needs-a-readjustment-writes-scott-bessent
Two ex-Biden advisors on the global trading system: https://www.economist.com/by-invitation/2025/03/25/the-global-trading-system-needs-new-rules-not-tariffs-say-wally-adeyemo-and-joshua-zoffer
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SOURCES:
I’ve linked my sources in the blog that goes along with this video. Links are in the text.
https://www.moneymacro.rocks/2025-04-03-Trump-plan/
Timestamps:
00:00 Intro
02:12 What does the Trump team actually want?
05:12 A brief history of the US led global order
08:25 The Triffin dilemma
13:24 The MAGA masterplan for a new global order
22:41 Conclusion and sponsor
Attribution:
Music by Epidemic Sound: http://nebula.tv/epidemic
Thank you to AP Archive for access to their archival footage.
Stock footage and others clips by Getty
Narrated and produced by Dr. Joeri Schasfoort
28 Comments
Get access to global coverage at an exclusive 20% discount at https://economist.com/moneymacro
Further reading from the Economist:
1. https://www.economist.com/by-invitation/2024/10/23/the-international-economic-system-needs-a-readjustment-writes-scott-bessent
2. https://www.economist.com/by-invitation/2025/03/25/the-global-trading-system-needs-new-rules-not-tariffs-say-wally-adeyemo-and-joshua-zoffer
Hi MoneyMacro. Why is it that the only media outlet defending Trump's tariff plan is based in Belgium? I mean, I'm not anti-Belgian. Some of my best friends are Belgians. But it does seem odd, doesn't it, that those who have a dog in this fight would condemn what Trump is doing while you sit in a sidewalk cafe in Bruges, sipping your espresso, and saying, 'C'est tout à fait logique pour moi.' [It makes perfect sense to me.]
All of the plan is contingent on a bet that China will refuse to stimulate its domestic consumer market. It will dilute the power of the CCP, but they might just do it given signals since earlier this year.
Let’s not forget we have oil, the green back and brains, even with this monstrous screw up we will overcome.
This video can be summed up as, “I know tariffs didn’t work and caused mass recessions the last 2 times we’ve tried it, but it’ll definitely work this time bc uhhhh plans” lmfao this is a joke.
trump lies so much it’s hard or naive to trust any thing he says ❗️
President Trump is a genius
@moneymacro are morons!
How much does trump pay people to dishonor their integrity, self respect, and personal truth to stand before the world and spout b.s.? His plan is to destroy the world economy in retalliation for the sanctions against vladdydaddy and russia! Welcome to 1929… MAKE AMERICA CRASH AGAIN !
I like how the plan to manipulate Americans into buying cars made in America completely ignores how many Americans detest the overweight bloated gizmo pigs American car companies produce. Yank Tanks are the worst.
He’s going spike inflation in his own country. Lol😂 , a total idiot.
The People that take advantage of this and invest in everything possible while prices keep going down.. they will be rewarded hugely. This is a gift for us.
I know there is room for a lot of improvement in the US. All the stupid MF that voted for Trump goes to show that. This is about world domination along side Putin. Separating us from our allies and blaming them for what Trump is doing. He is aligning with Putin and wants Greenland to move against Europe. Wake up people and do something about this mad man.
His plan is to destroy the United States. It is what Putin has asked him to do, and Putin is a very smart guy and his friend.
Love the video, very sane breakdown. Feel like many of the comments are missing the point. To be clear I'm not entirely sold on the plan myself, but what Trump is attempting to do here is to change the way the economic game is played so that disenfranchised Americans can have a chance to compete. A lot of the critics seem to be hung up on the old system, which begs the question whether it should be held up to the same lense. The alternative seems to be just to raise taxes on rich people and have govt subsidize industries which might be easier, but it removes autonomy from business and the worker. As an American I hope it lifts up people who have seen their livelihoods shipped over seas and brings more wealth to our country. Only time will tell.
Some American products sell less because they are absolute crap, like their cars… Just make better products and problem solved.
And then last night the gop senate voted to add $5.5 trillion in new debt.
Chaos means a "confused mass or mixture" or a "state of utter confusion". I would argue that there is a CHANCE it actually makes sense.
go to the 23 minute mark to explain this video
Even if the "MAGA master plan" has any logic to it (still debatable), it’s an unbelievable risk. It may be a bold attempt to reindustrialize the U.S. and reshape global trade, but the entire plan hinges on trust, and that’s exactly what’s breaking. Allies are forming new trade blocs without the U.S., and the stock market is burning on that very lynchpin. Nearly $10 trillion wiped out since January isn’t just market panic. It’s the world signaling that it no longer trusts the U.S. to play fair long enough for the plan to work.
This is what happens when someone in power surrounds themselves only with sycophants and shuts out any news or voices that challenge their worldview.
And then what actually happened is trump followed the plan of a guy whose book relied on an expert he made up.
There is no plan. In Trump's head anyway.
We know about this plan since at least a few months nothing new… and making sense doesn't mean it's right AT ALL specially how executed is… we are pissed and I speak as a French so I perfectly understand EU/CANADA. Like hell we are gonna get US bonds XDDD he is dreaming also dollars won't collapse maybe stay a bit low/cheaper…
White collar conservatives sent the jobs over seas then blamed Dems because they have no conscience. No one that is a head of a huge company and making these decisions, is voting liberal.
The tariffs imposed are based upon trade deficit, not what the other country imposes. Lesotho makes Levi jeans for the US market but the average wage of 105 dollars per month means hardly anyone can afford US produced goods. Hence a trade deficit and a stupid sales tax imposed on Lesotho.
This is what you get when you vote for a bankrupt felon.
Which is why we build
alliances. Your ‘logic’ assumes the US is alone. Which is exactly what our enemies want and are achieving via the gop.
Only the uneducated do not understand.
Its literally one of the main steps in the wannabe dictators playbook. Crashing the economy further disempowers the people from fighting back as he continued to erode our civil liberties.