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Tuesday, April 8, 2025

A Potential Trade War Explained Through a Really Stupid Analogy

Life throws you strange curveballs sometimes, but mostly you just roll with it, you know. Until you start to catch on that things quite possibly aren't the way they ought to be.

Take my buddy who has me over for dinner all the time. Great food, warm company. Yet, every single time he hands me a bill for $30 after the meal. It's always been this way. Although, I will admit, even though I have always just gone along with it, for years it always left me a bit flabbergasted. Especially considering when he eats at my place, he's treated to a free meal.

So naturally, one day I asked him about it. He casually explained, "It's just the cost of having dinner at my house." And sure, he's a phenomenal cook, so I let it slide. But after dozens of $30 dinners, I couldn't hold back anymore. I finally said, "But when you come over to my house for dinner, I don't charge you a dime!"

He shrugged and said, "That's just the deal. You eat in my house, you pay. I eat in your house, I pay nothing."

Oh really? So, I replied, "Alright, fine. Fair enough. From now on, I'm charging you $15 for dinner at my place."

Cue absolute chaos. He slammed the table, his face turned red, and he shouted that he'd burn my house down if I dared charge him. "That's it!" he roared. "If you're going to charge me $15, then I'm raising my price to $45. Either I keep eating for free, or we're going to have some serious issues!"

Enter the ye olde record scratch here.

Does this sound familiar? That's how tariffs play out on the world stage. The United States is simply tired of footing the bill while others dine on the house. Is it coming into focus now? Or do we need another analogy? 

Dinner's on me. Well, so long as you give me $15 or until we renegotiate the terms of our dinner arrangements. 

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© 2025 Jim Bauer

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