Donald Trump proposes interest rate caps on credit cards. I commented earlier. Now my readers weigh in.
The following comments and my replies are to my post Trump Proposes a Cap on Credit Card Interest, So Does AOC and Bernie
The competitive self-destruction of the Republican party as we once understood it is on full display today.
The Forgotten People
Reader: Trump wants to help the forgotten people. Trump understands small businesses.
Mish: What partisan nonsense. Please note that AOC and Bernie Sanders support caps and Trump just joined the Socialists. Did I fail to point that out?
The next reader get’s the irony.
I’m Republican and I Love the Free Market
Reader: But I’m Republican and I LOVE the Free Market…unless TRUMP doesn’t like it…then I hate it!!!! /sarcasm
Mish: LOL. One other reader commented “You need a laugh button, Mish 🙂 Some of this is truly high comedy.”
Don’t Tax Social Security
Reader: Why should Social Security be taxed? Tariffs or taxing producers is bad, but I would prefer taxing foreign entities first.
Mish: But I am open to considering any idea of merit if you tell me how you are going to pay for it. This idea will cost hundreds of billions of dollars. So, tell us how you will pay for it.
And pray tell how the hell do you tax foreign entities? If you think tariffs are a tax on foreign entities, you are economically illiterate. That’s a shame given I have discussed this may times.
Bravo!
Reader: Bravo Mish! You are the only one calling trump and GOP out for their growing socialism. This is why I keep saying no politician is going to save anyone, you must focus on your own self being.
Mish: Thanks! I appreciate that. But it is costing me readership. Any criticism of Trump does.
I especially like your comment that you must focus on your own self being. To that I will add: “because government sure won’t.”
Clown Show
Background: I concluded my first post on this subject with: “Trump is trying to outcompete Harris on free money proposals, and now price caps. This is truly beyond pathetic.”
Reader: Pathetic is too technical of a term to describe a Clown Show.
Mish: I can accept that idea.
Better Off Not Lending
Reader: If a credit card company cannot go above 10% while it has to in order to make profit against a nearly bankrupt card holder, we may all be better off if the company just stops lending.
Mish: I agree this is a sorry state of affairs. But who gets to decide what is better for whom? You? Government? Or the free market?
Do we eliminate all the pawn shops and Payday Loan operations too? (Because that is the only alternative).
Is no chance better than some? That is effectively what you are saying.
A Grasp on Reality
Reader: Price controls lead to shortages. Limit the interest rates for risky loans (credit cards) and you’ll have a lack of credit. That’s no problem for me since I pay the balances off immediately, but a lot of folks don’t.
Mish: Some of my readers have a firm grasp on reality without partisanship. Congrats!
No Interest at All
Reader: I propose no interest at all! Charging interest on money is a scam all together.
Mish: Thanks. I’ll make a note.
Mish’s Note to Self: There is no time value on money or on risk of default.
“I will gladly pay you Tuesday for a hamburger today.”
Blame Biden
Reader: Blame all this on Worst President in history Joe Biden & Useless Kamala for destroying America’s economy.
Mish: It would behoove Trump to talk about the economy rather than talk like Bernie Sanders!
Lesson of the Day (Repeated)
You cannot (hmmm, I mean should not) attempt to compete with Democrats on free money handouts. They can always do more or make them look more fair.
Worse yet, Trump is proposing things that are massively inflationary unless he can specify how he will pay for these ideas. But he won’t.
And if you think tariffs will do it, you are only nuts. Besides, tariffs are a regressive tax on consumers.
I will cover tariff proposals separately.
Harris and Trump Regarding Food Costs
If you like ridiculous answers, for more of them please see Ridiculous Answers from Harris and Trump Regarding Food Costs
Both candidates have been asked questions what they would do about the rising cost of food. Let’s discuss their answers.
Kamala’s Changing EV Position
On September 21, I noted Harris Declines to Comment on Her Changing EV Position (Everything Else Too)
“My Values Have Not Changed”
Upon refection, I believe you can take that to the bank.
Her values have not changed. What has changed is Harris is pretending that the policies she supports have changed.
Trump talks too much about the wrong things. Harris won’t talk at all. It’s a very smart policy by Harris.
Why talk when your opponent keeps sticking his foot in his mouth.
This is a genuine clown show.
Thanks Readers.