And if investors think the future is extremely bleak they will cancel plans to expand, “right-size” their workforce, and so-on, which will smash the economy. The future looks incredibly bleak right now. Many businesses have stopped ordering at all from China because they have no idea what the tariffs will be once the goods arrive.
It all depends on how long the tariffs stay and what deals other countries make. A huge stock downturn can cause economic issues, but usually it’s the other way around.
And if investors think the future is extremely bleak they will cancel plans to expand, “right-size” their workforce, and so-on, which will smash the economy. The future looks incredibly bleak right now. Many businesses have stopped ordering at all from China because they have no idea what the tariffs will be once the goods arrive.
It all depends on how long the tariffs stay and what deals other countries make. A huge stock downturn can cause economic issues, but usually it’s the other way around.