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by deltaseventhree 1297 days ago
The subsidies make the plant break even. Defense spending is basically another subsidy. Most of the weapons the US makes is useless in a civilization that has mostly been at peace for a long time. Hard to say how far defense will go though in terms of spending.

You are definitive about defense spending in a recession. This is wrong. Aspects of the government will begin pulling back. We do not know how this will effect tsmc.

This move from a profitablity standpoint is break even as far as we know. It makes no economic sense.

Btw. This isn't something I'm making up. The CEO of tsmc mark liu stated this to Nancy pelosi during her visit. Also her husband is dumping tsmc stocks for unknown reasons.
3 comments
lossolo 1296 days ago
> Most of the weapons the US makes is useless in a civilization that has mostly been at peace for a long time

It's not useless, it's all about power projection. When you go to rob a bank and take a gun with you that you will never use then you don't call that gun useless because thanks to projecting your deadly power with it you were able to successfully rob the bank.

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HDThoreaun 1297 days ago
> Aspects of the government will begin pulling back.

Defense spending never goes down. It's a key way the government injects money into the economy during recessions.

> The CEO of tsmc mark liu stated this to Nancy pelosi during her visit

Every CEO tells politicians to give them more money, that isn't evidence of shit other than being competent.

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deltaseventhree 1297 days ago
Inflation is a problem right now. A huge problem. The recession is actually the result of the government pulling back. It is a necessary action.

Interest rates will increase spending will be pulled back to stop inflation. A recession is the tool being used to stop inflation.

The CEO did not ask for money. The money was already given. The CEO was simply stating the status quo. Helping her come to terms realistically with what is truly going on with the Arizona plant. Look it up.

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rufus_foreman 1295 days ago
>> a civilization that has mostly been at peace for a long time

The United States has had around 20 years of peace since the Declaration of Independence was signed in 1776.

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