Tag: economics

New tariff rules bring ‘maximum chaos’ as surprise charges hit consumers

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From NBC News:

Some U.S. shoppers say they are being hit with surprise charges from international shipping carriers as the exemption on import duties for items under $800 expires as a part of President Donald Trump’s tariff push.

Hear me out … it’s almost like this administration is incompetent and doesn’t have our best interests in mind. In a world where one wanted to roll out tariffs to achieve their goals but also manage in a way that doesn’t choke out economic activity, they would likely do so in a staggered way that allowed businesses and consumers to plan both purchasing decisions as well as investment strategy around factory relocations, etc.

I personally have been hit by a number of these types of fees recently and I have zero clue what the real cost will be until a few days before delivery. The things I’m working with are minor consumer purchases. I can only imagine if I were trying to run a business.

Direct Support & Subscription Fatigue

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As I mentioned recently, I’ve been listening to even more podcasts than ever that I’m mostly tooling around the house and doing yard work with all of this spare time. As a result, seeing some of the shows and sites I love start to feel the pinch of reduced ad spending have sparked me to start directly supporting them via membership or donation. Recently, I’ve started to support the sites and podcasts that give me the most joy in these fairly monotonous times: Pewter Report, Relay.fm, Macstories, The Athletic, Stratechery and a few others. All told, it’s about $25/month but I feel like I’m doing my part to keep these folks going.

I’m no behavioral economist but I’ve always wondered what the average difference between the increased brand affinity a subscriber/member feels and the subscription fatigue associated with yet another monthly fee is. I feel like the $5 or so a month I pay to these services, podcasts or sites that give me a ton of joy has an outsized amount of real estate in my head. I love knowing that I’m helping directly support podcasts, apps, websites but I also find myself sweating the relatively small amount that I’m giving them. I know they’re in a bind too – going subscription-only reduces their addressable advertisement market and overall reach, while relying only on “donations” makes that support super elastic.

I’ll be curious to see how much the pandemic-induced ad spending changes the podcasting revenue game. The most positive effect could be additional creativity around revenue generation, ad reads and membership programs, with the least being consolidation, paywalls and more invasive tracking. Let’s hope there’s more innovation in the “positive” areas.