Author: Marketplace

Earlier this week, President Trump announced a “massive” trade deal with Japan. But as Japanese officials clarify some of the terms, it’s not clear how concrete the deal actually is. We’ll explain. Also, some wealthy Democrats who stand to benefit from Trump’s tax cuts are rallying against them. Plus, we’ll play a round of Half Full/Half Empty!

Here’s everything we talked about today:

• "Cracks widen in Japan and US’s interpretation of tariff trade deal" from The Financial Times 
• "Trump’s Tariffs Are Being Picked Up by Corporate America" from The Wall Street Journal 
• "Rich liberals do not want their big Trump tax cut" from The Washington Post
• "AI has come for the fragrance industry" from Marketplace 
• "Want to pay down the national debt? The US government will take Venmo" from The Verge 
• "Meme stocks have staged a surprising return" from Marketplace 
• "Restaurants Are Trying to Tariff-Proof The Menu" from Eater

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This week, President Donald Trump said the baseline rate for so-called “reciprocal” tariffs on countries around the world could now land somewhere between 15% and 50%, higher than what was previously floated. But according to Princeton international economics professor Gene Grossman, "it's not clear exactly what the purposes are, and many of them are in contradiction with each other." But first: Since the spring, oil rig count has dipped to near-pandemic lows. What gives?

In an awkward visit to the Federal Reserve building, which is under construction, President Donald Trump continued to push for lower interest rates. But even if Trump had a compliant Fed, he wouldn’t necessarily get the lower borrowing costs he wants, because the central bank doesn’t directly control the rates the president is concerned about. We'll learn more. Also, we'll provide an explainer on what tariffs on products versus countries mean for the economy.

From the BBC World Service: There were big trade talks in Beijing yesterday, where the EU raised concerns with China about trade imbalances and warned that China's close ties with Russia could damage relations. We'll provide an analysis of the summit and media coverage that followed. Then, we'll head to Paraguay, which has big ambitions to turn itself into South America's Silicon Valley, and where the government and tech firms are pitching the country's unique advantages

NASA employees protest budget cuts, Google reportedly eyes licensing deals with 20 national news organizations, and President Donald Trump signed three executive orders on AI this week. Marketplace’s Kimberly Adams is joined by Jewel Burks Solomon, managing partner at venture firm Collab Capital, to break down these stories.

President Trump wants lower interest rates now, but what could that mean for the economy? "Marketplace" host Kai Ryssdal speaks with Neil Irwin at Axios about the implications of Trump's push to cut rates, and why central banks should stay focused on stabilizing the economy, not helping the government manage its debt. Also on the show: One of the pieces passed in the GOP's sweeping budget bill was a measure that would end taxes on tips and overtime. We look at who qualifies and who doesn't. And later, how companies are viewing the cost and importance of business travel.

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Republicans’ newly passed tax and spending law makes good on a promise President Trump made over and over on the campaign trail: No Tax on Tips and Overtime. But the change likely won’t have the drastic impact many workers think it will. Marketplace’s Kristin Schwab joins us on the show today to break down the nuts and bolts of how the tax breaks will work and how American workers and businesses could be affected. Plus, Kimberly’s cat Artax makes an appearance.

Here’s everything we talked about today:

• "How the new "No Tax on Tips" and overtime laws work" from Marketplace 
• "No Tax On Tips And Overtime: What Workers Should Know" from Bankrate
• "Here’s A Tip: ‘No Taxes on Tips’ May Be Good Politics But Is Bad Policy" from the Tax Policy Center

• “An Illustrated Guide to Who Really Benefits From ‘No Tax on Tips’” from The New York Times

  
  

  Join us tomorrow for Economics on Tap. The YouTube livestream starts at 3:30 Pacific/6:30 Eastern. See you then!

Rideshare app Uber is rolling out a new feature in LA, San Francisco, and Detroit, allowing women drivers and passengers to request to be connected only with other women. The company says the move is in hopes of improving safety and recruiting more women drivers. But first: U.S. steel producers raise prices in response to Trump's tariffs, and we take a look at how the housing market could be complicating the jobs picture.

President Donald Trump is scheduled to visit the Federal Reserve this afternoon. The visit is the latest turn in Trump’s campaign to pressure the Fed to lower interest rates. It's highly unusual for a president to visit the Federal Reserve; most stay away in a nod to Fed independence. And later: Did you remember to send a card? It's the 100th birthday of a research lab to which we owe much of modern life: Bell Labs.

From the BBC World Service: Indian Prime Minister Narendra Modi is in London sealing a major trade deal with the United Kingdom worth $6.5 billion. The agreement, billed as the biggest since Britain left the European Union, will slash India's tariffs on U..K goods from 15% to around 3%. We'll discuss the significance. Then, Armenia — a landlocked country of just 2.7 million people — is making big waves in tech, from coding labs and schools to startups.