Smoot Hawley revisited.
First I would like to say that it really sucks that because of the pandemic TDS (Trump Derangement Syndrome) in the media, I have spent so much effort to defend against these wackos. There is plenty to criticize, but until the overwhelming, day after day, constant barrage of attacks by the mainstream media (which Rush refers to, correctly in this case, as the Drive By media) settles down, and they decide to have sane discussions, then even libertarians write in defense of Trump, and I am by no means, the only one. But there is plenty to talk about, and here goes.
Remember in the campaign, when Nabisco announced they were moving their OREO production to Mexico? And Mr. Trump criticized Nabisco for sending those jobs out of country, and how we need to protect our businesses? I think I wrote about this when it happened, but here is the thing. Are wages cheaper in Mexico? Of course they are, partly because of the taxes, and requirements of the Affordable Care Act, and minimum wage, and so on. But there is a big bad monster under this bed, and it is exactly the thing that now President Trump is doing. There is a YUGE tariff on imported sugar, to "protect" the sugar industry in this country. (maybe why we have High Fructose Corn Syrup in so many things is the cost of sugar?) Of course the American consumer is screwed on this. We would think that with that kind of protection (up to 50% tariff) american sugar would be cheap, right? Nope, the sugar industry keeps their prices just slightly less than the imported sugar cost. SO, YOU PAY MORE. Now that doesn't apply to imported products, such as candy, or, I don't know, um, OREOs, so they make them in Mexico, with the cheap sugar, and import them.
I know, we hear so much about a trade deficit, and how we need to do something about that. One question.
What are you doing about your trade deficit with your local grocer? I mean, you go in, you buy a bunch of stuff from him, and he takes your money. But....
What does he buy from you? He doesn't buy from you? Well, maybe we need to put a tariff on the goods that he sells you, so that, well, I am not sure what that accomplishes, but, sounds good. So, the community puts a tax on the grocer, to aid in this trade imbalance. Who pays for that? Well, you do, as you find out when you are checking out.
The only tariff that I would ever support would be a very modest, non-punitive type, simply to generate revenue. Like how this nation was funded for the first 140 years of its existence, in exchange for an elimination of the income tax. Putting a tariff on imports doesn't hurt the importer. It hurts the consumer.
So, why would we do this to ourselves? Mr. President? There are thousands of tariffs in place, already. How about getting rid of them? Let us benefit from the reduced costs. Will businesses in the US get hurt? Yes, maybe even have to close. Cutting the business tax is the same principle, and yet that was seen, rightly so, as beneficial. Don't add to the tariffs, get rid of them. and, by the way...
I keep hearing these commercials on corn gas. That we need to increase availability of E15. Other than the FlexFuel vehicles, which cars can use it? And, in the GOP primary, didn't Ted Cruz go to Iowa and campaign on eliminating this massive subsidy? (Ethanol) Who won that primary? (Cruz, if you don't follow politics)
Be like Coolidge, but not this way. His one flaw was a tilt towards tariffs. Probably with the intent of replacing the Income Tax, but that genie was out of the bottle and still is. So, no tariffs.
Remember in the campaign, when Nabisco announced they were moving their OREO production to Mexico? And Mr. Trump criticized Nabisco for sending those jobs out of country, and how we need to protect our businesses? I think I wrote about this when it happened, but here is the thing. Are wages cheaper in Mexico? Of course they are, partly because of the taxes, and requirements of the Affordable Care Act, and minimum wage, and so on. But there is a big bad monster under this bed, and it is exactly the thing that now President Trump is doing. There is a YUGE tariff on imported sugar, to "protect" the sugar industry in this country. (maybe why we have High Fructose Corn Syrup in so many things is the cost of sugar?) Of course the American consumer is screwed on this. We would think that with that kind of protection (up to 50% tariff) american sugar would be cheap, right? Nope, the sugar industry keeps their prices just slightly less than the imported sugar cost. SO, YOU PAY MORE. Now that doesn't apply to imported products, such as candy, or, I don't know, um, OREOs, so they make them in Mexico, with the cheap sugar, and import them.
I know, we hear so much about a trade deficit, and how we need to do something about that. One question.
What are you doing about your trade deficit with your local grocer? I mean, you go in, you buy a bunch of stuff from him, and he takes your money. But....
What does he buy from you? He doesn't buy from you? Well, maybe we need to put a tariff on the goods that he sells you, so that, well, I am not sure what that accomplishes, but, sounds good. So, the community puts a tax on the grocer, to aid in this trade imbalance. Who pays for that? Well, you do, as you find out when you are checking out.
The only tariff that I would ever support would be a very modest, non-punitive type, simply to generate revenue. Like how this nation was funded for the first 140 years of its existence, in exchange for an elimination of the income tax. Putting a tariff on imports doesn't hurt the importer. It hurts the consumer.
So, why would we do this to ourselves? Mr. President? There are thousands of tariffs in place, already. How about getting rid of them? Let us benefit from the reduced costs. Will businesses in the US get hurt? Yes, maybe even have to close. Cutting the business tax is the same principle, and yet that was seen, rightly so, as beneficial. Don't add to the tariffs, get rid of them. and, by the way...
I keep hearing these commercials on corn gas. That we need to increase availability of E15. Other than the FlexFuel vehicles, which cars can use it? And, in the GOP primary, didn't Ted Cruz go to Iowa and campaign on eliminating this massive subsidy? (Ethanol) Who won that primary? (Cruz, if you don't follow politics)
Be like Coolidge, but not this way. His one flaw was a tilt towards tariffs. Probably with the intent of replacing the Income Tax, but that genie was out of the bottle and still is. So, no tariffs.
Comments
Post a Comment