Obama Slaps tariffs on Chinese tires

http://finance.yahoo.com/news/Obama-to-impose-tariffs-on-apf-2199438691.html?x=0&sec=topStories&pos=main&asset=&ccode= ^

[Orange1998]

President Barack Obama on Friday slapped punitive tariffs on all car and light truck tires entering the United States from China in a decision that could anger the strategically important Asian powerhouse but placate union supporters important to his health care push at home.

Obama had until Sept. 17 -- next week -- to accept, reject or modify a U.S. International Trade Commission ruling that a rising tide of Chinese tires into the U.S. hurts American producers. A powerful union, United Steelworkers, blames the increase for the loss of thousands of American jobs.

[1rudeboy]

I don't know enough about the U.S. tire industry to know whether this Section 421 action is justified or not. The problem is that when you mix Obama, a powerful union, "Trade Adjustment Assistance" to its members, and the ability to stick the bill on the rest of us, we should be wary.

Is a tire industry job a "green job," anyway?

[ex-snook]

Good move. Level the playing field. Put the same costs on foreign manufacturers that are mandated for America manufacturers. If American companies have to pay extra environmental, health care, taxes and regulatory costs then put the same dollar load on foreign companies. It’s like States do on equalize sales taxes with compensating use taxes.

[skinkinthegrass]

Is a tire industry job a "green job," anyway?

no....
this is only a continuation, of the "De-Industrialization /
demonetization" of America...
OTOH...all (American) Petroleum products are EVILLLL...

[ConfusedSwede]

That graph looks pretty good 1rudeboy.

In my bookshelf I have some american books from 1990:s about the `squeeze of the middle class´. Some days ago I saw a video, at the reason.tv channel on youtube, about how rich the middle class in america really is.

Here is the video
http://www.youtube.com/watch?v=GvvuHREm5jg

This is really another discussion but I am not sure that free trade drives GDP growth.

Like a comment stated under the video, all the middle class toys are owned by someone else, the banks.

I am for free trade without regulation and tariffs, I am for free movement over borders (worker and goods), but on which terms do growth take place?

One can not build an economy on promises to produce in the future.

[ex-snook]

"What affect did S-H have on exports? "

You can see all sorts of numbers but the bottom line is that if we had exported our production capability to Japan, Germany and China we would have been up the creek to win WW II.

[ConfusedSwede]

Free trade for me is goods for goods, not goods for debt.

[_Jim]

You can see all sorts of numbers but the bottom line is that if we had exported our production capability

Non sequitur; conflation of exports of product with off-shoring of production: Not the same thing.

[skinkinthegrass]

....what I mean, Zer0Bambi, Is looking for Bribes....Think Klintoon$.....
how it affects American Industry...Zer0Bambi doesn't care.

[cmsgop]

lol, good one

[ex-snook]

You left part of the sentence out. Here is the whole thing.

"You can see all sorts of numbers but the bottom line is that if we had exported our production capability to Japan, Germany and China we would have been up the creek to win WW II."

[_Jim]

Doesn’t change conflating off-shoring of production with export of produced goods (literally: exports. There is a difference - no?)

[PugetSoundSoldier]

Then you don’t know? Tell me what part of Lenin’s “New Economic Program” you find in China today.

[_Jim]

A couple things first -

Your chart is highly compressed in and about the years in contest (Great Depression);

This can lead the drawing of the wrong assumptions when considering the legislation/acts of congress (and government in general) year by year.

For instance, the big DIP in GDP bottomed out in 1933 - htis is HARDLY visible on your chart!

Presenting data in this format essentially wipes out one’s ability to perform any meaningful analysis on the going by the fine-grained details of the day ... maybe that’s what the US Dept. of Commerce (souce of your charts?) would like ...

[ex-snook]

"Doesn’t change conflating off-shoring of production with export of produced goods (literally: exports. There is a difference - no?)"

Sorry I don't see difference between off-shoring production with export of produced goods. If we off-shore we don't have goods to export. The current 'don't make sell-only' economic model has come up short. We have to make more of what we consume. More shopping centers, does not a good economy make.

[_Jim]

The National Income Accounts for the Great Depression in the U.S. (1992 Prices)

Let's see if our friend the <PRE> tag will yield some tabular data:

                         GOVERN
            CON          MENT
            SUMP  INVEST PUR    EXPO IMPO NET
YEAR   GDP  TION   MENT  CHASES RTS  RTS  EXPORTS 
----  ----- -----  ----  -----  ---- ---- -----
1929  790.9 593.9  92.4  105.4  35.6 46.3 -10.7 
1930  719.7 562.1  59.8  116.2  29.4 40.3 -10.9 
1931  674.0 544.9  37.6  121.2  24.4 35.2 -10.8 
1932  584.3 496.1   9.9  117.1  19.1 29.2 -10.1 
1933  577.3 484.8  16.4  112.8  19.2 30.4 -11.2 
1934  641.1 519.0  31.5  127.3  21.4 31.1 -9.7 
1935  698.4 550.9  58.0  131.3  22.6 40.7 -18.1 
1936  790.0 606.9  75.5  152.5  23.7 40.2 -16.5 
1937  831.5 629.7  94.0  147.0  29.9 45.3 -15.4 
1938  801.2 619.5  61.3  157.8  29.6 35.2 -5.6 
1939  866.5 654.0  79.5  171.8  31.2 36.9 -5.7 
1940  941.2 688.0 111.3  174.2  35.4 37.8 -2.4 
1941 1101.8 737.1 137.3  288.0  36.4 46.5 -10.1 
1942 1308.9 719.7 72.1   692.0  23.9 42.2 -18.3 

[_Jim]

Sorry I don't see difference between off-shoring production with export of produced goods

I was getting that impression.

Have a good day.

[jackmercer]

My understanding of macroeconomics makes me hesitant to agree with you. But the Patriot in me wholeheartedly agrees with you....I have to go with my love of country on this one, BUY AMERICAN! I guess Obama can, from time to time, squeak out some patriot actions even though it was but a byproduct of his allegiance with the unions.

[jackmercer]

You forgot that we have a fiat currency. We technically don’t need to borrow from anyone. Find out how much currency we actually borrow from other countries to finance out debt, you may be surprised...it’s not 100% And with interest rates smashed against the zero bound, if you utter the words inflation you get intellectually slapped in the forehead.

[ex-snook]

"Have a good day. "

Thanks a few more tariffs on imported goods will make it even better.

[_Jim]

I find it absolutely incredible to encounter an individual with the thinking you're now displaying in this day and age given ALL the resources at our disposal that documented the FDR and Great Depression era ...

Truly: "Those who do not remember histiry are doomed to repeat it." - George Santayana

You are a living example!