Posted on 12/06/2016 2:20:13 AM PST by expat_panama
Exactly.
The current way is not working. The economy must grow and the government spending must shrink. 100,000,000 people are not working. As more of them work, more taxes are raised. Instead of tax money drains, they become tax money generators.
The inner city revival plays an important role as well. More people off welfare via work/business means less spending for welfare.
None of it is easy but necessary.
That's the theory, but I have never seen any economic study that supported the notion that our purchases of consumer products would remain unchanged if we moved every factory from a foreign country here to the U.S. and made them all here.
If you do all this you probably wouldn't even need the tariffs.
The bigger burden is welfare and medicaid, neither of which has be contributed to by the recipients. These transfer payments need to be addressed before SS or medicare.
That’s why the inner city revival Trumps been talking about is so important.
It will be a work in progress.
1. In any financial transaction, buyers will seek the lowest price possible for the type and quality of a product or service they are buying. At the same time, sellers will look for the highest price possible.
2. An employment arrangement involves a "buyer" (the employer) and a "seller" (a worker).
3. One of the simple realities of an economy is that a worker will usually demand far more for his/her services than he/she would ever pay another worker for the same services.
Point #3 underlies almost every policy decision that is made by a government, and every business decision that is made by a private employer, in an advanced country like ours where labor costs are extremely high. "Free trade" gives us the ability to do things in a foreign trade situation that we'd never be allowed to do under the law right here in the U.S. -- namely, paying workers less than our statutory minimum wages, buying products that are made in factories that violate every environmental standard under our laws and fail to meet minimal worker safety standards, etc.
Tariffs won't do anything to alter this reality in which we live.
How can they study something that hasn’t happened?
Right, but the tariffs are needed now to get the pump primed.
Thank God we finally have a President with a back bone. Imagne what would have happend, or not happened, if Obama, the Clintons, or even the Bushs’, had been around at the time of the founding of this country.
How did they study the feasibility of flying to the moon if nobody had ever done it before?
What exactly does that mean?
From what I've been able to gather, 'accomplishing' something is not the goal at all, but rather that having the import tax hikes is an end in itself. Basically. some poor helpless people believe they need to be protected more than we do so they look at import taxes and say I-WANT-IT-I-WANT-IT!!!!!
So lets hypothesize I’m a small business owner and I purchase my material in China and take the import and sell in America. Trump decides to slap a tarriff on this import which in turn then impacts my costs and who I have employed. In turn if I’m running on small margins I’ll go to the least common denominator and start laying off.
OR I’ll find a different overseas supplier of the product who hasn’t had a tariff slapped on. This is a global market and as a small business owner will find a means to procure the cheapest route available.
So either it’s loss of more jobs through tariff or I find it elsewhere on the market. What exactly is the purpose of a tarrif (penalty) again?
There's more than one graph on that page, there was this one and this other one. Was there something in particular that caught your interest?
Increase tariffs on goods that we can build/supply on our own. This will bring manufacturer focus back to providing for American interests instead of international. For instance, we export goods such as grain, milk, and textiles, and we import goods made with those things. Why don’t we just keep the exports here, manufacture those goods ourselves, tariff the goods that we can make but others are importing? That would reduce the amount of back and forth with shipping, and Americans could find jobs making those goods.
The whole reason China’s booming the way they are is that Americans are thirsty for shit they can make on the cheap. If we brought the manufacturing of those goods back to America, you cut out middle-men and shipping and put Americans back to work. America’s desire for goods, esp. luxury goods like vehicles, phones, electronics, etc., isn’t going away.
As a result of all of this, companies will come back to America to do business since the cost of exporting to us is so high. That puts Americans back to work and fattens the corporate tax rolls to make up the difference.
Why do you assume that manufacturers are focused on serving American interests at all? As time goes on, our role in the global economy has been shrinking. This isn't because we've been chasing our industry out of the country, either. We are simply living in a world that is no longer dominated by U.S. industry in a post-WW2 period. The U.S. has 310+ million people. China and India alone have more than 2 billion. If I'm a manufacturer and I'm looking to build a factory closest to my customer base, am I building it in the U.S. or in Asia?
Sure, if all you do is slap tariffs on all imports. That’s why decreasing the taxes and regulatory burdens have to happen at the same time.
+35% tariff - 25% (35%) corp taxes - cost of regulations - cost of Obama care + cost of acquiring material from US sources. Overall the price of the good could be a bit higher but more people will be working and be able to afford the increase.
To incentivize production in our country. The economy right now is flat lining. Are tariffs the answer forever? No, but right now I think it’s an important too.
*too is tool
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