Posted on 01/26/2017 12:47:03 PM PST by SeekAndFind
Edited on 01/30/2017 7:57:50 AM PST by Admin Moderator. [history]
MEXICO CITY--President Enrique Pe
(Excerpt) Read more at washingtonpost.com ...
If we go with tariffs, I suggest we not charge or have a much lower charge on fruits and vegetables or it will hurt a lot of lower income people, many of whom I am sure voted for Trump, at least in middle America and the South. A number of states and local jurisdictions have no sales tax on basic foodstuffs.
Low income people tend to stay away form fresh fruits and veggies. Pop tarts, macaroni and cheese will be unaffected.
Here is an interesting evaluation of why Mexico will not be paying for the Wall. Amazingly, their President has only a 12% rating. Near revolt now, politically impossible for him to agree. Also strange reports of prior discussions/agreements? between him and Trump.
http://www.nydailynews.com/opinion/zero-chance-mexico-pay-trump-beloved-wall-article-1.2957726
Not all lower income want to eat like idiots. If the Affordable Care Act dies without replacement we will be seeing a lot more high priced ER visits. Let’s not make it worse with poorer nutrition.
I go to the grocery store a lot. I almost never see overweight people in the produce department. Not all obese people are poor but a lot are.
As a Texan, I seem to remember that Mexico invaded us at some point in the past. And Mexico has resources and could have been a dominant power but chose most recently to rely on drug cartels and money from their illegals.
In the next few decades, about 56% of all salaried workers in Cambodia, Indonesia, the Philippines, Thailand, and Vietnam could be displaced by automation and advanced technologies, such as 3D printing.
Some 86 % of the reduction of workforce was due to automation and just 14 % to relocation to Mexico and other countries.
There are no simple solutions.
Adam Smith would be appalled how badly his economic theory has been abused and misused by globalists.
A tariff is a simple effective solution to combat the scourge of offshoring. Automation is a good thing as long as the factory being automated is in Alabama and not Sichuan.
>A tariff is a simple effective solution to combat the scourge of offshoring. Automation is a good thing as long as the factory being automated is in Alabama and not Sichuan.
Yep. Automation creates new jobs working on the automation. Most people don’t realize it, but the only real wealth what we produce in factories, grow in farms, or extract from the earth. The more of each we do the wealthier we are.
I would throw construction in there as a fourth way to actually create tangible wealth.
Due to automation of production the wages are not so important in some industries as they were before. This means that the comparative advantage of having production in low cost countries is reduced. Thus production can come back. But the number of workers will not increase a lot, many jobs are gone forever. ‘
Instead of increasing tariffs, it would be better to reduce corporate tax to, say, 15 %. This will increase investments and be very good for the economy.
We need a tariff and a reduction in income taxes. Hopefully if the USA raises tariff from the paltry 2% the USA now charges to say 10% then Congress will get addicted to the income and keep it in place. That would be a very good thing. This income could be used as leverage to reduce income taxes even further.
>I would throw construction in there as a fourth way to actually create tangible wealth.
Construction enhances wealth creation. You can have a very poor country with lots of construction, but you can’t have rich without lots of infrastructure that came from construction.
The problem with offshoring is you have to pay for everything twice. Once when you actually by an imported product and a second time when you pay taxes to support the millions made unemployed.
Those stats are hilarious. Do you really think anyone believes that garbage?
Check the numbers; offshoring is a minor problem.
Lie I said you are mixing apples and oranges, automation is a separate subject from offshoring. The former is a good thing the later is disastrous.
Can you provide some calculations or data about a company that went offshore?
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