Posted on 05/17/2016 12:12:21 PM PDT by Jim W N
The ROOT CAUSE of our economic woes including business leaving our shores is the FEDERAL GOVERNMENT unconstitutionally forcing minimum wage on business. Minimum wage, regulations, unions, and high taxes are THE CAUSE of businesses moving elsewhere. Federal government is the problem NOT the solution.
Although I support Trump, his tariff proposals are MORE federal government and do NOTHING to attack the ROOT CAUSES of the loss of jobs in our country. Tariffs have the appearance but not the reality of a solution - they are only palliative and delay the actual reforms needed.
A tariff is a tax and China and Mexico don’t pay the tax, WE, THE AMERICAN CONSUMER PAY the tax in the form of forced higher prices. TARIFFS, LIKE INCOME TAX AND INFLATION, DIRECTLY LOWER OUR STANDARD OF LIVING.
(Excerpt) Read more at investors.com ...
Why do I do this? In the hopes of convincing some and encouraging others. I have a fire in my belly for a rebirth of freedom - individual, economic, political, and personal - in America and around the world. Guess I'm willing to take the hit. I think it's worth it I guess.
There were supposed to be two links that didn’t get into the post:
D.C. Minimum-Wage Woes Grow As Wal-Mart Balks
http://www.investors.com/walmart-cancels-dc-store-plans-amid-high-minimum-wage/
Blame Minimum Wage, Not Carl’s Jr. CEO, For Automated Restaurants
http://www.investors.com/politics/editorials/blame-minimum-wage-not-carls-jr-ceo-for-robot-run-restaurants/
A tarrif at point of entry is paid by the country of origin and goes right into the govt revenue coffer. Same with a tax on remittances heading out of the country.
Wherever it’s initially paid, tariffs are a forced added cost that the consumer ends up paying in higher prices.
The real point is no one can explain how tariffs address the core issues of why businesses are fleeing this country and the resulting slow growth of GDP.
Hard to compete with the cheap labor express, and labor, safety and environmental standards on par with the Middle Ages.
Nope, not if you remove THE problem: federal government’s economic inference and forced higher costs of doing business.
How did America successfully compete with the Middle Ages up to through the 1920’s as the richest and most powerful nation on earth? BY THE FREE MARKET, NOT BY GOVERNMENT INTERFERENCE.
Agree on min wage.
Trump wants to cut taxes, including corporate taxes. Also wants to cut government bureaucracy and regulations. But he does want to tax or charge a tariff on ongoing corporations who want close plants in America and reopen them in Mexico or wherever to manufacture products to sell sale here.
There’s also a problem with large American corporations who use effectively slave labor in China to manufacture cell phones and computer technology to sell in America often at premium prices, ie, Apple.
Again, it’s not just the cheap foreign labor. It’s reduced regulations and drastically less taxes overseas. Makes it impossible to compete.
A tariff at point of entry is paid by the person importing the goods, not by the person in the country they were exported from.
We should not be giving Trump the green light to control whether businesses come or go. That is potentially massive and unconstitutional federal government interference in the free market and meddling in business decisions over which the Constitution gives no authority to the feds.
If the federal government is the cause of business fleeing America, more federal government is not the answer.
It seems like half the tariff advocates on FR don't understand this simple point. Tariffs are paid by US business owners. Raising them negatively impacts US business owners and their US employees, not foreign governments.
Just as we the taxpayers (actually our posterity who will inherit our national debt) end up paying the costs to support the workers displaced when entire industries wiped are out.
We are capitalizing our profits while socializing our losses on a national scale. No such thing as a free lunch or free trade.
I think we all know that the corporate income tax and strangling govt regulations are two main culprits.
Tariffs are constitutional.
Here’s your free market:
https://en.wikipedia.org/wiki/Tariffs_in_United_States_history
[Tariffs were the largest (approaching 95% at times) source of federal revenue until the Federal income tax began after 1913]
Trump should be encouraged to cut government, cut regulations, cut costs, cut taxes. I’d like to bring back the idea of zero corporate tax.
Tarrifs on Chinese goods will go to offset the fact that the Chinese manipulate their currency to help subsidize a lot of their imports. It creates an unfair advantage which needs to be stopped.
Labor, like any other part of the manufacturing process, is a commodity, and,like any commodity, the money will flow to the most cost efficient source. That may not have to mean moving jobs to other countries, but it makes that decision a whole lot easier when you can shake the feds off your back, not have to deal with union thugs, and actually return a profit to your shareholders.
As far as slave labor goes, if slavery is ever found in a company’s supply chain, send every executive to jail. However, definitions matter, and if you ask someone working for a sweat shop whether the 3 dollars they earn in a week is slavery, they will tell you that it is better than the 3 dollars a year that they earned before the factory.
A tariff, like any other tax, will always be paid by the final purchaser, namely, you and me.
A country that doesn't manufacture will always have slow paltry growth.
Nobody can explain anything to anyone that has made up their mind and is never going to accept any differing point of view or logic.
I think the federal government should be limited to a total of 10% of rates on taxes, tariffs, and that all taxes and tariffs should be FLAT.
So if there is a 8% Flat income tax, You have a 2% Inport/export tariff and 0% federal sales tax.
You can have a 5% federal sales tax and 5% inp/exp tariff and 0% income tax.
You can have a 3.33% Federal income tax, tariff and sales tax.
But you cannot go over 10% UNLESS... You declare WAR with Capital Letters. then it is limited to 20%. And the WAR has to be by over 2/3rdfs vote in BOTH HOUSES and has to be renewed by 2/3rds vote EVERY YEAR.
I could live with this.
Eventually over time the percentages would be fine tuned for max input and min economic effect.
but we got to LIMIT the total percentage to 10%
You want a Tariff, you gotta lower the other taxes, etc...
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