Posted on 10/20/2011 2:26:28 AM PDT by dennisw
Globalization of finance has reduced the effectiveness and utility of tariffs. Even the most restrictive countries use other methods to construct trade barriers. They add safety, environmental, and other requirements along with excessive testing and audits, difficult certfification processes and slow document processing to create barriers.
Interestingly, the US is more likely to employ these techniques on domestic producers than their foreign competitors.
Go read up on the plan. Materials for the Manufactured goods are exempt from the sales tax. Buyer pays 9% on entire product once. Not even close to a VAT.
Could we assume that anyone who posts something like that is trying to confuse the issue and inject untruths into the dialogue since not one of the candidates is recommending anything like a VAT? In fact, they are trying to get rid of a form of VAT that we currently have? Discount anything that person puts out there comes to mind.
You are right but most of that monkey business is due to WTO rules. Under those rules it is easier to put up and keep up the barriers to domestic entry you mention than outright tariffs
But 30-50% tariffs would still be a boon to US domestic production of energy and manufactured goods which translates into more jobs, more domestic wealth, less pressure for taxes to go to Democrat programs of welfare, wealth redistribution and racial reparations
Perhaps you should read the (ever changing) plan. Only American made goods that go into products are exempted from the corp 9% tax, and none of the labor is exempted from that 9% corp tax. Then the product goes to the next business in the supply chain and the whole process is repeated, every step along the way that 9% corp tax is added at the end. THEN, when it finally gets to the retail customer a 9% sales tax is added to the entire mess.
That is what makes it a VAT.
If it is charged only at the retail level, it is NOT a VAT, or value added tax. It is a sales tax, pure and simple.
So then you are saying that the state sales tax is a VAT tax?
But all the politicians keep telling me that we’re a democracy...
Well, they’re RATs and they’re lying (of course)
See: Pledge of Allegiance
Do you actually mean to tell me that Democrats lie?
I’m reporting you to Attack Watch!
(obvious sarcasm)
Only every word, including "and" and "the".
“Interestingly, the US is more likely to employ these techniques on domestic producers than their foreign competitors.”
I agree with your comment about WWII being a trade war with respect to Japan versus the US and Great Britain. The US was effectively blocking Japan from the sources of raw materials it required to grow its mercantilist economy while the British were a foil for Japanese designs on the oil riches of Indonesia. When the US cut off oil and steel exports to Japan it retaliated against Pearl Harbor, the Philippines, and the British outposts in Asia. WWII in Europe was more payback by Germany for the stiff WWII reparations as well as a preemptive strike against the emerging military threat from the Soviet Union.
I particularly concur with the quote above about the US government’s policy toward domestic producers. While the historical role of government has been to protect domestic industry and commerce, the elites in the US seem intent on destroying domestic creators of wealth instead of using government power to benefit domestic producers. This intervention by government to handicap domestic companies only makes these companies less competitive in the global economy.
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