I heard Trump say that the 35% threat was going to stop the Ford plant in Mexico in it`s tracks, and that they would change their mind and build in USA
Yup, I heard the same thing. How can a 35% tariff help the American consumer? It just narrows their choices because of government interference.
Why did Ford move to Mexico in the first place? Trump makes it sound like it was a political decision. It was a BUSINESS decision based on finding the most economic friendly location. There are cost-benefit reasons for Ford moving to Mexico. What good does it do anyone to “force” Ford to move back to the U.S. and go under or become a non player in the competitive market?
Companies in the U.S. cannot compete BECAUSE of the artificially high cost of doing business here. Cost are forced higher by the federal government with measures like forced minimum wage and union protection. The answer is not MORE government interference and cost/price-raising measures like tariffs - the answer is LESS government interference.
The free market is a friend to business. Government has never been, is not, nor ever will be a friend to business. Socialism is the enemy of a robust and wealthy economy. Government may meddle with subsidies to their favorite special-interest donors and lobbyists but business and the economy in general lose when government gets involved.
I like Trump but he fails to identify root causes and his proposals not only miss the mark, they make matters worse.