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To: gleeaikin
Tariffs are a dumb idea, Smoot Hawley gave us the Depression.
30 posted on 09/03/2011 12:00:11 PM PDT by Kansas58
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To: Kansas58; All

I’ll have to check out Smoot Hawley, but if I remember correctly, one of the problems was that is was unreasonably protectionist. I think that Wilmer said tarrifs should be carefully calculated based on relative trade advantage held by other countries. For example for countries like China using very cheap labor, prisoners, and poor safety standards there should be tarrifs that give US based industries a level selling field. With countries in Europe, Australia that have comparable labor standards and environmental protections, there should be little or no tarrifs. Another cause of the Depression was bubble building in the stock market. Also severe and prolonged drought in the middle west.


46 posted on 09/03/2011 12:22:13 PM PDT by gleeaikin
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