Posted on 03/09/2016 3:43:27 AM PST by expat_panama
...when making laws or economic decisions, it is imperative that we examine not only what is seen but also what is unseen. In other words, examine the whole picture...
...A concrete example was the Bush administration’s 8% to 30% tariffs in 2002 on several types of imported steel. They were levied in an effort to protect jobs in the ailing U.S. steel industry.
Those tariffs caused the domestic price for some steel products, such as hot-rolled steel, to rise by as much as 40%....
...there is no such thing as a free lunch...
...steel-users — such as the U.S. auto industry, its suppliers, heavy construction equipment manufacturers and others — were harmed by higher steel prices.
It is estimated that the steel tariffs caused at least 4,500 job losses in no fewer than 16 states, with more than 19,000 jobs lost in California, 16,000 in Texas and about 10,000 each in Ohio, Michigan and Illinois.
In other words, industries that use steel were forced to pay higher prices...
...back in 2002, the typical hourly wage of a steelworker ranged between $15 and $20, in addition to fringe benefits — so we might be talking about an annual wage package averaging $50,000 to $55,000 — how much sense did it make for American consumers to have to pay $800,000 in higher prices, not to mention lost employment in steel-using industries, to save each job?
It would have been cheaper to tax ourselves and give each of those 1,700 steelworkers a $100,000 annual check...
...When Congress creates a special privilege for some Americans, it must of necessity come at the expense of other Americans...
...Congress ought to get out of the miracle business and leave miracle-making up to God.
(Excerpt) Read more at investors.com ...
LOL, you are a moron...everything one needs to know is in my last post.
Well Mase...you still do not have a clue...the only thing you keep saying is raising tariffs by 45% is what constitutes stupid trade...but you really don’t know do you? All you are doing is parroting what you have been told...and you have not researched what Donald has been saying about fair trade for over fifteen years...you just get your information from your masters who do your thinking for you...LOL, you are sad kiddo.
Well, I have better things to do than argue with a fool...good luck to you sucker.
I have often though of this vicious circle. An American community loses a good factory to China that supplied 500 jobs. These workers get lower paying jobs because this is all that is left or they remain jobless. With their lower incomes the only items they can afford are the cheap ones from China and Asia.
Its a downward spiral. No one in Washington DC cares (they are bribed by multinationals that benefit) and they enact ever more stupid trade deals like the recent TPP that results in more American job loss and higher trade deficits. Donald Trump is the only presidential candidate out of the original 20 or so that understands this and wants to stop it. Which is pretty darn pathetic.
“Its a downward spiral. No one in Washington DC cares (they are bribed by multinationals that benefit) and they enact ever more stupid trade deals like the recent TPP that results in more American job loss and higher trade deficits. Donald Trump is the only presidential candidate out of the original 20 or so that understands this and wants to stop it. Which is pretty darn pathetic.”
You got it! It is pathetic that the others have sold out, but it is great that we have Trump! He is sincere about wanting to fix this terrible situation. And, he will get it done, he is a doer not just a talker.
Let me ask you something, do you believe that our $360 billion trade deficit with China last year was money we lost to them? The Donald seems to think that a trade deficit is the same as being cash out. Do you think Trump understands what a current account deficit and what a capital account surplus is? Do you? Do either of you understand the balance of payments?
Historically, our economy expands at the fastest rate when the current account deficit is growing the most. That's because we have a lot of wealth and can afford to buy a lot of stuff. Did you know our exports of goods and services have more than tripled since 1995?Yeah, those stupid trade deals are really killing us and that balance of payments thingy is a real drag on our economy. LOL indeed.
You'd think someone with your pedigree in economics would understand this very simplistic stuff. It's Econ 101, really. But when you can't differentiate between a trade deficit and losing cash, you're bound to say meaningless and ignorant things. It's no wonder Trump says the ridiculous things he does. He has illiterates like you lapping it up and begging for more.
Not to worry, I fully understand why you are unable to defend your nonsense here. I wouldn't want to try either. Maybe you should be preaching to the people who never learned economics. They're much more likely to buy into the crap you're selling.
Most certainly Dunning-Kruger at work. Why else would people who believe themselves to be conservatives argue in favor of government taking even more of their money while exerting greater control over their lives? Big government conservatives are a trip.
It isn’t a matter of defending myself...I don’t need to I am right. The problem is you are just incapable of discerning truth and too foolish to realize it. BTW, dummy...when is the last time you been through Detroit? Notice all those closed plants? Guess where the jobs went...there are vacant buildings all over the nation from the exodus of jobs and businesses running away to get on the smart side of the “free” trade you espouse the smart side is the side away from us...Trump will return America to prosperity and increase the stagnant wages our people have been suffering from because of employment problems. As the good jobs left people have had to adjust to lower paying jobs...this in turn results in lower aggregate demand. That means less money to spend for goods and services driving the competition for our employers to critical levels resulting in more employers leaving the nation. Have you heard of Carrier moving to Mexico? That is a good example...and Ford...there are many. The current is still out of the nation not coming in. Much of that is because of stupid trade which is what you support.
From your lips to Gods ears....I see by your FR homepage you are religious :)
Trump is under extreme pressure by other wealthy people saying his economic ideas are no good. Trump is a true dissident, renegade, traitor to his fellow ultra-rich and America’s ruling class. I would not be able to handle this in a million years.
“From your lips to Gods ears....I see by your FR homepage you are religious :)
Trump is under extreme pressure by other wealthy people saying his economic ideas are no good. Trump is a true dissident, renegade, traitor to his fellow ultra-rich and America’s ruling class. I would not be able to handle this in a million years.”
Yes, I am as faithful to God as I can be...not perfect but working towards excellence. :)
I don’t believe I could take the pressure either...he isn’t alone though, there are many of his wealthy friends who understand the serious trouble the nation is in. Trump is a patriot, always has been and I am so grateful that he is attempting to work for us...rather than for those who have been running the nation...the donors.
I understand from economics that tariffs increase the price of goods. But they usually do not discuss the effect on economics of a trade deficit.
Frankly I would rather pay more for autos- if the profit and labor was in the US and help the cost of living.
I am hopeful that a many of our wealthy producers and go getters are afraid to speak out for Trump only because it is bad for business with all the boycotting the leftists and media try to gin up.
But that once Trump gets inaugurated they will be brave enough to come out as supporters with some serving the Trump administration in Federal positions that could really use their talents. Such a putting in wise and fair businessmen to run the EPA and OSHA and other regulatory agencies that relish making it difficult for American business to expand and employ more people
Then you must be voting for Demoncrat Hillary because the Republican Party is down to Trump or Cruz. Trump is better on trade but Cruz is also anti-TPP and will not be “free trade” friendly the way Bush, Obama, Bill Clinton have been.
The people vote, things are changing. We can try for a sane economic policy. It's our right. Fascist.
I'm trying to elevate the discussion to make an academic point, to give examples, testing the limits. But with you it is impossible to do those things.
Hey, I live near Detroit. You should come visit it, if only once, and observe it regenerating. Without tariffs.
What a crock. When have you ever asked yourself how much more you should pay for something? Heck, why don’t yo do so now, without getting the government involved?
Which hole did you just crawl out of this morning? Like groundhog day you only pop up on Free Republic to pimp your outmoded free trade theories
I will admit, you have not visited death wishes on anybody on a free trade thread for a few days. So you have that going for you.
Just sitting here, getting ready to go to bed. 6 miles outside of Detroit. Gotta go to work at the plant in about 9 hours. Enjoying reading of everyone’s opinions about what is best for me.
Plant?...yeah right.
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