Posted on 01/28/2017 8:37:37 PM PST by SJackson
It was a claim that President Donald Trump repeated on the campaign trail: that he would build a wall and that the Mexicans would pay for it. In his first few days in office, Trump appeared to make good on one portion of that promise, by signing an executive order for the planning and building of that wall to proceed.
But the cost for that wall will temporarily be borne by Americans, Trump said, and Mexicos government insists it will not pay for the construction on the border. On Thursday, President Donald Trump floated a 20 percent tax on imports from Mexico which suggested that until Trumps promised reimbursement from the Mexicans materializes, Americans would pay for the border wall with their pocketbooks.
The White House clarified afterwards that Trumps suggestion was an option rather than an official proposal, but social media users quickly questioned the possible uptick in one particular grocery item: avocados, of which 80 percent come from
Americas southern neighbor. Though the price of the guacamoles main ingredient varies from market to market, the creamy green fruit usually costs a few dollars. Assuming a $3 cost, a 20 percent tax would increase the price to $3.60.
Takis, a common packaged food snack, would go from $6 to $7.20, the Washington Post reported. Other staples like tomato paste would also see only a slight markup, from about $1.20 to $1.44.
(Excerpt) Read more at star-telegram.com ...
I’ve been to L.A.’s fruit district and know how it works. From waiting in your truck at 2 am before they begin distributing the fruits and delivering to stores around the city before 6 am. It’s not entirely coming from mexico but california’s north coast. Who are they trying to fool here?
“I only buy American organic fruits and vegetables and chips.”
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What’s the matter — don’t you like diarrhea? :-]
As usual, journalists are the sort of minds who can think exactly one step ahead (or at least fake it, when doing so makes Trump seem bad).
Yes, if you were forced (??) to buy a Mexican avocado, it’d be more expensive. Anyone who managed to stay even half way awake through junior high-level economics knows that as demand remains for avocados generally, other growers of avocados would increase production.
So ... what this article is saying is that we might see a minute increase in avocado prices, but that we’ll get US avocados instead? I like it.
As it is, the only reason a Mexican avocado is OK is that it’s grown on a tree, and doesn’t lay about on the ground where contamination is rife; plus it has a skin one doesn’t eat, and even then they need a good wash.
“Takis” is apparently a chili/lime flavored tortilla chip. The local grocer has these without the name by a US maker. They’re OK but I’m not a frequent buyer as I go for a variety of flavors-with on my chips and don’t consume enough beer to make that a taste fiesta :)
I wonder what having 10 to 20 million more Americans gainfully employed will do to increase my income and reduce my taxes? Plugging the gaping hole in our $60 billion annual trade deficit with Mexico using overpriced avocados might be the smartest move our nation has made in decades.
Takes is a snack chip made in Mexico.
Why would we be upset about a tax on something brought here to feed the immigrants if they will be able to enjoy it in their homeland?
These people are insane. And from what should be a serious news outlet.
I will somehow manage to live without guacamole should it come to that.
You were truly honest . . . you would share the the cost of ILLEGAL immigration. Crime, healthcare, quality of life. I know, thats too hard to quantify for your soft mind.
And they can grow avacados in California, Arizona, New Mexico, Texas or Florida. Price would probably end up at $3.20. Big deal, we should give up our national sovereignty over it, yup.
Guacamole is flavorless green goo.
Taxes and tariffs increase the cost of goods and are paid by consumers? GASP! Why has no one ever figured this out before?
Velveeta Cheese went from $3.99 to $7.99. Do Velveeta plants grow only in Mexico ?
if the mexicans want to make guacamole and eat takis....they're still paying for the wall.
The market would adjust, and other sources for these goods would provide them for just a little more than the Mexican goods.
Basic market theory.
Trade and tariff wars are not good for anyone.
I disagree. The peso today is down roughly 10% against the dollar.
That increase in dollar to peso purchasing power will cut that 20% border
tax effectively in half. The peso could very well drop even more, further offsetting any border taxes.
A stronger dollar/weaker peso will incent our muchachos from south of the border to get here and work for American $ however.
Takes about three years I think to grow an avocado from seed to bearing.
The only way the end price of a commercially prepared end food product goes up 20% because one of the ingredients goes up 20% is if the end price does not include labor to process, transportation, rent and energy costs of the producer, etc.
And now we see liberal understanding of how business works in an empirical example. NO wonder they think that any other tax is supposed to be absorbed by the retailer and not passed along to the customer.
Well, lessee. Add up the cost of having them here in the first place in terms of welfare dollars, free medical, free housing, costs of cleaning up the crimes they commit and deduct that from higher food costs, and I’m guessing we’ll have a cash surplus.
Americans don’t make tomato paste and “snack foods” anymore? I didn’t know that. I tried to choke down some guacamole once but it didn’t work out. I’m pretty sure we grow avocados in the U.S. though.
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