If conservatives do not stand up and fight President Trump on tariffs, we set up the democrat party for big victories in 2018 and 2020. Let me explain.
Since when do conservatives agree with Senator Bernie Sanders about anything? This alone should be a massive red flag. Unfortunately, we are currently being pumped full of propaganda and misinformation about tariffs and what they would actually do to our economy. If conservatives throw 100% support behind one man blindly, how are we any better than the Obama supporters, who to this day believe the economy is thriving? It is our duty to stand up for conservative principles, not a single man. If the President of the United States is wrong, then he is wrong! We must not allow big government principles to succeed no matter who is pushing them.
“Trade Balance” is such a phony talking point.
Are we supposed to have exactly even trade with every single country? If we have a $1k trade deficit with a country does this mean it is automatically a bad thing? What if I were to tell you that, perhaps we import a certain product from a country and they don’t import much from us. However, with this good or service that we procure, companies in the United States use it to produce a more scalable and expensive product or service. They then export this product to a third country. The result? A net positive cash flow for America.
“Net even” trade balance should not be the main priority of a trade policy. Simply, we must advocate for free trade and if the people of our country want a foreign product or service, our government should create an environment where the citizenry can easily purchase it.
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American companies are not moving their business overseas for “cheap labor.” Another talking point that sounds good. In actuality, companies are moving business to more favorable environments. I cannot believe Mexico has a better business environment than the US currently, but it is true. The United States government is so out of control with taxes, regulations, etc. Countries like Mexico have little to no tariffs on goods and have free trade agreements with several countries. This allows businesses like Ford to export their vehicles into countries with no additional tax. We should not punish companies that are seeking this type of environment for their business. Instead we should attempt to win them over. Create a better environment here at home. Slash taxes and eliminate burdensome regulations. Why can we not discuss these strategies? Instead we bluster on about tariffs like the 1920s and 1930s never happened.
What happens when we place tariffs on countries?
- Cost of goods increase. No foreign country or business will just eat a tax when they can pass it along to the end user. Expect most goods at Walmart to increase by 20% as an example.
- Increase of expenses on US Businesses. There are thousands of US businesses that buy parts from foreign countries. If these US companies see an increase in their expenses, expect either for them to kill jobs or to increase the costs of their goods. How is this beneficial again?
Let me give a quick history lesson before moving on to my proposed solutions.
Herbert Hoover and Donald Trump are practically identical on trade. Both were businessmen. Both advocated for tariffs. Once Hoover actually imposed tariffs, it contributed to a little event called the Great Depression. Taxes were high. Goods and services were expensive. The complete opposite environment that we would want to foster. Furthermore, Herbert Hoover led to FDR. If Trump destroys the economy due to tariffs he will be defeated in 2020 by a radical leftist such as Elizabeth Warren. Mark my words and my warning.
Where is liberty hiding? Are we a Capitalist nation or not? Where in the US Constitution is it written that a main job of the Executive Office of President is to oversee and manage the economy? Do we really want to give power this enormous to the Executive Branch? How can one man say which companies are penalized and which are not? The side deals are another example of cronyism that should make conservatives cringe. We have a President negotiating one on one with private business about tax law! HUH!!??
It is not the duty of the President to force American made goods on consumers. If people want Chinese Steel or Chinese Paintings, they ought to be free and able to purchase them.
There is zero reason to protect these handful of unionized jobs. And that’s exactly what it is. We have already bailed out GM and Chrysler and it’s not enough apparently.
Time for my solution.
The auto industry needs to innovate or it will die. Period. I have never and will never advocate for the United States government to go out of its way to keep a specific business or industry “alive”. I am repulsed that a failing business would only survive because of tax payer subsidies. So quit chanting the line “we can’t compete with Japan.” Too bad, that’s the way life is. We don’t just automatically get the upper hand. You quit whining. You quit complaining. And you bust your ass to find a way to deliver a superior product or good.
The only thing the government should do is cut taxes, repeal regulations, and dissolve entities like the EPA. The government can only create a prosperous environment. It cannot do everything for private business. We all know plenty of mom and pop shops all over this country that survive without a single penny from the federal government.
It is time to defeat this nonsensical foreign trade policy. Unite and fight. Oppose tariffs and advocate for tax cuts and the roll back of regulations. Encourage American Business to rise up, innovate, and to compete. We have created some of the finest technology this planet has ever seen. I will not believe for a single second that we “cannot compete”.
If we institute tariffs, it will crush our economy. This will be the perfect storm for a leftist to propose a serious challenge to President Trump in 2020. We cannot return power to the Democrat Party after just experiencing 8 years of Barack Obama.
Do you agree or disagree with this post about Trump’s tariffs? Let us know in the comment section below.