Why tariffs are really good.
“This bill is an American bill. It is made for the American people and for American interests.” –President William McKinley referring to his Tariff Act of 1890.
The Rise of the Red Dragon.
Just as the symbolic bald eagle represents the United States, the Chinese dragon has long represented China. In Chinese culture, the color red symbolizes luck, happiness and joy. Unfortunately about the middle of the 20th century, red took on another meaning when referring to China, the red of communism. Mao Zedong declared the founding of The People’s Republic of China on October 1st, 1949 following the defeat of Generalissimo Chiang Kai-shek, who fled to Taiwan at the end of the Chinese Civil War. Taiwan became a new republic much like the ill fated Republic of Formosa which occupied Taiwan for a mere five months in 1895 before being crushed by mainland China. Taiwan fared much better and continues to exist to this day as it’s own country, but both Taiwan (The Republic of China) and Mainland ‘Red’ China (The People’s Republic of China) each claim that they are the ‘real’ and ‘only’ China. This led to the One-China Policy which was first stated in the Shanghai Communiqué of 1972: The wording declares that “the United States acknowledges that Chinese on either side of the Taiwan Strait maintain there is but one China and that Taiwan is a part of China. The United States does not challenge that position.” It was a diplomatic solution to a complicated mess. Mainland or communist China is by size the 4th largest country by area, and the largest by population. It was then, and continues to be today, a major port of trade.
There has been a significant imbalance in trade with China for decades, and the problem has been getting worse due to a lax attitude from prior administrations. Since the population of China has exceeded a billion people for more than 40 years, many leftist politicians and even some conservatives felt there was no stopping the production powerhouse of the Red Dragon.
So far in 2019, as of the first trimester ending April 30th, the trade deficit was $106.8 billion. Assuming the same rate for the remaining 8 months of the year, that would amount to a projected imbalance of $320.4 billion. That would place it slightly higher than it was in 2012, the first year it exceeded $300 billion and came in at $315.1 billion. Both numbers are small in comparison to last year’s whopping trade deficit of $419.5 billion in 2018!
Killing Jobs to feed ‘The Red Dragon’!
The terms socialism and communism are interrelated and often interchangeable. There are a few minor differences. In communism, the people own the factories and work together for the public good. Everyone is paid the same. In socialism the government owns the factories, and the people work for the state, which decides what you are paid. Both systems lead to widespread poverty. Both systems are incompatible with capitalism which creates wealth, freedom, and opportunity.
Because the citizens of China are being paid a slave wage, goods produced there cost significantly less. If the cost of importing cheaper foreign goods is less than the cost of producing goods domestically, then there is no demand for domestic goods, and the domestic jobs ‘go away’. Why would any company pay a U.S. citizen $30 an hour or more, when they can open a plant in a foreign country, pay foreign workers a fraction of their domestic counterparts, and then import the cheaply produced goods. Hence the needs for tariffs.
“In almost every case, whenever a tariff or quota is imposed on imports, that tax is strongly supported by the domestic industry getting the protective shield from lower-priced foreign competition. The sugar industry supports sugar tariffs; textile mills lobby for tariffs on foreign clothing.” – Stephen Moore, American economist
Feed Americans, starve the Dragon!
Tariffs are a tax on imported goods to make them on a level playing field. If both items cost exactly the same, it becomes a matter of quality. If the quality is also equal, then it falls to the whim of the consumer. When an ‘excessive’ tariff is placed on a foreign good, it is referred to as protectionism, because the domestic good becomes the only inexpensive option, and the domestic industry is thus protected by the government.
A good rule of thumb when dealing with comparable quality and cost is to always buy domestic. A better position for the good of the nation is to ALWAYS buy the domestic option, despite the cost, because the job you are saving belongs to a fellow citizen. ‘Be American , buy American’ is still a catchy slogan embraced by patriots looking to ‘Make America Great Again’. Tariffs are totally unnecessary if citizens flat out refuse to buy any foreign made good.
Trump the Dragon slayer!
President Donald J. Trump is working day and night to defend our nation from ALL enemies, foreign and domestic. His economic stance has been to bring back industry to the USA, reversing the job losses creating by sending production overseas. Tariffs are one tool in his arsenal, and rest assured, he has the best interests of the nation at heart. Don’t listen to the garbage spewed by the liberal media as they attempt to sway you against this great patriot and all he’s doing. It takes a tough man to stand up for national interests. If you don’t support putting American interests first, then you are not a true American. We are privileged to live in the greatest country the world has ever know, and freedom and opportunities are endless for those who are willing to seize the day and work for their prosperity. The bottom line is, if you are against American exceptionalism, there are plenty of other counties where you can ‘hang your hat’. Nothing is keeping you here. America– love it, or leave it! As always, I wish you success and happiness!