The Dr. I work with is a strong tariff person, this was my argument to the tariff's, what is wrong with my thinking?
I told him the problem with Tariffs is we won't know 5, 10 years from now how it totally impacts the U.S. and in the meantime these countries are not going to sit and wait for us to change, they are going to build new economic alliances around the world, and just bypass the U.S. as time goes on.
I told him that it is naive from Trump's point of view, that the world cannot move on without the U.S., and that new economic alliances lead to new political alliances and that may not be good for the U.S. in China tripling it's business in the Middle East.
He never gave me a good response. I don't know if he had one
- OiyLv 65 months agoFavourite answer
You're right. But until that time, the tariffs have forced China to sign and change its behavior. Now it should be France, Britain, and Germany. Don't you think that Canada and Mexico are our best friends, and can enjoy the zero tariffs?
- Dr. DLv 75 months ago
Your wrong and the Dr. is right. Tariffs do work. Why?
Much of the existing trade deals were designed by Democrats who were globalist. They wanted to grow the economies of countries around the world to develop greater equality. They believed that as the other countries became richer they would buy more American goods and services, and everyone would benefit. The globalist trade deals were asymmetric. They could place restrictions on American goods while exporting their goods to America. For instance cars built in Germany were sold cheaper in the US that they were in Germany. So in 2018 the US had a trade deficit with Europe of $168 billion! Wow! And we have an annual trade deficit with China of over $500 billion! Double Wow!!
Trump's tariffs are working because they force countries to renegotiate trade deals. The trade deals Trump wants are designed to make trade more fair to both sides, and not disadvantage the US so much. The new trade deals still give other countries more advantages than the US but not to the same extent as old ones. Trump was also favoring the elimination of all tariffs - if they eliminate tariffs on US goods then we'd eliminate tariffs on their goods. (No country took up Trump's offer.)
- notLv 75 months ago
You don't know if you raised your kids well for years. Do you still try? Not doing something because results are not instant is a problem many people have, a desire for instant gratification. We won't see results for a long time is not a good excuse for not acting. The US is already by-passed, that is why this is a subject to begin with.
Products produced in the US will give citizens jobs. The 3 California cities around mine are almost 50% on government aid, jobless. The production will be monitored by the EPA so the environment will not be ignored. Freighters won't have to haul it all so there's a shrinking carbon footprint as well. Working people will improve many of our social problems; people need purpose, need pride, need something to look forward to.
I wonder, what is your current gain from trade as it is? Why do you value it? That is not a good argument in my opinion. The current situation benefits few people; shareholders, the rich, the corporations. To claim to desire a living wage, workers rights and protecting the environment while protecting the trade that creates the exact opposite is interesting. That's where I see many people coming from.
- regeruggedLv 75 months ago
I think you are wrong. The US is by far the largest retail market on the planet. And we operate in an atmosphere of free trade. Tariffs have worked. New treaty with Canada and Mexico. Some concessions from China on round one of talks. President Trump is a business man, first. He knows how to get things done when money is involved.