The Pardu

The Pardu
Watchful eyes and ears feed the brain, thus nourishing the brain cells.

Tuesday, June 26, 2018

Trump's Economic Team: Tariffs Anyone?





Image result for tariffs definitionDonald Trump took over the White House after winning Electoral College victory. While Clinton won the popular vote by approximately 3 million votes (rounded-up), The system again worked to advance a Republican to the White House replete with standard GOP policy ideology compounded by a personality who is a saturated narcissistic white nationalism, a disregard for secure international norms (allies VS. dictators), and a person who responds to life with a lie as his first thought. A dangerous cauldron of political ideology and outside the norm personal traits. A cauldron when supported by sycophancy and hiding (fear of Primaries) politicians means trouble for our once great nation.

While there are innumerable examples to illustrate my points, let's focus on Trump's (Earth shattering) international trade tariffs. The examples should be precluded with a question. Didn't Trump's economic advisers realize the countries? As economic experts did they actually not consider reality tariffs? Are his advisers of a mindset the US is still considered the BIG GUY: internationally. Is it possible they felt France, China, and other nations would demure to their punitive tariffs without pre-levy negotiation, or as a minimum pre-levy talk? If leaders fail to plan they forthwith plan to fail.

And international economic failure subsequent to the US tariffs, to this point, indicate failure.

DId you see or hear this today?

Steel tariffs could force the nation's largest nail manufacturer to close or move to Mexico. (VIDEO)

America...we have a problem!

After Harley Davidson announced it may move some operations from the US to Europe to circumvent Trump's tariff retaliation, 45 went here. 

 A cloaked threat?

Excerpt

A Harley-Davidson should never be built in another country-never! Their employees and customers are already very angry at them. If they move, watch, it will be the beginning of the end - they surrendered, they quit! The Aura will be gone and they will be taxed like never before!
Mid-Continent Nail says that it laid off 60 workers in mid-June and will cut another 200 jobs in July because it is being hit hard by a 25% import tax on steel from Mexico and Canada. The company says it could simply go out of business, putting all 500 employees out of work, by Labor Day. 
But these job losses potentially represent only the tip of the iceberg. Here’s what various analysts and business groups have estimated in terms of American workers losing jobs as a result of Trump tariffs and a broader trade war: 
• A group representing the solar power industry says that the Trump administration’s decision to increase taxes on imported solar panels will cause the loss of 23,000 jobs this year, with more job cuts in the years ahead. 
• The Council on Foreign Relations estimates that Trump’s 25% tax on imported steel would cause 18,000 to 40,000 auto-industry job losses in the U.S. by the end of next year. 
• A study from the American Action Forum indicates that a 25% tax on imported cars and auto parts would result in “a net decrease of 157,000 jobs." 
• Another study, from the Peterson Institute for International Economics, shows that 195,000 American auto-industry jobs would be lost over the next three years if Trump moves forward with a 25% tax on imported cars and auto parts. What’s more, if nations retaliate with their own tariffs, American auto production would drop 4% and auto industry employment would decrease 5%. That’s the equivalent of 624,000 jobs lost. 
• Research conducted on the behalf of the Consumer Technology Association and National Retail Federation shows that Trump’s proposed tariffs on Chinese imports, and the tariffs China are expected to impose in response, would cause the loss of 134,000 U.S. jobs, including 67,000 jobs lost just in agriculture. 
• The latest estimates from the nonprofit Tax Foundation indicate that if U.S. and retaliatory tariffs are fully enacted, U.S. GDP would drop by $110 billion, wages for American workers would decrease 0.31%, and there would be a net decrease of 314,479 U.S. jobs. 
• The pro-business U.S. Chamber of Commerce said that “launching a tit-for-tat trade war would harm the U.S. economy and undermine American leadership” around the world. The group also said that the Trump tariffs could put upwards of 2.6 million American jobs at risk, including the possibility of 1.8 million jobs destroyed in the first year of a full-fledged trade war.
It’s important to mention that there is some overlap in many of the estimates above, and that all projections by necessity incorporate some degree of speculation. Also, Trump supporters would stress that the administration’s overall economic policy, including its corporate tax cuts, are nudging some companies to bring jobs back to the U.S. Some companies are even creating jobs because of the Trump tariffs: The American appliance maker Whirlpool, for instance, said earlier in the year it was adding 200 jobs after the Trump administration began taxing imported washing machines by up to 50%.
Overall, though, most economists say the Trump tariffs are bad for the American economy, and for American workers.

The reality is to date: Failure.  Enough retaliation to ensure a collective economic team tsunami level butt-pucker.   

Reaction from the Whtie House may not compare to the utter horror of job loses and increased plant closure as a result of Trump's flawed economic decisions.  

All said, I am just not seeing MAGA.

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