Revenge of the Tariffs
Tariffs are an indirect form of domestic corporate welfare. Monster-elect oompah loompah said he wants to slap a 35% tariff on businesses like Trump Casinos that outsource labor to foreign markets.
Do my followers think this will lead to reciprocity?
For example, when POTUS increased tariffs on Chinese tires in 2009 then the Chinese government responded in kind two days later by increasing tariffs on US autos. Tariffs are tools of revenge.
According to mishtalk.com, the best trade policy is not subsidising any industry especially the profitable multi-national corporations (MNCs) and instead implementing a strict zero tariffs strategy. Just as increasing tariffs leads to punitive reciprocity then so should an open and free trading policy with zero tariffs. If the USA could lead by good example for once then everyone else should follow suit, basic social psychology.
It’s high time we stop subsidising profitable MNCs that routinely blackmail the public as we recently saw with Carrier keeping 700 jobs in Indiana. For MNCs, blackmail is not only legal and scarily routine but the encouraged form of corrupted business policy obviously supported by the new orange monster-elect.
The best trade solution is zero tariffs. Stop subsidising the elite MNC blackmailers and start helping the little clubs!
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