May 15, 2019

Trade Wars: No Winners, Only Losers, Including Businesses and Consumers.

Trade Wars:  United States vs. China.


One (of likely many things) President Trump appears to be willfully ignorant about is Tariff-Driven Trade Wars.  When the whole tit for tat tariff imposition started with China last year, Trump proudly proclaimed that 'the United States would win!'

Sorry, President Trump, but there are no winners in trade wars.  Just victims and losers.  Businesses are hurt.  People lose jobs.  The costs of goods increases, leading to both less discretionary spending by consumers and higher inflation.

Here's the latest.  On Friday,  the Trump administration increased tariffs that Mr. Trump imposed last year on $200 billion worth of Chinese imports.  Trump and his clan increased these tariffs by a jaw dropping 250%, from 10 percent to 25 percent!

That's crazy!

And did you know that this tariff is imposed on Christmas Lights?  Yep, pretty twinkly Christmas Lights.

What sicko person, what sicko government administration, imposes a 25% tariff on Christmas Tree lights?!

Scrooges!


Among the many other items in this Tariff Collection are dog collars, ski gloves, saw blades, sledge hammers, and backpacks.  Oh, and just in case you're in need of cassette tapes for your antique hand held cassette recorder, your cassettes are included in the tariff, too.

Silliness!  And just plain dumb, you don't mind me sayin'.

About Mary Rae Fouts, EA

Mary Rae Fouts, EA provides tax, insurance consulting, and expert witness services to clients throughout the United States.  For more information visit FoutsFinancialGroup.com.

Mary Rae Fouts

2 comments:

  1. Artificial Christmas trees and Christmas ornaments from China - are they part of this extra charge too?

    ReplyDelete
    Replies
    1. Good question. I looked at a list of good imported into the US from China and subject to tariffs. I saw numerous mentions of Christmas ornaments, but nothing for Christmas trees. But, as some of the tariffed item descriptions are rather goofy, I suppose that artificial Christmas trees could be described as something other than, well, an artificial Christmas tree and subject to tariffs. mrf

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