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> slapping some taxes on imports Then other countries slaps taxes on their imports in retaliation, and then US exports are equally hurt... causing other econom
by nerfhammer 9y ago
> slapping some taxes on imports
Then other countries slaps taxes on their imports in retaliation, and then US exports are equally hurt... causing other economic contractions that could similarly "destroy local economies." And everything gets more expensive for everyone.
This is generally always what happens when you try to raise import taxes. One example from history: https://en.wikipedia.org/wiki/Smoot%E2%80%93Hawley_Tariff_Act https://en.wikipedia.org/wiki/Smoot%E2%80%93Hawley_Tariff_Ac...
- slackingoff2017 9y agoDoes it matter that China places huge tariffs on imported goods? Ever heard that they limit American movies to a few Chinese releases a year? Other industries are similar. China is incredibly protectionist of their own industries and engages in widespread subsidies and import tariffs. I'm not sure why anyone cares about the US returning the favor.
- thablackbull 9y ago> I'm not sure why anyone cares about the US returning the favor. I don't think you realize that protectionist measures in America is nothing new; in fact, we have quite a lot of protectionist measures. It's just a media bias here that makes you think otherwise. Here's a chart from Euler Hermes (a unit of Allianz), Protectionism Is Not New: http://www.eulerhermes.com/economic-research/publications/Pages/publication.aspx?postID=1048 http://www.eulerhermes.com/economic-research/publications/Pa...
- nerfhammer 9y agoTariffs are generally always reciprocal. The US and China don't have a free trade agreement, but are both in the WTO. And both have relatively high import tariffs against each other already.