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> The import tariffs are paid by the people inside the importing nation. While that's technically true, the tariffs have the effect of increasing the price of
by CharlesColeman 7y ago
> The import tariffs are paid by the people inside the importing nation.
While that's technically true, the tariffs have the effect of increasing the price of goods, so the exporter may need to lower their price and drop their profit margin to remain competitive.
> The way to tax China itself would be an export tax on money bound to China, including the transfers of immobile or intangible assets to Chinese nationals or corporations via domestic exchanges or brokerages--and including the cash value of transferred intellectual property.
That's an interesting idea, but doesn't the US Constitution ban export taxes?
https://fas.org/sgp/crs/misc/R42780.pdf https://fas.org/sgp/crs/misc/R42780.pdf
- logfromblammo 7y agoIt bans taxes on "articles exported". Banknotes, shares of stocks, bonds, title to real property--these are arguably not "articles". You couldn't tax a crate of polypropylene combs going from Chicago to Shenzhen. You might be able to tax the sale of 100 shares of stock in Acme Unbreakable Combs, Inc. to Chan Jingwei of Shenzhen on the Nasdaq exchange. Maybe tax the transfer of technical plans and patent rights for a comb-making machine from AUC Inc. to Acme Shenzhen Manufacturing, a Chinese corporation. And you might be able to tax the sale of a Seattle 4000-sqft 5-bedroom house to Mr. Chan. In all those cases, you're not moving goods, you're moving ownership.
- CharlesColeman 7y agoIs there any caselaw that takes that view?
- logfromblammo 7y agoSomeone would have to enact a law establishing an export tax first. As far as I am aware, you can't challenge a law as unconstitutional until it has been passed and signed.