
I have two shops. One shop in London, England and another in, say, Houston. USA. I sell the same things for the same prices. Then one day I am told that I must pay the Houston government extra money “for the privilege of selling in Houston”. I go away and do some maths. I know I will have to increase my prices if I’m going to stay in business in Houston but will my customers accept those higher prices?
In any case they’re like to buy less stuff from me. Whichever way round I lose money in Houston. So I focus my efforts in selling more stuff in London. Maybe open a shop in Paris, France, and give up selling in Houston USA.
BUT THAT IS NOT WHAT IS HAPPENING.
What is happening is that my shop in Houston is still selling the same stuff at the same price but the Houston government has put a man with a gun outside my shop (he’s the Customs guy.). Every customer that walks out of my shop has to pay money to that man or the goods he has just bought are confiscated. I don’t pay anything to that man with a gun.
But after a while my customers get fed up with paying extra and buy less from me. So I start focusing my efforts on my London shop. Maybe open another shop in Paris, France. I’ll probably end up closing that Houston shop and firing my American employees.
You are clearly in the diminishing minority that do not understand how tariffs work. TARIFFS ARE A TAX ON AMERICAN IMPORTERS. OTHER COUNTRIES DO NOT PAY AMERICAN TARIFFS. THERE IS NO MONEY COMING IN TO THE USA DUE TO TARIFFS – IT’S ALL AMERICAN MONEY. TRADE IS REDUCING AND AMERICAN JOBS ARE BEING LOST.
There is “no partisan blindness”. Your president is lying when he tells you other countries pay for the tariffs. Naturally you are entitled to believe what your president is telling you but more and more Americans are starting to realise that president Trump says whatever he likes to stay in power, to enrich himself and his family, and his billionaire mates.
It doesn’t matter if it’s truth or lies. He realises that whatever rubbish he spouts people will lap it up. It is sickeningly cynical and shows utter contempt for those that voted for him.
