question, what specifically happens to prices in the 5 to 10 years it takes to actually create the manufacturing capacity needed to produce the goods in question?
Reposted from
Congressman Jared Golden
My push for tariffs is based on the consensus that it’ll unleash domestic manufacturing — and my desire to create an economy that’s built *for* American workers.
Thanks for checking in, @semafor.com
Thanks for checking in, @semafor.com
Comments
https://en.wikipedia.org/wiki/Comparative_advantage
What’s the 13th.
Prisons and kids
But I’ll bet much of our defense budget suffers because of Buy American provisions
He may just find out everyone will muddle on thru with fewer.
The rest of the world will ALWAYS do fine without us.
🙄
Even he may remember the Great Depression from his high school history classes.
They built manufacturing capacity in 5-10 years, and that was with cheap labour and no regulation.
It took them another 15-20 years to achieve quality and innovate, even with many university-educated engineers.
The USA will have neither of those resources.
British cloth costs $.50/yard to make and would sell for $1.00 w/out tariff. 100% tariff makes it $2/yard retail
Protected US cloth costs $.75 to make, but sells for $1.80. Much higher profits for US makers, not much price difference for US consumers. Everyone needs clothes.
It took HOW long to get the New England textile mills set up under the economic pattern he wants to recreate (era he points at tariff income from)? Only some of that was fighting export controls on the machines.
And someone should point out that U.S. manufacturers buy parts and raw materials from abroad too
ME dems elected this moron anyway?
His tariff plan now is orders of magnitude worse. This is how you destroy manufacturing in this country.
Does he think the manufacturing fairy turns up, sprinkles a site with magic powder and 🌟: a brand new factory with fully trained employees, all the plant required to make it work, a working supply chain, and a full order book appears?
FFS America🙄
That, however, is not the norm, and world also require massive injections of capital.
"How many years/decades for this capacity to come online, if it happens at all?
You represent the part of the US with the oldest median age. Young people leave, never to return. Who is going to wipe butts in Maine's nursing homes, much less build a factory?"
Oh wait. Billionaires are hoarding the capital. Nevermind.
wait... what?
Step 2: prices increase
Step 3: ????
Step 4: Manufacturing returns to the U.S.
Step 5: ????
Step 6: Profit!!!!
They seem all into Henry Ford for his fascism, but they don't seem to have absorbed much else.
We don't have a simple word for "government by waving magic wand," because that isn't government. It's a fantasy. But its consequences are real.
Then the building begins, or wouldn’t.
The choice of words “unleash American manufacturing” is to make it seem we are just taking away a burden rather than transferring money by prices
So there's that.
We can also strive to do most of it here but not at the expense of reality.
Can you say $5-6 a gallon?
You'll all be fine even with these tariffs. It won't take 5 years to set up necessary plants
https://www.npr.org/2024/05/10/1250670539/biden-china-tariffs-electric-vehicles
It was the government and CEOs who decided and then worked together in the 80s to use low-wage labor overseas.
Ask anyone in Appalachia or the Rust Belt.
1) Tougher environmental regs in China
2) Higher labor prices in China
3) Need for onshoring of supply chains as we move toward a rolling disaster geopolitical outlook
He's acting more and more like a Republican.
They can’t see past their noses.
Just imagine if that were entirely sourced and made here today.
Would you pay more than that?
What about double $139.00?
Triple $208.50?
1)
And someone has to secure the loans for the investment.
You cant build a manufacturing plant cheaply if there's tariffs on building supplies. And manufacturers here will need to pay tariffs on raw materials they need to import. Who is going to move a manufacturing business here under those conditions?
Is this their Great Leap Forward? Did they look into how that turned out?
By a coincidence, that's what's between his ears.
The tariff only means that items cost 25% more, not that they become wholly unavailable.
Plant a sugar maple grove in Feb. & wait 5-10 years to sell US maple syrup? That's a sap move.