oldsoul
Gold Member
If someone punches you, while you are well within your rights to defend yourself, punching them back, is not always the best solution. This is a complex issue, and requires more sophisticated solutions than that. Sometimes the best solution IS to counter tariffs with tariffs, however, that, I would argue, is the exception.If the country in question is already tariffing our goods we are evening the playing field by tariffing them back. Like Germany for instance.Doesn't make it right, or an overall good thing to do. Here is a short article describing the effects of tariffs.https://www.economicshelp.org/blog/218/trade/benefits-and-costs-of-tariffs/ There is an upside, and a downside. History, as I understand it, leads me to believe the overall balance tends to fall more to the downside. If you can show me how I am wrong, please do so, I am always up for learning more about our wonderful world and how it works.If that is your measure of "success" then I'm sure you are correct. Just remember, made in Germany (or anywhere else) does not equal made better. Nor does it equate to a better standard of living.Yeah, it hurts everyone. Except China. The guy didn't say the WTO should use tariffs. I don't know what he thought--pressure of some kind I guess--because despite what Trump says, historically tariffs don't seem to work out very well.
Tariffs work great for Europe. Nearly every car in Germany is made in Germany.
Most people do equate “made in Germany” as being better. But, that’s not why they do tariffs, it’s to protect their manufacturing jobs.
Take China, for instance. If we slap large tariffs on their goods to encourage them to improve their human rights and environmental record, will it work? I doubt it.
Would it not be better to work with them to further their gains? Maybe work out a trade deal that helps them incorporate better, more environmentally friendly, technologies into their industries and economy; while improving the competitive standing of our industries? Would that, possibly, then lead to even more gains in the standard of living in China, and here? I don't pretend to know the answers to these questions.I trust that people who know far more about this than I are working to find a better solution, that will benefit BOTH nations.