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346 points Kye | 8 comments | | HN request time: 0.216s | source | bottom
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cheema33 ◴[] No.45016963[source]
This needs to be repeated. Tariffs are a tax on ordinary citizens. Unlike regular taxes, tariffs are not progressive and therefore benefit the wealthy.

These are the sort of things the poor and middle class voted for. To make the rich, richer. And then turn around and complain that rich are getting richer and they are getting poorer.

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colechristensen ◴[] No.45017192[source]
I think it's quite the opposite. Tariffs are flat taxes on corporations AND can't be avoided with the tax shenanigans all big corporations use and many small ones can't. Implementation and motivation details aside I'm in favor of small tariffs for all but the most equal trade partners.

Corporate taxes have the problem of small business paying much more proportionally than large ones and a flat tax on businesses that rely on cheap foreign labor and goods is deserved.

Trump doesn't get to define all of my opinions by me needing to oppose exactly everything he's done.

The problem with the current political situation is the establishment in both parties w were too cowardly or useless to address real problems which are now actually being addressed by objectively stupid fascists.

And that is the lesson to everyone, get stuff done or get replaced by awful people doing awful things.

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1. CamperBob2 ◴[] No.45017264[source]
Corporations don't pay taxes. They pass them on to their customers: us.

And applying tariffs to tools and raw materials when you're supposed to be trying to bring manufacturing back to your country is... well, let's just say any government stupid enough to do that isn't likely to improve things in any other respect.

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2. ◴[] No.45017355[source]
3. hdgvhicv ◴[] No.45017447[source]
Invisible hand forces prices down.

If tarrifs on imported goods are high then people choose non imported goods (which might be substitutes for goods which can’t be made in America) as there are no tarrifs.

They are dangerous though. If country A stops selling to US it sells cheaper to other countries. It also stops importing from the US (and chooses subsidies).

Overall everyone loses out - at least in theory, as everyone uses worse substitutes.

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4. yibg ◴[] No.45018988[source]
If non imported goods were price competitive with imported goods then tariffs won't be needed in the first place. Tariff's are there for artificially force imported good to be more expensive so the previous more expensive domestically produced products become price competitive.
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5. dpkirchner ◴[] No.45026931{3}[source]
And if the tariff is set too high domestic goods will become more expensive as well as there'd be no reason for a domestic manufacturer to charge substantially less than the price of the imported goods.
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6. hdgvhicv ◴[] No.45037974{4}[source]
Two domestic manufacturers compete to get more customers by reducing prices, price trends to cost.

All tarrifs do is remove foreign competition who have lower costs for a variety of reasons, some which benefit the country imposing the tariff, some not.

Neoliberal approach is to always require the cheapest goods, no matter the cost. That’s not the only approach.

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7. CamperBob2 ◴[] No.45041375{5}[source]
Two domestic manufacturers compete to get more customers by reducing prices

Which is hard to do when the idiots in charge place tariffs on the raw materials that both manufacturers rely on.

That wasn't my first clue that a rational and charitable interpretation of the Trump tariffs doesn't exist, but it was a big one.

8. yibg ◴[] No.45044348{5}[source]
Right because removing competition generally reduce prices overall? Even if domestic producer compete with each other, prices still go up overall.