Tractors and (upcoming) tariffs?

[AnotherBueller]

Lou,

I don't disagree with you. Uncle defines Social Security as an "entitlement", it isn't my definition.

And with 20/20 hindsight, which we are all blessed with, yes, there could have been better places to invest that money.

We can't fix the past, hopefully we will learn from the mistakes of the past (evidence of this learning seems to be sadly lacking) and try not to repeat them.

Governments perform some interesting gyrations to get the numbers they want. Reagan was trying to get unemployment down (hot button issue back then) so someone had the bright idea to classify everyone in the military as "employed". It worked, the numbers came out right where they wanted them. Technically, they WERE "employed", but the unemployment figures refer to civilian employment. Measuring the other way, there's very low unemployment in North Korea . . .

Best Regards,
Mike/Florida

As I recall from Jr High Civics & economics, the government just put the money in the bank and then borrowed from that bank account and never paid it back. Then they passed a law saying they didn't have to.

 

[CloverKnollFarms]

Mexican president claims ‘no potential tariff war’ with US after call with Trump Mexican president claims ‘no potential tariff war’ with US after call with Trump

 

[AnotherBueller]

If I’m not mistaken, I just heard Americans spent 500 billion on legal fees to battle the IRS.

Maybe simplify the tax code and lay off about 75% of the IRS?

Then close all the unnecessary 3 letter agencies we can live without.

There, I just saved us about a trillion a year, now add your cuts in red tape.

Called a flat tax rate, where everyone pays a set (and equal) percentage of their income as income tax.
The more you make, the more you pay. No deductions, everyone's equal no one's special.

 

[rScotty]

Called a flat tax rate, where everyone pays a set (and equal) percentage of their income as income tax.
The more you make, the more you pay. No deductions, everyone's equal no one's special.

Corporations too?

 

[AnotherBueller]

Some more interesting information about US/Mexico trade:

“Two-way trade in goods and services between the United States and Mexico totaled USD 863.4 billion in 2022, positioning Mexico as the second-largest overall U.S. trading partner. During this period, U.S. exports to Mexico totaled USD 362.7 billion and imports from Mexico totaled USD 500.7 billion (deficit of USD 138 billion). This large volume of trade directly and indirectly supports millions of U.S. jobs. Mexico is the first, second, or third-largest destination for merchandise exports from over 30 U.S. states. Top U.S. goods exports include electronics, vehicles, fuels, minerals, plastics, and machinery. Mexico was the second-largest export market for U.S. agricultural products in 2022, with total U.S. agricultural exports to Mexico valued at over USD 28 billion.

Mexico is the 17th-largest investor in the United States, having amassed a total stock of USD 54 billion at the end of 2022. U.S. affiliates of Mexican-owned firms in sectors such as food, communications, plastics, metals, auto components, and business services employed 85,700 U.S. workers in 2018 (the most recent year for which figures are available). Over the last 20 years, U.S. and Mexican supply chains have become increasingly integrated and production sharing —with intermediate steps in the creation of a final good taking place on both sides of the border— is now commonplace. Recent trends in nearshoring following the COVID-19 pandemic have strengthened this integration.”

U.S. Department of Commerce

Let’s build this relationship and reduce Asian imports.

And as more and more CARB rules become fed rules industries that pollute are regulated out of business move to Canada and Mexico the discrepancy continues to increase. Example there's very few (if any) chrome plating business left in the US.the one we had in St Louis moved to Canada 20+ years ago.

 

[JasperFrank]

Nice if real. Where did you read that?

Another problem is that the population replacement in the US has fallen below replacement for more than a generation now. That is too long to turn around with higher birthrates, and has caused all kinds of economic projections to take a dive.

The US is going to have to make up for the downturn from somewhere ... if not with immigration from neighbors, with whom?

rScotty

Would this not solve the housing shortage?

 

[AnotherBueller]

Tariffs are a tool, and like any other tool, can be used correctly or misused. Other countries do have tariffs on US made goods, and that is their decision.

Tariffs are most properly used as a scalpel, not as a sledgehammer.

Canada and Mexico are our largest trading partners as well as our neighbors. I don't understand how imposing a blanket 25% tariff will "protect" us from our neighbors to the north, or how "revenge" and "retribution" (the favorite buzz words of the incoming administration) apply to them.

Mexico has their hands full - more than full - with the drug cartels. The media viewpoint is that they are on the verge of becoming a failed state, or worse, a narco-state. (Unfortunately, we have no other ways to tell what is really going on than the media). They are also a land bridge for people from central America, some of whom are desperately seeking a safe place to live, and, unfortunately, some of whom who have other, rather less noble motives.

Mexico needs help, not punishment. If your neighbor's house is on fire, you call the fire department, you don't call the EPA to complain about the smoke.

We and they need to approach this difficult situation differently. What the US and Mexico have been doing so far obviously isn't working. and slamming them with arbitrary tariffs as "punishment" isn't going to help them or us.

Best Regards,
Mike/Florida

I believe his issue is that china is building factories in Mexico to build their E-vehicles so as to bypass the US tariffs on Chinese vehicles.

 

[AnotherBueller]

I'm not going to get too upset right now. The outcome - and even the assumed tariffs - are yet to be determined. As with any government exercise there are likely many important details on Page# 3024

The devil is in the fine print.

 

[AnotherBueller]

I agree with much of this post, but I'm one of those receiving SS and on Medicare but that doesn't mean I don't want to see those programs under intense scrutiny for waste, fraud and abuse. An entire program does not have to be scrapped to make it more efficient...or honest. The same can be said for defense--you say those things are really expensive, but why? Why should a toilet cost $$$$, a hammer $$$? Mostly because so many accept "that's just the way it is". Your suggestions for growing the economy are spot on, but there is need to reduce wasteful spending at the same time.

Most of the extra $$$$$ it required testing to prove that this particular hammer meets all safety regs (of many agency's) and can not be made any safer and that the printed use instructions are acceptable to lawyers.

 

[AnotherBueller]

Have you seen those cool new Toyota pickup trucks that are not coming here? That is because of the Chicken tax from 1964, look it up.

What???