Tariffs

Predictions by #NeverTrumpers Go Down in Flames (UPDATED!)

Published by Papa Giorgio

(ORIGINALLY POSTED APRIL 10th)

A short video I did from work April 4th immediately caused a response from a #NeverTrump follower. But first, the first thing I thought of when he engaged in this worse case scenario the DAY OF the tariff war against China — because this was all about getting our allies to be fairer with us with their own markets as well as getting them on the same page against China — were the price of eggs. (POWERLINE – April 4th is when I posted this April 2nd story on my sites FB):

Democrats thought they had a great issue in the high price of eggs, due mostly to avian bird flu. In January, they were touting record-high egg prices as proof of the failure of Trump’s administration–even though the figures released in January were for December, before Trump’s inauguration.

Weirdly, the Democrats’ harping on eggs has continued even as the price has plummeted, as in this LA Times column, published on March 8:

As their party struggles to navigate the early days of Donald Trump’s second presidency, some Democrats are convinced that their road to recovery lies in the price of eggs.

Instead of leaning into Trump’s tear-down of the federal government or his alliance with billionaire lieutenant Elon Musk, they’re steering to what they perceive as the everyday concerns of Americans — none more important than grocery prices and eggs in particular.

U.S. egg prices hit a record average of $4.95 per dozen in January, surpassing a previous record set in January 2023, according to federal data.

Meanwhile, what has actually happened to the price of eggs:

What was it that cartoon villains used to say? Curses, foiled again! It’s almost enough to make you feel sorry for the Democrats. They apparently are left with no better strategy than torching Teslas.

I also posted this graphic March 14th with this comment:

  • If the Left thought the argument in February was effective – egg prices being higher than when Trump took office – what does that do to the argument now that egg prices are lower slightly than when Trump took office? (FYI, egg prices will rise temporarily as we get into April. BTW, if you do not know why, have a kid, or go to church. Preferably both.)

CLICK TO ENLARGE

Similar to the idea above… Tim Walz is having an aneurism today. But the upside is that his states investment portfolio is involved in Tesla stock:

Which brings me to my #NeverTrumper thorn. Here is his day-of comments with mine (click pic to enlarge):

THINGS THAT DIDN’T AGE WELL:

JIM G: How bad will it have to get before you admit that Trump’s tariff’s are absolutely foolish? How much of a YTD decline in the Dow, S&P 500, or Nasdaq would make you admit that he doesn’t understand basic economics? Give me a number. Would a 25% decline be enough?

RPT: uhm, okay… you got me. One day in. I give up. 😆

JIM G: how many days we’re into the tariffs (1 day) or into the new administration (over 2 months now) is irrelevant. Give me a number at which point you would say, “Uh oh. Maybe he doesn’t know what he’s doing. This is really bad.”

RPT: let’s see where we are at after 8 years of Vance. 😉

JIM G: you can’t answer my simple question, can you? Why would anyone want 8 years of Vance? That would be adding more lies, incompetence, arrogance, pride, and foolishness on top of the lies, ignorance, foolishness, and lies we already have had with Trump.

RPT: you are in the minority of #NeverTrumpers

BEGIN UPDATE for JIM G.

S&P UP 50 Points From Before Tariffs (Larry O’Connor)

Remember, JimG asked:

  • How much of a YTD decline in the Dow, S&P 500, or Nasdaq would make you admit that he doesn’t understand basic economics? Give me a number. Would a 25% decline be enough?

My FACEBOOK response question is after the above:

  • The counter question is how good will it have to get before you embrace the negotiating tactics Trump used?

END UPDATE

The best way to express what happened is by comparing it to something that happened in elementary schools when my boys went. There was a time when my sone could bring invites to his birthday party to a few friends. But school administrators said this was unfair, so the new rule was the birthday child had to invite the entire class.

The same with wanting to checking China’s ambitions and hurting them in their war against us. Because they are part of the World Trade Organization, the United States just couldn’t raise tariffs against China alone. So we had to raise tariffs on the world. (This of course had it’s benefits as well with countries wanting to have free trade for reals.) But as soon as China responded with tariffs of their own, the U.S. had carte blanche to deal with China as we see fit.

So, the stock market and DOW have made some comebacks already… this will be a long term goal to fight China’s war with the West. So ups and downs will be expected. But the immediacy and not understanding the goals and pigeon holing the outcome literally in the first days is – well – someone with TDS would do.

A good book on the whole issue?

For more than forty years, the United States has played an indispensable role helping the Chinese government build a booming economy, develop its scientific and military capabilities, and take its place on the world stage, in the belief that China’s rise will bring us cooperation, diplomacy, and free trade. But what if the “China Dream” is to replace us, just as America replaced the British Empire, without firing a shot?

Based on interviews with Chinese defectors and newly declassified, previously undisclosed national security documents, The Hundred-Year Marathon reveals China’s secret strategy to supplant the United States as the world’s dominant power, and to do so by 2049, the one-hundredth anniversary of the founding of the People’s Republic. Michael Pillsbury, a fluent Mandarin speaker who has served in senior national security positions in the U.S. government since the days of Richard Nixon and Henry Kissinger, draws on his decades of contact with the “hawks” in China’s military and intelligence agencies and translates their documents, speeches, and books to show how the teachings of traditional Chinese statecraft underpin their actions. He offers an inside look at how the Chinese really view America and its leaders – as barbarians who will be the architects of their own demise.

Pillsbury also explains how the U.S. government has helped – sometimes unwittingly and sometimes deliberately – to make this “China Dream” come true, and he calls for the United States to implement a new, more competitive strategy toward China as it really is, and not as we might wish it to be. The Hundred-Year Marathon is a wake-up call as we face the greatest national security challenge of the twenty-first century.

American Mexican Trade Deal – Stephen Moore

Published by Papa Giorgio

Michael Medved interviews economist STEPHEN MOORE about the recent agreement between Trump and the current [and incoming] President[s] of Mexico. I did not include the callers, but one guy pointed out that it still has to pass our Congress and Mexico’s. A great interview.

Dr. Mark J. Perry and Mark Levin Discuss Tariffs

Published by Papa Giorgio

Mark Levin hosts Life, Liberty, & Levin and this week he is joined by American Enterprise Institute Scholar Mark J. Perry to discuss trade in America today. (Mark J. Perry is concurrently a scholar at AEI and a professor of economics and finance at the University of Michigan’s Flint campus. He is best known as the creator and editor of the popular economics blog Carpe Diem. At AEI, Perry writes about economic and financial issues for American.com and the AEIdeas blog.) How tariff’s effects other countries and Americans as well, along with President Trumps strength against China, and where we may go wrong if we’re not careful.

Mark Levin gives us an Econ 101 class on tariffs and taxes. This is why the unions love this because it protects their jobs and not other businesses in the States.

An interesting part of the call which I stitched to before the other segment is an article in the Wall Street Journal which notes that the reason car manufacturers build in Mexico is due to free-trade agreements:

  • Audi says that an array of free trade agreements favors Mexico over U.S. sites. Its not just the price of skilled labor that is attractive to Audi. If you think about a $50,000 car made in the U.S. that is then exported to Europe there is a 10% duty on that car. So that’s $5000 in duties that Audi is paying. When that same car is made in Mexico there is no duty. This means with an already concentrated area of auto manufactures in Mexico, low cost skilled labor and free trade agreements it is a huge win for Audi and it will be easy to do business. No reinventing the wheel or stepping out alone as the only auto manufacture, Audi is simply following suit. (WSJ)

Not only will these Executive Orders (E.O.) worsen us in the long run (unless this administration has something else up their sleeve), it is the same thing we gripped about when Obama was President and Left leaning legal scholar, Jonathan Turley said was not what the office of President was intended for. I agree.

What is interesting is the juxtaposition the Dems find themselves in regarding the E.O.’s. You see, you had many challenges to Obama’s E.O.’s and he holds the record for the most overturned by the Supreme Court (SCOTUS) in our history as a country. But they were brought to the court mainly by Republican Attorney Generals in a state or a group — or a combination thereof. AND YES, many of these actions Trump is taking with his pen and paper are just as unconstitutional. However, in 2018 we find this:

The GOP will be defending just eight seats, while Democrats must fight for 23 — plus another two held by independents who caucus with Democrats.

This means that since the Democrats know their constituents are already upset enough at them to switch parties… why would you rock the boat on some of these executive orders that they know their constituents like. Like the car manufactures/unions. What Democrat in their right mind would bring a case to SCOTUS to overturn something they wish they had did?

Or how bout’ the growing concern in the black community about jobs and the influx of illegal immigrants? You see, they type of people Trump is putting on the Court would vote AGAINST what Trump is doing. They are originalists, and so, the Democrats would certainly win these cases if brought before the conservative Court.

  • But… they also have to win in 2018. They are essentially protecting 25-seats.

So many of these E.O.’s Trump is writing could easily be overturned if moved forward by the Democrats. Right now however, doing so would be politically dangerous for them. For now at least.

Why Trump’s Tariffs Are a Negative

Published by Papa Giorgio

On his way back from a meeting at the White House, Stephen Moore calls in to update Larry on the Tariff discussion and the looming trade war. Moore says he made the case for free trade to the President… but will it have its desired effect? Read his article directed at Trump’s policies:

Trade, Taxes, and Executive Orders | Mark Levin (UPDATED)

Published by Papa Giorgio

(Originally posted on the 27th of January)

People warned the Democrats… “what would happen if a Republican does what your guy did?” Well…

Mark Levin gives us an Econ 101 class on tariffs and taxes. This is why the unions love this because it protects their jobs and not other businesses in the States. An interesting part of the call which I stitched to before the other segment is an article in the Wall Street Journal which notes that the reason car manufacturers build in Mexico is due to free-trade agreements:

  • Audi says that an array of free trade agreements favors Mexico over U.S. sites. Its not just the price of skilled labor that is attractive to Audi. If you think about a $50,000 car made in the U.S. that is then exported to Europe there is a 10% duty on that car. So that’s $5000 in duties that Audi is paying. When that same car is made in Mexico there is no duty. This means with an already concentrated area of auto manufactures in Mexico, low cost skilled labor and free trade agreements it is a huge win for Audi and it will be easy to do business. No reinventing the wheel or stepping out alone as the only auto manufacture, Audi is simply following suit.  (WSJ)

Not only will these Executive Orders (E.O.) worsen us in the long run (unless this administration has something else up their sleeve), it is the same thing we gripped about when Obama was President and Left leaning legal scholar, Jonathan Turley said was not what the office of President was intended for. Agreed.

What is interesting is the juxtaposition the Dems find themselves in regarding the E.O.’s. You see, you had many challenges to Obama’s E.O.’s and he holds the record for the most overturned by the Supreme Court (SCOTUS) in our history as a country. But they were brought to the court mainly by Republican Attorney Generals in a state[s] or a group — or a combination thereof. AND YES, many of these actions Trump is taking with his pen and paper are just as unconstitutional. However, in 2018 we find this:

  • The GOP will be defending just eight seats, while Democrats must fight for 23 — plus another two held by independents who caucus with Democrats. (THE HILL)

This means that since the Democrats know their constituents are already upset enough at them to switch parties… why would you rock the boat on some of these executive orders that they know their constituents like. Like the car manufactures/unions. What Democrat in their right mind would bring a case to SCOTUS to overturn something they wish they had did?

Or how bout’ the growing concern in the black community about jobs and the influx of illegal immigrants? You see, they type of people Trump is putting on the Court would vote AGAINST what Trump is doing. They are originalists, and so, the Democrats would certainly win these cases if brought before the conservative Court.

AGAIN… they also have to win in 2018. They are essentially protecting 25-seats… 10 of which are “red-state” seats.

So many of these E.O.’s Trump is writing could easily be overturned if moved forward by the Democrats. Right now however, doing so would be politically dangerous for them. For now at least.

Again, I emphatically agree with HOTAIR… Executive Orders Are Not The Way To Do Policy…Even Good Ones

President Donald Trump’s latest executive order is as good as executive orders come. Trump has banned executive appointees from becoming a lobbyist of the particular branch they served in for five years, plus several other restrictions.

“2. If, upon my departure from the Government, I am covered by the post-employment restrictions on communicating with employees of my former executive agency set forth in section 207(c) of title 18, United States Code, I agree that I will abide by those restrictions.

“3. In addition to abiding by the limitations of paragraphs 1 and 2, I also agree, upon leaving Government service, not to engage in lobbying activities with respect to any covered executive branch official or non-career Senior Executive Service appointee for the remainder of the Administration.

“4. I will not, at any time after the termination of my employment in the United States Government, engage in any activity on behalf of any foreign government or foreign political party which, were it undertaken on January 20, 2017, would require me to register under the Foreign Agents Registration Act of 1938, as amended.

“5. I will not accept gifts from registered lobbyists or lobbying organizations for the duration of my service as an appointee.

This is really good policy, and also delivers on Trump’s “drain the swamp,” rhetoric from the campaign. Ethics reform is something all governments should engage in, because it can increase transparency and keep cronyism from rearing its ugly head. It can possibly save the government money, and reduce the debt.

But there’s still a massive problem. Trump is doing this action through executive order, instead of letting it go through the legislative process. The Constitution is quite clear on which branch originally comes up with rules. From Article I, Section 8, Subsection 14 (emphasis mine):

  • The Congress shall have Power…To make Rules for the Government and Regulation of the land and naval Forces;

It’s Congress which develops the rules for government employees, not the president. Trump is acting as CEO of the government (which he’s not), meaning he’s so used to doing things his way, without having to have others sign off on his actions. He’s taking another page out of former President Barack Obama’s playbook, but promising he’ll do it right. ….

(H-T to REGGIE DUNLOP for the above)

What leftist is going to bring the above to the Court? This is how I described it on my Facebook:

Many of the economic one will be too far along to be challenged (like the pipelines for instance). There are 25-Dem seats up in 2018 (10-in red states). Only 7-GOP seats. What Democrats would challenge the E.O. putting tariffs on Mexico (something I hate but unions l-o-v-e). The Dems have already alienated their base… unions.

So I think even though these Democrats could challenge many of these — they are stuck between a rock and a voting booth. And let me also say, the people Trump is putting on the Supreme Court are originalists and would vote these down in a heart beat (bravo for Trump for putting forward such upstanding justices!)… but the cases have to make it there

In other words… if Trump were truly a dictator looking to split the branches of government… he would pick Justices who would support his Executive Orders.

Trump Is NOT “America First”

Published by Papa Giorgio

In this clip Mark Levi explains some basics in conservative economics 101. I include a couple calls and Mark gets worked up in the process of “laying down the law”!

BTW, this is a great refutation of those who think tariffs are a good thing. The movie BREXIT does a great job explaining how this thinking killed European competitive markets.