The Best thing about tariffs are the world wars they trigger! Right? Can Maddog get a second on this?
Friday evening links - AEI
"The retail price for a gallon of whole milk fell to $3.15 in April, which is the lowest inflation-adjusted price (in 2016 dollars) in more than 20 years, going back to at least July 1995 when the BLS started tracking monthly milk prices (see chart above). That’s great news for consumers, who are also starting to benefit from falling cheese prices as well. The drop in retail milk prices to historically low levels, like low oil prices, reflects — what else? — a record supply of milk, see a Bloomberg news report here and an NPR report here. In addition to falling milk and cheese prices, you can also expect lower prices for beef, pork, eggs, airfares, gas, and weed, according to Money’s list of “10 Things That Will Be Cheaper During the Summer of 2016.'"
The US government "supports" the price of milk, dairy, cheese, and likely all agricultural products. It does so by guaranteeing prices, and buying up surpluses, which leads to huge US government surpluses. Right now the US government has about a billion pounds of surplus cheese.We should make the politicians eat every bite.
This amounts to the wackiest "tariff" ever, and the least sane, although there is no sanity about international tariffs. Ultimately, tariffs are always about taking money from the consumer and transferring it to a preferred campaign donator. Politicians love them their campaign donators and tend to reward them. Whether through international tariffs, or price support-tariffs on consumers it has the same outcome. You pay more, and a wealthy entity gets to roll in the dough. A small portion of which they share with the Politician. Boy, isn't that nice!
Here is the most recent international tariff example, compliments of President Obama.
America's Mistake Over Chinese Steel: Imposing Tariffs Makes Americans Poorer
While Hillary has the vapors over Trumps anti China bellicosity, Obama gets out in front with a 522% Chinese steel tariff
While price supports are not precisely tariffs, they have similar result, customers are hurt, and a favored person, or entity is benefited. Why do we continue to tolerate this nonsense. The politicians argue that it is needed because these industries are . . . blah, blah, blah.
Yet many industries like tech boom without either being a "critically necessary" industry or receiving government subsidies.
It is time to stop this nonsense. We have tolerated graft, and corruption for too long, we need to rein in the politicians, and separate them from their money troughs. Post haste!