Mexico’s president fires back at Trump’s tariffs threat – Mexico won’t be able to withstand Trump’s tariffs – June 1, 2019,
Ok, so below are two different videos from the Political Left and Political Right side of the story, CNN (The Political Left) takes more of a position of America being weaker because of the proposed tariffs and Fox News, via National Border Patrol Council President Brandon Judd takes the position of strength.
The CNN argument revolves around the cost of living, relationships, contracts and how this hurts consumers because obviously, tariffs cause prices to rise blah, blah, blah. Well, here’s the thing about the entire auto industry has inflated prices, when a lot of these U.S companies Left the United States and went to Mexico, prices didn’t come down, if anything prices went up and quality came down. The OPTIMA® Batteries are prime examples of this, once they began making OPTIMA® Batteries in Mexico, quality went down, but the prices remained the same, standards are different in Mexico and quite frankly the U.S consumer doesn’t benefit from this, Mexico does. So, I don’t really see any value in the CNN argument in that particular video.
Also, it should be noted that the current President of the United Mexican States Andrés Manuel López Obrador is a Socialist that believes social justice should trump economics. He tweeted on Friday, May 31, 2019, that, “the treatment of Mexico is unfair and makes no economic sense for anyone”.
He also stated the following:
So, yeah, what I think is going on here revolves around Mexico not being equipped to handle their irregular flows of mass immigration and Trumps inability to build a wall because the Democrats, need the Latino voter base to secure future elections. In all, I just would prefer CNN give Americans the facts, the Tariffs if anything in this instance would help the American worker and there probably won’t be much of a pricing difference because most of the current prices Americans pay are already inflated, Auto loan financing is actually here the money is made, so $1300 USD added onto the price of an automobile actually means nothing, unless consumers are desperate enough to allow finance companies to balloon prices, which obviously will have an adverse effect, because if margins widen it leaves the door open for smarter dealerships to lower prices. From an economic standpoint, CNN makes a silly argument.
Regarding the Fox video, a lot of Nationalistic pride appears to be the theme, however, their arguments although rooted in nationalistic emotionalism from an economics standpoint is easier to comprehend. I’ve personally never been against tariffs, I actually think tariffs should replace all forms of taxation, I don’t believe income or sales taxes, wealth is derived from the private sector via trade, politicians one day came up with the idea of a permanent tax and every since this creation, humanity has forgotten that the world can function without regressive, value added, sales and income taxes. Tariffs protect a countries sovereignty because a tariff prevents money manipulation from stealing domestic jobs, we live in an era of Fiat money, the market determines the value of a countries currency, the market is also the deciding factor of prices, countries with lower valued currencies can actually undermine the business laws of a country with a stronger currency.
So, what’s happening with Mexico is that they have fewer regulations, a lower currency and there appears to be little incentives for them to prevent human trafficking. There have been so many migrant caravans, that the news doesn’t even talk about it anymore and it’s not like these migrant caravans or the human trafficking rings are a secret anymore, the CNN nor the Fox videos above didn’t even mention it human trafficking, because it’s now the accepted reality.
In conclusion, my thoughts are this, get rid of as many welfare programs in the United States as possible and this problem will stop. If Americans want to preserve Welfare, they should really consider building the Wall and allow Trump to reshape America because Trump isn’t a Conservative, he’s a Populist, and the truth of the matter is from my perspective he’s the perfect person to lead an America that wants to preserve the Welfare State. Bernie Sanders is a Bear Market waiting to happen, the current Democrat hopefuls for the 2019 election, have a low business IQ and their policies will lead to most of America looking like Detroit and many parts of California.
A welfare state requires a President that understands business. If you’re a Democrat, or you believe in social justice Trump is actually a Godsend, it’s not like Trump has made any painful cuts to anything, a true Conservative President would be making cuts to welfare spending, Trump brags about 401K’s going up in value and he’s willing to fight to make sure hardworking Americans get to retire comfortably, Americans won’t be able to retire comfortably if migrants consume American social programs, migrants with kids, need those kids to go to school, a lot of migrants don’t speak English and will require some type of social program, furthermore Latin America, is poor for the most part because the Latino people continuously vote for a socialist President.
Again I remind the reader that socialism is a fragile form of government because the leader of a socialist country has to make sure it doesn’t push away private businesses. A countries government can’t collect income or sales taxes if there are no private businesses employing or selling things to people. I’m not a fan f socialism or a welfare state but if that’s what the American people want, consider taking the time to listen to President Trump’s policies, because never in history have a herd a President that is as consciously aware of how to protect the Welfare State as Donald Trump.
Interesting times ahead.