March 30, 2021

Tariffs Ain't So Bad!

Richard Cronin:

Re: Income Tax vs. Tariffs

The Cato Institute and Elizabeth Warren are both full of crap.

Before Woodrow Wilson’s implementation of the income tax, the entire U.S. govt. was paid by tariffs. The original income tax was implemented to "only tax the rich.”

Since then, who really writes the tax laws ? Do you think that the tax laws are written by the door knobs in Congress ? The tax laws are written by the big campaign donors, handed to the door knobs, and passed into law. The average citizen and Joe Schmoo have no access to these preferential tax treatments. Moreover, the big campaign donors assure that the IRS and other tax authorities slow walk anything that the big donors don’t want. The tax burden shifts onto the small guy.

Admittedly the unfortunate Smoot-Haley tariffs were applied during the vulnerable years of the Great Depression. The incipient cause of the 1929 Stock Market Crash was the Great Flood of 1927 ( an Extreme Weather event). It was further exacerbated by a generation of European working age men lost to the trenches of WW-I, plus the Dust Bowl which reached its depths in 1934 ( the TRUE "hottest year on record”).

Tariffs at the current period of relative financial stability do several positive things:

1) They encourage manufacturers (foreign and domestic) to locate manufacturing here.
2) Tariffs can be selective. Say, no tariffs on citrus crops or other foods which we desire in the winter and will aid Central America to keep their people employed in their own nations.
3) On an ongoing basis we don’t see how much of the income tax burden the small guy really pays. Big guys can dodge it. With tariffs, the cost is more readily obvious and big guys share the same interests as the small guy. Hammer govt. down to size and thereby reduce tariffs over time. Starve the beast.

Tim adds:

The Great Depression was caused in no small part by bad monetary policy on the part of the Federal Reserve. Through the '20's they had a loose fiscal policy, allowing the currency to inflate and thus triggering a boom. But at the end of the '20's they suddenly contracted the money supply. This was likely done to slow the economy so it wouldn't "overheat" and it had the desired effect; with the loss of liquidity there wound up being a stock market crash and bank runs.

The M1 money supply decreased by no less than 25% The M2 contracted by 30%. (The M2 money supply includes all cash, checking deposits, and convertible money, as opposed to simple cash as in M1.)

Smoot-Hawley was a mistake, but not because tariffs are bad but because it was a terrible idea to raise ANY taxes during such a financial crisis. The Depression of 1921 ended quite quickly (despite being every bit as bad as the Great Depression in terms of financial destructiveness) because of major tax cuts made by the Harding and Coolidge Administrations. The first cut in November of '21 reduced marginal tax rates by 13.8%. The second in June of '24 reduced rates another 7.5%. Couple this with an inflationary monetary policy and the stage was set for the "roaring twenties". The top marginal rate dropped from 76% to 25%.

It should be pointed out the Federal Reserve was created in 1913, and the Income tax imposed that same year. There would be three major depressions in the following 20 years as a result. (The post-war depression of 1919, the depression of 21, and the Great Depression.)

The immediate response to the stock market crash was to raise taxes.

Starting from .375% in 1929, the lowest rate tripled to 1.125% in 1930, and then increased again by more than 3.5 times to 4% in 1932.

Smoot-Hawley was just one piece of a very large, badly managed puzzle.

I agree; tariffs are more fair than our current system which squeezes the middle class. Everyone pays them when they buy something. And its not a direct tax, something the Founding Fathers studiously sought to avoid.

Big businesses hate tariffs. That is because they want to buy stuff as cheaply as possible and sell their products at the highest profit margin. Since the big money class pretty much owns America these days the war on tariffs will continue, and any suggestion of imposing tariffs will be met with the same hatred as suggesting we close the border or reform social security. It is a big reason why Donald Trump was so loathed by the D.C. Swamp.


Posted by: Timothy Birdnow at 09:52 AM | Comments (3) | Add Comment
Post contains 767 words, total size 5 kb.

1

Simply Hemp

PURE HEMP TEA FOR ULTIMATE RELAXATION




Simply Hemp is our pure, most powerful hemp tea, containing 100% hemp leaves and flowers. It is a mild, slightly sweet infusion with a subtle, spicy aftertaste. A relaxing tea to unwind after a busy workday and to calm your body and mind. Wonderful after yoga or just before bedtime.


Ingredients: Hemp leaves and hemp flowers from 100% organic origin.


Instructions:


Use 2 table spoons hemp per 1 liter, or 1 teaspoon for 1 cup of hemp tea.

Pour boiling water

Let your tea infuse for 5-7 minute


Contains:

40 gram, serves 40 cups of tea


Description

Simply Hemp Dutch Harvest Hemp Tea


There is nothing more soothing than a warm, natural cup of Hemp tea; whether you are looking for a few moments to relax or it is part of your daily hemp-fix routine, Hemp Tea is a brilliant way to get your dose of Hempy-goodness. The drinking of Hemp tea is a practice as old as time- it is naturally caffeine-free, packed with terpenes, amino acids and cannabinoids of course (like CBD & CBDa).


Dutch Harvest Hemp Teas have a mark of excellence- these pure hemp teas are found in their rawest form and start from the same plants as some of the finest Loveburgh CBD extracts and drops. The tea is made from a combination of organic and chemical-free hemp flowers (which at the time of harvesting have produced early seeds) and leaves, so they are packed with flavour and contain no nasty stuff: that means no artificial colours, flavourings or preservatives- just pure, hemp tea brilliance.


Hemp is mild and fresh with a gentle sweetness and ‘envigorating’ finish. Although it has its unique flavours, it can be compared with Green Tea (just less bitter) with the freshness of Camilla.  This blend is Simply Hemp- pure and simple.


How to use Dutch Harvest Tea


The tea comes loose in a 40-gram packet so you may need a loose leaf teapot. This method ensures that you get the perfect quality every time and you can even add your own botanicals. Give the bag a good shake to ensure the seeds and leaves have not settled at the bottom and take two large tablespoons per litre of water. Pour in boiling water and allow to brew for between 5-10 minutes depending on your taste. Sit back, relax and enjoy!

https://darknetweedstore.com/

Ingredients: Hemp leaf, flower and seeds.


Posted by: buy weed uk at April 06, 2021 03:12 AM (EhPcK)

2

The Cato Institute and Elizabeth Warren are both full of crap.


Posted by: Replica Watches at December 02, 2023 09:29 PM (MCuaA)

3 This is a great inspiring article. I am pretty much pleased with your good work. You put really very helpful information. Fool Me Once S01 Daniel Walker Hoodie

Posted by: Mike Rooney at January 27, 2024 01:37 AM (xWcFU)

Hide Comments | Add Comment




What colour is a green orange?




32kb generated in CPU 0.0163, elapsed 0.8297 seconds.
37 queries taking 0.8234 seconds, 163 records returned.
Powered by Minx 1.1.6c-pink.
Always on Watch
The American Thinker
Bird`s Articles
Old Birdblog
Birdblog`s Literary Corner
Behind the Black Borngino Report
Canada Free Press
Common Sense and Wonder < br/ > Christian Daily Reporter
Citizens Free Press
Climatescepticsparty,,a>
_+
Daren Jonescu
Dana and Martha Music On my Mind Conservative Victory
Eco-Imperialism
Gelbspan Files Infidel Bloggers Alliance
Let the Truth be Told
Newsmax
>Numbers Watch
OANN
Real Climate Science
The Reform Club
Revolver
FTP Student Action
Veritas PAC
FunMurphys
The Galileo Movement
Intellectual Conservative
br /> Liberty Unboound
One Jerusalem
Powerline
Publius Forum
Ready Rants
The Gateway Pundit
The Jeffersonian Ideal
Thinking Democrat
Ultima Thule
Young Craig Music
Contact Tim at bgocciaatoutlook.com

Monthly Traffic

  • Pages: 66892
  • Files: 15097
  • Bytes: 4.5G
  • CPU Time: 676:16
  • Queries: 2411381

Content

  • Posts: 28829
  • Comments: 128103

Feeds


RSS 2.0 Atom 1.0