Protective Tariffs

Donald Trump’s Insane Tariff Policy: An Economic Disaster If Ever Enacted!

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Donald Trump is proposing massive tariffs on foreign nations and their goods, particularly China, without realizing such a policy is a true economic disaster!

History tells us high protective tariffs, as for instance under President Herbert Hoover nearly a century ago, with the Smoot Hawley Tariff of 1930, helped make an economic downturn escalate into a full scale Great Depression!

Back then, hundreds of economists took out an ad in the NY TIMES, pleading with Hoover to veto such action, but he paid no attention, and it caused his demise to Franklin D. Roosevelt in the Presidential Election Of 1932.

What Trump clearly does not understand is that it is middle class and working class Americans who will suffer the most, as prices of all kinds of imported goods will rise 20 percent or more, adding massively to the cost of living.

Trump is ignorant on economics, along with many other areas of knowledge and policy, and were he elected and able to accomplish his crazy economic ideas, it could lead to another Great Depression!

So the Presidential Election of 2024 is crucial on economic policy, as it is on so many other issues!

From Ronald Reagan To Donald Trump: Complete Tranformation Of Republican Party!

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The Republican Party of Ronald Reagan has completely transformed in the 40 years since, and has become alien to the beliefs of conservatives, due to the impact of Donald Trump.

Ronald Reagan believed the Soviet Union was a threat to world democracy, while Trump and MAGA supporters are openly pro Russian Federation, as well as friendly to North Korea and China, and also other authoritarian regimes around the world. So Trump and his supporters are isolationists, and do not give a damn about Ukraine.

Ronald Reagan believed in free trade, but now Donald Trump and his ilk promote protectionism, and pledge rise in tariffs if he elected, which would increase the cost of living for all Americans.

Roneld Reagan believed in supporting immigration as a strength of America, while Trump and his supporters are nativists, who wish to prevent all immigrants from anywhere but Europe.

The historical Republican Party is now dead, only kept alive by a small number of old line Republicans, who wish for a return to the ideals of Ronald Reagan.

Ronald Reagan had many faults and shortcomings, but it is clear he would not support the Donald Trump controlled Republican Party!

A Century Ago Revived: Isolationism, Protectionism, Nativism!

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It has been a century since three “isms” were promoted, that undermined the United States!

We had the rise of Isolationism in the 1920s and 1930s, after World War I, a very powerful movement, particularly among Republicans, which became a major challenge for Franklin D. Roosevelt and the New Deal.

This author and blogger wrote about this in his first book–TWILIGHT OF PROGRESSIVISM: THE WESTERN REPUBLICAN SENATORS AND THE NEW DEAL (Johns Hopkins University Press, 1981).

We also saw the rise of Protectionism, the idea of high protective tariffs, which was pursued by Republican Presidents Warren G. Harding, Calvin Coolidge, and Herbert Hoover.

Hoover, in particular, pursued this with the Hawley Smoot Tariff of 1930, which made the emerging Great Depression only multipled in 1930 and after, and this despite hundreds of economists taking out newspaper ads, appealing to Hoover to reject higher tariffs.

And we also had nativism, with the passage of extremely restrictive immigration laws in the 1920s under Calvin Coolidge, discriminating against Catholic, Jewish, and Asian immigrants, an apology that led to great human tragedy during the 1930s and World War II.

Now, we have Donald Trump and the Republican Party pursuing the goal of Isolationism (unwillingness to back Ukraine in its war with Russia, weakened support of the North Atlantic Treaty Organization (NATO), and expressing doubts about supporting the sovereignty of Taiwan against mainland China)!

And we have Protectionism rearing its ugly head, with Trump promoting the idea of 10 percent tariffs on all foreign goods, which will raise the prices to American consumers, causing major rises in the cost of living!

Finally, we have Nativism, with the pledge of Trump to deport up to 11 million migrants, both undocumented immigrants and others who are not citizens of the United States, bringing back memories of detention camps promoted by Trump in his first term, including separation of children from their parents!

America cannot allow these old “isms” to become government policy again, as we need to learn from mistakes of a century ago!

Historic Moment For Vice President To Turn Against President: Extremely Rare!

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Former Vice President Mike Pence has FINALLY stopped being a sycophant to Donald Trump, after being obsequious to the former President since his selection to be Vice President in the Summer of 2016.

Pence has been weak all along, but finally said he did his constitutional duty by counting the Electoral College votes in the Presidential Election of 2020, a ceremonial duty, with no power to challenge the official vote count.

This IS an historic moment, for a Vice President to turn against the President, extremely rare!

The only public times were Aaron Burr against Thomas Jefferson in 1801, after Burr created a constitutional crisis over whether he or Jefferson was to be President, due to a so called “tie’ in electoral votes; and John C. Calhoun against both John Quincy Adams and Andrew Jackson, the two Presidents he served as Vice President, over the issue of the protective tariff and states rights, secession, and nullification.

Also, but more veiled, not obvious publicly, Charles G. Dawes had disagreements with Calvin Coolidge: John Nance Garner broke with Franklin D. Roosevelt in 1940 as he sought to succeed him; Al Gore separated himself from Bill Clinton over the Monica Lewinsky Scandal as Gore ran for President in 2000; and Dick Cheney had growing disagreements and a growing breach with George W. Bush in Bush’s second term after 2005.

Also, more veiled was Thomas Marshall not being informed about Woodrow Wilson’s health after his stroke; Lyndon B. Johnson being mistreated by Robert F. Kennedy under John F. Kennedy’s Presidency; and Hubert Humphrey forced to support the Vietnam War under Johnson after 1965, later stated as a very difficult time for Humphrey.

Rural America Being Harmed By Trump’s Tariffs

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Rural America is Donald Trump’s major base.

The 20 states that backed Trump the most in percentage of votes in 2016 are also the most rural states in the nation.

Only a few middle sized cities exist in this group of 20 states:

Missouri—St. Louis and Kansas City

Tennessee–Nashville and Memphis

Indiana–Indianapolis

Louisiana–New Orleans

Kentucky–Louisville

These 20 states also have the most people engaged in agriculture and coal mining, and both are areas of the economy heavily suffering from lack of concern by Donald Trump, with the protective tariffs that hurt soybean and corn farmers, as well as other areas of agriculture, and the dying coal industry, where coal miners are petitioning for protection of their hard earned pensions, but having no response from the Trump Administration.

So rural America, trying to hold back the future of an urban and suburban America that has the dominant part of the population, is suffering mightily from a Trump Presidency which does not give a damn about them and their future.

So the question arises whether even in these states, or some of them, will there be a rebellion against Trump as he seeks reelection!

Donald Trump Declares Trade “War” On European Union, Canada, Mexico: Suicidal For Consumers, Workers, Corporations

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Donald Trump has declared a trade “war” on the 28 nations of the European Union, as well as Canada and Mexico.

This protectionist binge will be suicidal for consumers, workers, and corporations.

It will cause rapidly rising inflation in consumer prices; loss of employment in many industries and agriculture; and add billions of dollars in costs to corporations, which will lead to price increases and worker layoffs.

Along with the massive backtracking on the Dodd-Frank Act regulating Wall Street banks after the Great Recession of 2007-2009, it will bring about another Great Recession in the next year, and possibly worse, a return of the conditions of 1929 under Herbert Hoover, leading to the Smoot-Hawley Tariff of 1930, and a great worsening of the Great Depression that affected America for an entire decade.

It will also cause the NATO alliance to fray at its edges, as the European allies, and particularly the major ones–Great Britain, France, Germany–will retaliate against the nation that they used to look to as their leader.

And our relations with our neighbors–Canada and Mexico–will be the worst in a century, and undermine global security and stability.

And the Republican Party, while complaining privately, will show no ability to stand up to Donald Trump, and fight him, and their party will be permanently damaged by their cowardice!

Tariffs And Republican Depressions: Benjamin Harrison, Herbert Hoover, Now Donald Trump?

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Protective tariffs made sense in the time of Alexander Hamilton and the time of Henry Clay.

But in the late 19th century, big business corporations were able to create higher tariffs that were detrimental to the American worker, consumer, and economy, with the assistance of the corrupt Republican Party of the period.

In 1890, under Republican President Benjamin Harrison, we saw the passage of the McKinley Tariff, named after the future President, and it undermined the economy and contributed to the disastrous Panic of 1893, which affected the nation until 1898.

In 1930, months after the Stock Market Crash, Republican President Herbert Hoover, ignoring the pleas of hundreds of economists, signed the Smoot-Hawley Tariff, which caused a great worsening of the developing Great Depression.

As the decades went by, most Republicans and intelligent Democrats realized that high tariffs were not good, and free trade agreements developed in the 1990s.

Some far left liberals and some far right conservatives joined forces to fight this, and now Donald Trump has declared the inception of “Tariff Wars”, which will bring down the American economy, harm consumers and farmers, and cause unemployment to rise.

Trump is alienating the whole world–including China, Canada, Mexico, the European Union, and more–and instead will destroy the economic lives of millions of his own supporters, if he is not stopped from his crazy, lunatic actions!

Assuming we cannot stop what he is doing, the Republicans will suffer a blood bath, that will put the Republican Party in the dustbin of history.

It is time for Paul Ryan and Mitch McConnell and the Republicans in Congress to show some “cajones”, and turn against Trump before he totally destroys the nation economically, and takes unto World War III against North Korea, who would be helped by China, and Iran, who would be helped by Russia.

Trump’s Tariff Wars Will Destroy Agriculture, Dramatically Raise Company Expenses And Prices, Cause Massive Consumer Price Inflation, And Rising Unemployment

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Donald Trump has announced a “Tariff War” against China, as the primary target, but also against most of our trade partners.

In so doing, he is guaranteeing a disastrous economy down the road.

In 1930, Herbert Hoover went along with the Smoot Hawley Tariff, and it helped make the Great Depression, which has begun months earlier, become an ever greater calamity.

But Donald Trump knows nothing about Herbert Hoover, and nothing about the effect of “tariff wars”.

So expect economic calamity, including American agriculture unable to sell their products overseas, causing a massive farm depression.

And expect that businesses will be harmed, and will start to raise prices, and those will be passed on to the consumers, all of us.

We will be paying a lot more for food, clothing, technology, and industrial goods of all kinds.

Also, many businesses, if they lose revenue, will lay off tens of thousands of workers, causing a massive rise in the unemployment rate.

And just today, the stock market reacted by losing nearly three percent, and dropping 724 points, and this will not be a one day phenomenon.

Donald Trump is destroying the revived and prosperous American economy accomplished by Barack Obama in his eight years in office.

It is almost as if he is purposely doing everything he can to wipe out the memory of our first African American President.

We have a very sick, demented President, and the nation is suffering, and will suffer ever more until he forced out of the Presidency, and it cannot come fast enough!

Protectionism And Isolationism: Herbert Hoover And Donald Trump

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Eighty six years ago, President Herbert Hoover signed into law the most protectionist tariff law in American history, the Smoot Hawley Tariff of 1930, over the strong opposition of hundreds of economists who signed newspaper ads opposing the cutoff of foreign trade in the early months of the Great Depression.

These economists warned that creating tariff walls would backfire on the US economy, but Hoover did not listen, and he paid the price of a much worsening depression, leading to his defeat in 1932 for reelection by Franklin D. Roosevelt

Hoover also pursued a foreign policy of isolationism, refusing to participate in the League of Nations, and issuing the Stimson Doctrine in 1932, named after the Secretary of State, Henry Stimson. This document declared the US refusal to recognize the aggression by Japan against Manchuria, part of China in 1931, but making clear that no military or other action would be taken against foreign aggression anywhere in the world.

Hoover continued to be an isolationist after the Presidency, and opposed US entrance into World War II until after the Japanese attack on Pearl Harbor in December, 1941.

Now, Republican Presidential nominee Donald Trump is taking similar stands on both protectionism and isolationism, a pivot from the modern tradition of the Republican Party, and considered by many to be a major mistake in both domestic and foreign policy.