Trump's America

[BigRedBuster]

 

Relations between the United States and Mexico appeared to be heading for crisis on Thursday after Enrique Peña Nieto cancelled a meeting with Donald Trump and the White House retaliated by suggesting a new 20% tax on imports from its southern neighbour to finance the construction of a border wall.

 

Such a tax would mark a new low in relations between the two countries, following a bitter election campaign in which Trump referred to Mexicans as rapists and insisted that the country would pay for the wall.

Link

Trump does understand that Mexicans are R the ones who will pay the 20% tax....right?

[BigRedBuster]

[Danny Bateman]

"Independent" agencies

 

 

On the morning after Donald Trump’s inauguration, acting National Park Service director Michael T. Reynolds received an extraordinary summons: The new president wanted to talk to him.

 

In a Saturday phone call, Trump personally ordered Reynolds to produce additional photographs of the previous day’s crowds on the Mall, according to three individuals who have knowledge of the conversation. The president believed that the photos might prove that the media had lied in reporting that attendance had been no better than average.

Trump also expressed anger over a retweet sent from the agency’s account, in which side-by-side photographs showed far fewer people at his swearing-in than had shown up to see Barack Obama’s inauguration in 2009.

[zoogs]

Wow. This is so unexpected.

 

Who could have foreseen that the new President would be so thin-skinned as to devote his energies in this way?

[BigRedBuster]

Omg....trump used a teleprompter again today.

[GM_Tood]

[GM_Tood]

I guess everyone has forgotten that Trump has spent the last year and a half talking about negotiation and negotiating from a position of power. The whinging that some of you are doing about something that amounts to the first volley in a tennis match is ridiculous. Do you honestly think the end result is a permanent 20% tariff that's going to be a drag on our economy?

 

Learn2Trump bros. Right now he's giving them the stick, the carrot comes later.

[funhusker]

What have you seen in the American consumer that makes you believe the US has the power? We will still pay $1,000 dollars more for a Camry (I believe) made of parts from Mexico than $4,000 dollars more for a Focus made in America...

 

p.s.: Mexican tequila is da'sheet.....

[GM_Tood]

Let's say Trump slaps on a 20% export tax and the media and libcucks are like "American people paying for wall!"

 

Now Trump has his import tax (for manufacturing / jobs ect) and says "ok ya ya we'll tax all the remittance going to mexico!"

 

Libcucks says "omg this is just American money you are taxing omg!"

 

Now Trump has his import tax, and is taxing remittance, and says "ok ok ok, i'm going to triple the price of Visa's and charge 10 bucks for non-american border crossings!"

 

Libcucks say "BLAM!" cause they just ate a bullet.

 

I write it in a jokey way obviously. Maybe it will be a 5% import tax and a bunch of other things, but we're getting that wall and Mexico is going to pay for it in either cash, pain or both.

[Landlord]

...what.

[Danny Bateman]

Remind me again why this is even close to being a wise use of our money?

 

[Landlord]

Remind me again why this is even close to being a wise use of our money?

 

 

 

 

Well, obviously the illegals crossing over is totally out of control we've just stopped apprehending them.

[BigRedBuster]

Let's say Trump slaps on a 20% export tax and the media and libcucks are like "American people paying for wall!"

 

Now Trump has his import tax (for manufacturing / jobs ect) and says "ok ya ya we'll tax all the remittance going to mexico!"

 

Libcucks says "omg this is just American money you are taxing omg!"

 

Now Trump has his import tax, and is taxing remittance, and says "ok ok ok, i'm going to triple the price of Visa's and charge 10 bucks for non-american border crossings!"

 

Libcucks say "BLAM!" cause they just ate a bullet.

 

I write it in a jokey way obviously. Maybe it will be a 5% import tax and a bunch of other things, but we're getting that wall and Mexico is going to pay for it in either cash, pain or both.

I have no clue what you just said.

 

Please speak English and explain how Mexico is going to pay for it.

[GM_Tood]

 

Let's say Trump slaps on a 20% export tax and the media and libcucks are like "American people paying for wall!"

 

Now Trump has his import tax (for manufacturing / jobs ect) and says "ok ya ya we'll tax all the remittance going to mexico!"

 

Libcucks says "omg this is just American money you are taxing omg!"

 

Now Trump has his import tax, and is taxing remittance, and says "ok ok ok, i'm going to triple the price of Visa's and charge 10 bucks for non-american border crossings!"

 

Libcucks say "BLAM!" cause they just ate a bullet.

 

I write it in a jokey way obviously. Maybe it will be a 5% import tax and a bunch of other things, but we're getting that wall and Mexico is going to pay for it in either cash, pain or both.

I have no clue what you just said.

 

Please speak English and explain how Mexico is going to pay for it.

 

Sure thing...no more humor from me tonight. Mexico's economy is entirely dependent on the United States. Mexico exports about $300 billion worth of goods to the United States each year. When you size up this amount against Mexico's total GDP of about $1.1 trillion, it becomes quite clear that without access to the United States market, Mexico's economy would fall to pieces. Now as you might have guessed, this is not a two way street. United States exports to Mexico totaled about $240 billion versus a $19 trillion GDP. Losing access to the Mexican markets would hurt the US but it's something we can take in stride if need be. As you can clearly see, the United States holds all the leverage in this relationship.

 

So the proposal floated today by White House Press Secretary was to impose a tariff on all imports from Mexico. Let's say 20% for the sake of simplicity. So Mexico, on its $300 billion in exports, would be paying the US government $60 billion in tariffs. Current estimates peg the cost of the wall around $10 billion, a drop in the bucket of the revenue raised by that tariff. One counterargument might be that Mexico would impose their own tariff. Well, considering the $60 billion trade deficit I previously mentioned, the United States government would still be walking away with $12 billion in net revenue. Also keep in mind that as I mentioned before, the United States holds all the leverage here. Mexico cannot aggressively pursue a trade war with the United States because it would devastate their economy. The terms of the agreement are essentially ours to dictate.

 

When imposing such a tariff you run the risk of passing on the cost of the tariff to the consumers. For example, instead of a $5 bottle of Corona staying $5 with $1 going towards the tariff and $4 to the merchant, that cost would hypothetically be baked in to become a $6 bottle of Corona. In this hypothetical, marketplace competition would determine whether Mexico is or isn't able to push the cost of the tariff back onto the consumer. For example, if a Mexican firm is selling a widget for $10 a Chinese firm is selling the same widget for $10.20, the Mexican firm has little to no room to increase the price of their product without losing its customer base to the competing firm. Its options will be to continue to sell the widget at $10 and absorb the cost of the tariff or to cease production of the widget. However, if there is no other firm that produces the widget, Mexico can likely get away with selling the widget at $12, though this potentially opens the market to new competitors.

 

So as you can see here, imposing an import tariff is a plausible way for the US to make Mexico pay for the border wall. However, you can make a reasonable argument that some of the cost of that tariff will be pushed back on to US consumers.

[Moiraine]

I agree that we could probably weather Mexico hating us.

 

The problem I have and I stated it before Trump was elected, is I think he will piss off many people at once. He has already pissed off China and obviously they are much more important than Mexico. I don't think we can have these issues with multiple countries at once.