How do Tariffs work

[76561199735322835]

Just a reminder. The tariff is not paid by the other country.

A Tariff is 99% the same thing as a sales tax. The money goes to the government. The company or person in the USA pays this tariff (sales tax).

If Home Depot buys lumber from Canada then Home Depot pays the tariff (sales tax) to the federal government. In addition to the price they pay for the lumber. Then they raise the price that you pay for the lumber.
If a supermarket buys Maple Syrup from Canada then the supermarket pays the tariff (sales tax) to the federal government. In addition to the price they pay for the maple syrup. Then they raise the price that you pay for the bottle of maple syrup.

The idea that the other country or company in the other country pays the tariff is completely wrong. But the current government loves it when you believe that.

These tariffs (sales tax) may become permanent as long as the Rs are in control. A new tax that mostly hurts people at the bottom. So that they can give more tax breaks to the Billionaires.

[eram]

Play computer games on steam

[Last Jackdaw]

As long as the right people are punished most Americans dont care if they feel pain too.

They are willing to burn down the country to prove they own the ashes.


You wasted your time with this cut and paste.

[Krypto]

OP, I'm confused. Are you asking or telling? Cause the title is really a question without a question mark.

[76561199735322835]

Originally posted by Krypto:

OP, I'm confused. Are you asking or telling? Cause the title is really a question without a question mark.

Telling. The title is to attract attention. Can't tell if no one reads.

💋

[-OrLoK- Слава Україн]

Tarrifs are *always* borne by the consumer.

Tariff wars are painful as the US might find out.

[Krypto]

Originally posted by lady gaagaa 💖:

Originally posted by Krypto:

OP, I'm confused. Are you asking or telling? Cause the title is really a question without a question mark.

Telling. The title is to attract attention. Can't tell if no one reads.

💋

We all read. Some people just don't read very well.

[HypersleepyNaputunia]

Yes and when they see that maple syrup costs more then people in vermont open new maple farms to make profit and price goes down as more maple made

Same with steel if its cheaper to make ateel here than buying from canada then detroit rust belt reopens factories and starts making steel and there are more jobs and leas gangbangers. Basically reverse of movie gran torino

All the car stuff went to mexico and detroit died, with tariffs the factories go back to detroit and the poorest gangbangwrs see there are car jobs and they stop gangbanging

[76561199735322835]

Originally posted by 我很高兴认识你:

Yes and when they see that maple syrup costs more then people in vermont open new maple farms to make profit and price goes down as more maple made

Same with steel if its cheaper to make ateel here than buying from canada then detroit rust belt reopens factories and starts making steel and there are more jobs and leas gangbangers. Basically reverse of movie gran torino

All the car stuff went to mexico and detroit died, with tariffs the factories go back to detroit and the poorest gangbangwrs see there are car jobs and they stop gangbanging

That is the fantasy version. Will never happen that way in the real world. This is just a new tax so the Rs can give more tax cuts to Billionaires.

[Rumpelcrutchskin]

Originally posted by 我很高兴认识你:

Yes and when they see that maple syrup costs more then people in vermont open new maple farms to make profit and price goes down as more maple made

Same with steel if its cheaper to make ateel here than buying from canada then detroit rust belt reopens factories and starts making steel and there are more jobs and leas gangbangers. Basically reverse of movie gran torino

All the car stuff went to mexico and detroit died, with tariffs the factories go back to detroit and the poorest gangbangwrs see there are car jobs and they stop gangbanging

YouTube™ Video: If Wishes Were Horses 

Views: 12,836

"If Wishes Were Horses" was released by Claire Lynch in 1997 on the album "Silver And Gold". It is written by Gretchen Peters.

[HypersleepyNaputunia]

"General Motors CFO Paul Jacobson said on Wednesday at a Barclays conference that if U.S. tariffs became permanent, the company would have to consider moving plants, "

Source usatoday

[Phénomènes Mystiques]

Picture this, most products these stores are buying cost pennies on the USD, then they resell these items up to 400% profit anyways.

[76561199735322835]

Originally posted by 我很高兴认识你:

"General Motors CFO Paul Jacobson said on Wednesday at a Barclays conference that if U.S. tariffs became permanent, the company would have to consider moving plants, "

Source usatoday

But ... NOT to the USA. Just to another country that does not have tariffs. All the auto makers have plants worldwide. The same car is assembled in multiple countries to look like a local brand. Like in Europe and Brazil. The parts are made all over the world. This is never going to be reversed. If GM closes it's Canada and Mexico plants the only people that will suffer are USA, Canada, Mexico.

[Immortalis]

And yet we’re supposed to be against tariffs (which do not impact all products as those that are produced domestically do not suffer the rise in price) and be in favour of higher taxes to companies and corporations.

Because those would somehow not result in said companies or corporations hiking the prices of all their products (and in this case products made domestically suffer just as those that are imported) and the entire thing would just cut the corporate profits, right?


Again, the point of tariffs is not to reduce the prices.
It is to cause the price of foreign goods - that most often are produced with little to no regards for environmental, health and safety regulations, by people that are paid slave wages etc - to be comparable to that of domestic goods - which do need to comply with the aforementioned regulations, pay the workers a fair wage etc.
Because at the end of the day the vast majority of us will take the cheap foreign copy if it’s available for a tenth of the price of the domestic version.
And at the same time the vast majority of us would buy the domestically made product if the difference in price is 50 cents.

Not to mention the fact that by incentivising domestic manufacturing you are in fact creating work for people, with the wealth that goes with it and ultimately stimulating the local and national economy - as opposed to send money abroad so that the people exploiting their workers (and really exploiting them, not like “they cut our 16th coffee break”) can profit.

Now, can we stop pretending that the people who voted for Trump did so because they are dumb hillbilly who don’t understand how things work?

[vkobe]

Originally posted by 我很高兴认识你:

Yes and when they see that maple syrup costs more then people in vermont open new maple farms to make profit and price goes down as more maple made

Same with steel if its cheaper to make ateel here than buying from canada then detroit rust belt reopens factories and starts making steel and there are more jobs and leas gangbangers. Basically reverse of movie gran torino

All the car stuff went to mexico and detroit died, with tariffs the factories go back to detroit and the poorest gangbangwrs see there are car jobs and they stop gangbanging

oh sorry, but your theory was dbunked by first trade war between china vs usa

what aluminium company did was increase aluminium price

so the dude in vermont just increase his maple syrup price by 20-25%

because lol if you think big corp in usa not going to use this opportunity to increase the price of their junk they sell to average american

just steel and aluminimum price in usa going to increase until 20%, it mean foreign competitor not sell cheap steel and aluminium, so for them they can increase their price and sell more expansive steel aluminium to average american

[76561199735322835]

Originally posted by Immortalis:

Again, the point of tariffs is not to reduce the prices.

Correct. It is a way to add a new tax onto Americans.

Now, can we stop pretending that the people who voted for Trump did so because they are dumb hillbilly who don’t understand how things work?

Pretending????? No, that is a truth.