Where Fake News Dies, Real News Thrives, And Snowflakes Melt

THE NEWS COMMENTER

VOTE  (0)  (0)

Why Trump's 'Buy American, Hire American' Is Un-American: New at Reason



Screenshot Reason.com

Image via reason.com screen capture

Added 07-24-17 03:21:01pm EST - “How flag-waving nationalism provides cover for a destructive economic policy.” - Reason.com

CLICK TO SHARE

Posted By TheNewsCommenter: From Reason.com: “Why Trump's 'Buy American, Hire American' Is Un-American”. Below is an excerpt from the article.

In his quest to "Make America Great Again," President Trump has spent a week encouraging us all to buy products "Made in America."

That makes for a good slogan—who doesn't want to support home-grown businesses? But it's bad and incoherent policy. And it will do little or nothing to help Americans who have been put out of work by changes in technology and the economy.

For starters, it's hard to even get a clean definition of what it means for a product to be made in America. Dozens of products that carry a "made in America" tag were largely assembled or sourced outside the United States, with only a little bit of labor added within our borders. The Jeep Patriot, for instance, pushes nationalism in its very name but its transmissions are made in Japan, Germany, and Mexico.

The U.S. often has much higher labor costs than foreign countries, which means the same thing created solely in America would have an astronomical cost. According to one estimate, Apple iPads made totally in America would cost $967 a piece, or about three times today's basic price. The resulting fall in sales would cost about 67,000 manufacturing jobs.

Pushing "Made in America" comes with other costs, too. To hype his "Made in America" policy, Trump invited 50 exemplary companies to the White House for a photo op. It turns out that 21 of them received various federal, state, and local subsidies worth about $600 million. If you're taxing Peter to subsidize Paul, chances are you're not creating much real economic activity.

Read more...

Watch the video:

Post a comment.

CLICK TO SHARE

BACK TO THE HOME-PAGE