This blog is being used to show how an old tool can be used in a new way. That tool is called the tariff or import tax. It is a tax that once was placed on goods or materials that were imported into the United States and sold domestically or used in products that are later exported.
The tax is used to protect our American jobs from having to compete against foreign made products that where produced under unequal and unfair circumstances compared to our own. This is especially true when it comes to lack of safety standards, dirt cheap wages, child labor and minimal if any environmental regulations as well as a government philosophy that may be far more controlling than our own.
The tax is designed and monitored to maintain at minimum, an equivalent sales price compared to a very similar American made product. This tax can be made higher at times to increase the cost of the foreign competitor's product if one of our domestic industrial sectors is in need of assistance to retool itself in order to protect American jobs and our economy's health. It can also be lowered or deleted when little or no similar imported material or industry exists in the United States.
One of the problems with placing a U.S. tariff on an import is that if a substance like imported sugar is tariffed and then it is used by an American company here in the United States to make and combine it with chocolate then that American company making the chocolate will be at a disadvantage when it tries to sell it's product overseas because the tariff will make the final product cost that much more. It will be that much harder to compete with other less regulated and lower waged countries and foreign competitors.
This brings me to my new idea on how to implement and refund a tariff depending on if it was domestically consumed or exported outside of our country in the end. I call this new tariff plan the Domestic Use Only-Import Hardship Tariff. I abbreviate it as DUO-IHT but pronounce it as "DO-IT".
See next post for details.
1.30.2010
1.25.2010
DOMESTIC USE ONLY-IMPORT HARDSHIP TARIFF. 3/07/10.
The Domestic Use Only-Import Hardship Tariff or DUO-IHT, is a tariff that is placed on imported products or materials from specified foreign countries and is refundable if that product is later exported outside the U.S. and was not sold for consumption or use in the U.S. domestically.
The idea is to allow tariffs to be placed on any imported product or material and then permit a refund of the tariff for whatever amount is later shipped out of the country to foreign markets for final consumption or use. This idea also puts the burden of proof on the shipper or manufacturer to show that the product or material was indeed exported to other foreign markets.
Those imported products or materials that are sold for consumption or use in the U.S. domestically would not have the tariff refunded. This idea allows us to protect American jobs and the American way of life without the import tariff putting America manufacturer's at a disadvantage to compete globally.
For most manufacturers it will be more cost effective to purchase products and materials made in the U.S. rather than import them to avoid the DUO-IHT if they plan to later sell the end product in the U.S. Also an American manufacturer that buys imported materials to produce a product that is later exported to foreign markets will find that the tariff does not place them at any great disadvantage. This is because they can than apply for a refund of the tariff but only on the portion sent back out as an export.
The idea is that this type of tariff does not directly increase the expense of an American manufacturer's product if it is exported to a foreign market. It also allows for maximum competition overseas while still protecting American jobs domestically.
The DUO-IHT helps maintain the American economic ecosystem by giving American made products sold domestically an equal and balance playing field. It also helps increase the chances that stimulus money and American wealth will be recycled within our boarders rather than be used to purchase foreign made products that put Americans out of work.
Without such tariffs as the DUO-IHT we will continue see American wealth sent overseas. A downward economic pressure will eventually force us to deregulate to the point where we will begin to by-pass our American dreams and our way of life in order to survive.
See more posts.
The idea is to allow tariffs to be placed on any imported product or material and then permit a refund of the tariff for whatever amount is later shipped out of the country to foreign markets for final consumption or use. This idea also puts the burden of proof on the shipper or manufacturer to show that the product or material was indeed exported to other foreign markets.
Those imported products or materials that are sold for consumption or use in the U.S. domestically would not have the tariff refunded. This idea allows us to protect American jobs and the American way of life without the import tariff putting America manufacturer's at a disadvantage to compete globally.
For most manufacturers it will be more cost effective to purchase products and materials made in the U.S. rather than import them to avoid the DUO-IHT if they plan to later sell the end product in the U.S. Also an American manufacturer that buys imported materials to produce a product that is later exported to foreign markets will find that the tariff does not place them at any great disadvantage. This is because they can than apply for a refund of the tariff but only on the portion sent back out as an export.
The idea is that this type of tariff does not directly increase the expense of an American manufacturer's product if it is exported to a foreign market. It also allows for maximum competition overseas while still protecting American jobs domestically.
The DUO-IHT helps maintain the American economic ecosystem by giving American made products sold domestically an equal and balance playing field. It also helps increase the chances that stimulus money and American wealth will be recycled within our boarders rather than be used to purchase foreign made products that put Americans out of work.
Without such tariffs as the DUO-IHT we will continue see American wealth sent overseas. A downward economic pressure will eventually force us to deregulate to the point where we will begin to by-pass our American dreams and our way of life in order to survive.
See more posts.
1.20.2010
DON'T BLAME THE CHINESE PLEASE-06/06/10.
Don't blame China for using dirty tactics to import jobs from America. Their government is doing exactly what their people want in order to bring more jobs home to their people. Instead, I suggest we Americans blame our own government for not providing the protections that are necessary to retain jobs here at home for us.
Our American government has done all it can to make it harder for jobs to stay in American. It also included out-right deception aimed at the American public with the intent to reap personal financial gains off the stock market.
If you want change then we need to demand our government to protect American jobs from cheaper labor and lower production standards of manufacturing done elsewhere and imported into this country. It's that the oath of office they took, right? To protect our interests!
To do this is as simple as placing a tariff on those imports that are made in countries that fall far below our principles and costs of production so that their prices can be at least equivalent to our own here in the states.
I think it's time we say that we have heard enough from those economists that promoted failed trade policies and often reply saying we must make China comply with signed trade policies. Instead we need to speak out about what we will do in this very dirty game of competitive foreign markets.
Thank You.
Our American government has done all it can to make it harder for jobs to stay in American. It also included out-right deception aimed at the American public with the intent to reap personal financial gains off the stock market.
If you want change then we need to demand our government to protect American jobs from cheaper labor and lower production standards of manufacturing done elsewhere and imported into this country. It's that the oath of office they took, right? To protect our interests!
To do this is as simple as placing a tariff on those imports that are made in countries that fall far below our principles and costs of production so that their prices can be at least equivalent to our own here in the states.
I think it's time we say that we have heard enough from those economists that promoted failed trade policies and often reply saying we must make China comply with signed trade policies. Instead we need to speak out about what we will do in this very dirty game of competitive foreign markets.
Thank You.
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