GOP Gets It Wrong On Tariffs, Right On VAT
Huffington Post - 2 months
"Oh, no, a trade war," moaned the Republican establishment for the umpteenth time recently, as Donald Trump suggested a 35 percent tariffs on goods made in U.S. factories that have moved offshore.
"Tariffs?" it seemed to ask. "You'll start a trade war...destroy global supply chains...hurt the very American companies and workers you want to help...The sky is falling!"
Apparently, President-elect Trump's call for tariffs on outsourced U.S. manufacturing goods is a bridge too far for editorial boards, business journalists, pundits, and even new friends like Rep. Paul Ryan (R-WI). The House Speaker says that, rather than revamping faulty U.S trade policy, the solution for America's manufacturing woes is simply to enact "comprehensive tax reform."
It's a view shared by other GOP stalwarts, including Sen. Mitch McConnell (R-KY), Rep. Kevin McCarthy (R-CA), and the Club for Growth's David McIntosh. According to McIntosh, tariffs and trade wars would make the U.S. economy "tank again."
Huffington Post article