ARRA News Service
ARRA News Service facebook page  
News for social, fiscal & national security conservatives who believe in God, family & the USA. Upholding the rights granted by God & guaranteed by the U.S. Constitution, traditional family values, "republican" principles / ideals, transparent & limited "smaller" government, free markets, lower taxes, due process of law, liberty & individual freedom. All content approval rests with the ARRA News Service Editor. Opinions are those of the authors. While varied positions are reported, beliefs & principles remain fixed. No revenue is generated for this site - no paid ads accepted - no payments for articles. Fair Use doctrine is posted & used.
Editor/Founder: Bill Smith, Ph.D. [aka: OzarkGuru & 2010 AFP National Blogger of the Year]
Contact: editor@arranewsservice.com (Pub. Since July, 2006)
    Home Page

One of the penalties for refusing to participate in politics is that you end up being governed by your inferiors. -- Plato (429-347 BC)

Wednesday, July 27, 2016

Donald Trump's Trade Challenge

Click here to contact Congress now!
by Rick Manning: Donald Trump has made it clear that he doesn't believe that America has gotten the better end of trade deals over the past twenty years and has built much of his appeal to voters who have seen their wages stagnate and have witnessed or fear that their jobs will be outsourced overseas to places with lower labor costs.

And it is the lower labor costs in places like Vietnam, which is part of President Obama's Trans-Pacific Partnership trade agreement, that make the deal so attractive to some multi-national manufacturers. Vietnam's textile workers are paid, on average, $100 a month, a labor cost that cannot and should not be matched domestically.

This is why before Mr. Trump renegotiates any trade deal, he should push through a series of tax and regulatory changes as well as the repeal and replacement of Obamacare, that will significantly lower the cost of doing business in the United States. Without these type of domestic reforms, any changes to the TPP or any other trade deal will only have illusory domestic job benefits.

It is important to remember that the CEOs of publicly traded companies have a fiduciary responsibility to maximize profits for their company's shareholders. Lowering the regulatory, tax and health care costs of doing business in America as a first step toward a new trade policy helps level the economic playing field, so companies will not only be less inclined to offshore jobs regardless of any trade deal that gets negotiated, but would look to the U.S. as being open for business once more.

When these cost lowering actions are combined with an increased emphasis on negotiating an end to currency manipulation by foreign trading partners, the more secure business environment offered in the United States over many countries, and significantly lower transportation costs to reach U.S. consumers, a framework will be in place allowing the U.S. worker to compete against low-cost foreign competitors.

One trap that Trump must avoid is taking actions that undermine his prime objective job growth policy by increasing the cost of labor in the United States through feel-good policies that hurt job growth and opportunity. Post-it note ideas, like increasing employer child care cost burdens or increasing costs through mandatory paid maternity and paternity leave have this exact effect of increasing labor costs and making the U.S. less competitive.

This is not to say that individual employers couldn't or shouldn't offer these benefits to attract and retain employees, but that is a choice. The government however should not mandate these increased labor costs as every increase in this critical area further tips the scales against Trump's stated goal of having good paying jobs created in America rather than being moved overseas where labor is less expensive.

To achieve the goal of making America an increasingly attractive place to build factories rather than Mexico, China, Malaysia or Vietnam, it will require unusual discipline to avoid feel good traps that increase government imposed costs that tip the scales against creating jobs domestically.

Another aspect of Trump's promised trade agenda is to rethink policies or proposals that have the potential of getting in the way of making the best deal for America.

One example where Trump could reset the debate over these talking point type proposals is the constant refrain to get rid of various agriculture subsidies, particularly for sugar, regardless of what foreign sugar producers are doing to manipulate their costs for production.

Rather than being stuck in an absurd, losing, binary argument between favoring sugar subsidies versus opposing them, Trump has a unique opportunity to ask Congress to pass legislation which gives his Administration the best of both worlds. This third way has been proposed by Representative Ted Yoho (R-Fla.) and is known as the zero for zero sugar policy.

If the Yoho proposal became law, Trump would be able to negotiate with foreign sugar producers with the strongest possible hand to end their subsidies, because Congress would have already ended U.S. sugar supports contingent upon reciprocal foreign action.

It is this kind of creative approach that would allow a U.S. president to negotiate from a position of strength to get the best deal for America, rather than re-engaging in the long stagnated philosophical debate about agriculture subsidies.

America is a trading nation, no president or Congress will change that, however, given the importance of trade to our national economy, it would be foolish for any president to fail to re-evaluate U.S. trade policy.

Take the TPP deal that is proposed. The U.S. already engages in an enormous amount of trade with the eleven countries involved. In fact, the Congressional Research Service reports that in 2014 the trade flows between the eleven nations in the Trans-Pacific Partnership and the United States resulted in $905 billion in U.S. goods and services exported and $980 billion imported, a net $75 billion deficit. So, the contentions by TPP supporters that failure to pass Obama's trade deal will fail to open major markets is just false. America already trades with these countries, the TPP changes the terms of that trade into perpetuity, and that is what is being debated.

It would be the height of arrogance to assume that the multi-lateral TPP is the only way forward for trade. Given the threat the TPP poses to our nation's ability to create our own legal and regulatory rules over economic and other activity, the deal's failure to address currency manipulation by our trading partners (which allows them to effectively make U.S. goods more expensive relative to their market,) and the docking provisions which allow other nations to join the trade partnership, it would be irresponsible for Congress to act on it in a lame duck session.

Instead, Congress should delay any consideration of TPP to allow the next president to put a fresh set of eyes on it to ensure that any deal that is submitted is something that is in America's interests not just today, but in the decades to come.

Donald Trump's trade challenge will be huge and the success of his potential administration may largely rest on how he resets economic relations around the world.

Rather than fighting about TPP in a lame duck, Congress should lay the foundation for growing the economy by moving forward with the tax, regulatory and health care reforms needed to lower the cost of labor in the United States, setting the stage for the changes needed to keep America competitive to be passed and put on a potential President Trump's desk in early in 2017.

Making these fundamental reforms early will set the stage for a new, renegotiated trade policy that grows America's economy and creates American jobs while benefitting the entire world.
---------------
Rick Manning (@rmanning957) is President of Americans for Limited Government. This article was also the ALB Blog: Net Right Daily.

Tags: Donald Trump, Trade Challenge Rick Manning, Americans for Limited Government To share or post to your site, click on "Post Link". Please mention / link to the ARRA News Service. and "Like" Facebook Page - Thanks!
Posted by Bill Smith at 1:00 PM - Post Link

0 Comments:

Post a Comment

<< Home



national debt
Don't miss anything!
Subscribe to the
ARRA News Service
It's FREE & No Ads!

You Receive One Email Each Morning
With Prior Days Articles / Toons / More


Also, Join us at:
Facebook.com/ARRANewsService


Recent Posts:
Personal Tweets by the editor:
Dr. Bill - OzarkGuru
Married 48yr #Conservative #Constitution #NRALife #GunRights #USAF 22yr #military #veteran #Christian #CCOT #ProLife #TEAParty #GOP #TCOT #SGP #schoolchoice



Action Links!
Arkansas State Senators
AR State Representatives
Arkansas Governor Office
Arkansas Attorney General
Bankrupting America
US House of Representatives
US Senators
Family Research Council
GrassFire
NumbersUSA
Ballotpedia
Judgepedia
Sunshine Review


Facebook Accts - Dr. Bill Smith
Pages:
ARRA News Service
Arkansans Against Big Government
Alley-White Am. Legion #52
Baxter County Republicans, AR
Catholics & Protestants United Against Discrimination
End Taxpayer Funding of NPR
Overturn Roe V. Wade
Prolife Soldiers
Project Wildfire
Republican Liberty Caucus of Arkansas
The Gold Standard
Twin Lakes Republican Women
US Atty Gen Loretta Lynch, aka Eric Holder, Must Go
Veterans for Sarah Palin
Why Vote for Hillary (Satire)
FB Groups:
Arkansas For Sarah Palin
Arkansas Conservative Caucus
Arkansas County Tea Party
Arkansans' Discussion Group on National Issues
Blogs for Borders
Conservative Solutions
Conservative Voices
Defend Marriage -- Arkansas
FairTax
FairTax Nation
Arkansas for FairTax
Friends of the TEA Party in Arkansas
Freedom Roundtable
Let's Mine AR Lignite NOW!
Personhood Initiative
Pro-Life Rocks - Arkansas
Republican Network
Republican Liberty Caucus of AR
Reject the U.N.

Patriots
Exchange
Links

Links to ARRA News
A Patriotic Nurse
Agora Associates
a12iggymom's Blog
America, You Asked For It!
Americans for a Free Republic
America's Best Choice
America's Whatchtower
An Ol’ Broad’s Ramblings
AR Republican Assembly
ARRA Twitter
As A Matter of Fact
As The Crackerhead Crumbles
Baaad Media!
Baxter Co. GOP Assembly
Baxter County Republicans
Benton Co. GOP Assembly
Black & Right
Blogs For Borders
Blogs for Palin
Blow the Trumpet Ministry
Boot Berryism
Cap'n Bob & the Damsel
Chicago Ray Report
Chuck Baldwin - links
Citizen Pamphleteer
Common Cents
Conservative Hideout
Conservative Observer AZ
Conservative Voices
Conway Real Deal
Defeat Obama's Agenda
Diana's Corner
eGOP News
Florida Pundit
Franklin Online Outreach
Freedom For US Now
Free Zone Media Center
For God and Liberty
Garland County Republicans
Greater Fitchburg For Life
Guns and Religion
Lasting Liberty Blog
Liberal Isn't Amy
Liberty's Lifeline
Maggie's Notebook
Marathon Pundit
Monkey in the Middle
NASA Satellites
No Runny Eggs
Okie Campaigns
Our Voices Arkansas
Patriot's Corner
ProLifeBlogs
Publius Forum
Randy's Roundtable
Real Debate Wisconsin
Religion and Morality
Right on Issues that Matter
Right Reason
Rocking on the Right Side
Saber Point
Saline Watchdog
Secure Arkansas
Sentry Journal
Teresamerica
Stop Obama Satire & Cartoons
The Arkansas Patriot
The Audacity of Logic
The Blue Eye View
The Bobo Files
The Born Again Americans
TEA Party Cartoons
The Conservative Citizen
The Foxhole | Unapologetic Patriot
The Liberty Republican
The Lid
The Looking Spoon
The Maritime Sentry
The O Word
The Path to Tyranny Blog
The Real Polichick
TOTUS
Truth About Obamacare
Twitter @ARRA
Warning Signs
Women's Prayer & Action
WyBlog

Editor's Managed Twitter Accounts
Twitter Dr. Bill Smith @arra
Twitter Arkansas @GOPNetwork
Twitter @BootBerryism
Twitter @SovereignAllies
Twitter @FairTaxNation


Editor's Recommended Orgs
Accuracy in Media (AIM)
American Committment
American Enterprise Institute
American Family Business Institute
Americans for Limited Government
Americans for Prosperity
Americans for Tax Reform
American Security Council Fdn
AR Faith & Ethics Council
Arkansas Policy Foundation
Ayn Rand Institute
Bill of Rights Institute
Campaign for Working Families
Center for Individual Freedom
Center for Immigration Studies
Center for Just Society
Center for Freedom & Prosperity
Citizens Against Gov't Waste
Citizens in Charge Foundstion
Coalition for the Future American Worker
Competitive Enterprise Institute
Concerned Veterans for America
Concerned Women for America
Curtis Coleman Institute for Constitutional Policy
Declaration of Am. Renewal
Eagle Forum
FairTax
Family Research Council
Family Security Matters
Franklin Center for Gov't & Public Integrity
Gingrich Productions
Global Incident Map
Great Americans
Gold Standard 2012 Project
Gun Owners of America (GOA)
David Horowitz Freedom Center
Institute For Justice
Institute for Truth in Accounting
Judicial Watch
Less Government
Media Reseach Center
National Center for Policy Analysis
National Right To Work Foundation
National Rifle Association (NRA)
National Rifle Association (NRA-ILA)
News Busters
O'Bluejacket's Patriotic Flicks
Open Secrets
Presidential Prayer Team
Religious Freedom Coalition
Renew America
Ron Paul Institute
State Policy Network
Tax Foundation
Tax Policy Center
The Club for Growth
The Federalist
The Gold Standard Now
The Heritage Foundation
The Leadership Institute
Union Facts



Blogs For Borders

Reject the United Nations

Adopt Our Troops in Prayer


Thousands of Deadly Islamic Terror Attacks Since 9/11

FairTax Nation on FaceBook
Friends of Israel
Blog Feeds
Syndicated - Get the ARRA News Service feed Syndicated!
ARRA Blog Feed

Add to Google Reader or Homepage

Add to netvibes

Add to Bitty Brouser

Add to The Free Dictionary

Powered by Blogger

Politics Blogs
Politics blog


  • How To Exchange Links!
  • Comments by contributing authors or other sources do not necessarily reflect the position the editor, other contributing authors, sources, readers, or commenters. No contributors, or editors are paid for articles, images, cartoons, etc. While having reported on and promoting the beliefs associated with the ARRA, this blog/site is not controlled by nor funded by the ARRA. This site/blog does not advertise for money or services nor does it solicit funding for its support.
  • Fair Use: This site/blog may contain copyrighted material the use of which has not been specifically authorized by the copyright owner. Such material is made available to advance understanding of political, human rights, economic, democracy, and social justice issues, etc. This constitutes a 'fair use' of such copyrighted material as provided for in section Title 17 U.S.C. Section 107 of the US Copyright Law. Per said section, the material on this site/blog is distributed without profit to readers to view for the expressed purpose of viewing the included information for research, educational, or satirical purposes. Any person/entity seeking to use copyrighted material shared on this site/blog for purposes that go beyond "fair use," must obtain permission from the copyright owner.
  • © 2006 - 2016 ARRA News Service
Creative Commons License
Creative Commons Attribution Noncommercial Share Alike 3.0 Unported License.