Category Archives: politics

Tariffs on Mexico

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There is some hue and cry over President Donald Trump’s threatened tariff on Mexico in an effort to get the Mexican government to take seriously its role in the crisis on our common border.

Critics of the tariffs, including those within the administration, have said the ratification of the pact would be threatened by the tariffs.

There’s no threat to ratification of the USMCA from these tariffs. There is a threat from the Progressive-Democrats who hate the treaty separately from this.  However, the lack of threat is illustrated by Mexico; since the tariff threat, that government has said it still intends to ratify the treaty.

On the other hand, critics of the present tariff threat are conflating the two purposes of tariffs. One is as protectionist devices; these are the tariffs that are targets of the USMCA, and they remain controlled by the agreement.

The other purpose is as a foreign policy tool used to induce another nation to do/not do the things identified by a particular tariff-as-foreign policy tool’s stated purpose.

The threatened tariff is not at all a protectionist tariff. On the contrary, it’s a foreign policy tool, a take-your-own-immigration-laws-seriously tariff.

Update: The foreign policy tool seems to have worked. Of course, we’ll have to see the realization over time, but that’s the case with all agreements.

Rewriting History

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Here is an example of the level of integrity of the men reigning over the People’s Republic of China.

Thirty years ago, a man stood in front of a column of tanks, halting their hulking passage from Tiananmen Square a day after the bloodshed of June 4.
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“Tank man” images are ruthlessly excised from Chinese social media, according to monitoring services.
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Now the Chinese government is seeking to exert the same sort of control over how China’s history is seen in the rest of the world.

President Xi Jinping and his henchmen are increasingly restricting access by foreigners to PRC—even academic—databases of the nation’s history (such as it’s allowed to exist) along with actively purging them to control domestic consumption.

Nor is just this relatively passive censorship.  Here’s Glenn Tiffert, a visiting fellow at Stanford University’s Hoover Institution:

The way to think about the PRC on the 30th anniversary of Tiananmen is that it isn’t just trying to bury a set of inconvenient truths and facts, but is trying to construct a new narrative.

Xi and his men aren’t lying about their nation in a fit of self-delusion, nor is this an attempt simply to keep such knowledge from circling back to the citizenry from outside; Xi and his men are lying in a conscious effort to delude us.

Such men cannot be trusted in any venue.

“Freedom” in Hong Kong

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Natasha Khan had a piece in Sunday’s Wall Street Journal concerning the implications of the People’s Republic of China’s 30 years ago Tiananmen Square bloody crackdown on today’s Hong Kong, especially in light of the PRC’s increasing and increasingly direct control over Hong Kong.  In the course of that piece, Khan asked about the implications of tightening freedoms on Hong Kong’s position as an international finance center.

To which I answer:

The implications of the PRC’s “tightening” of freedoms in Hong Kong are obvious and universal. The “tightening” is not that, it’s a direct attack on those freedoms with a view to converting them from actual freedoms to freedom to do as the PRC and its ruling Communist Party of China require.

Such an attack can only result in the destruction of freedom, and from that, the destruction of a people’s ability to prosper physically and morally.

The proximate impact will be the destruction of free market business in Hong Kong, followed by the departure of foreign businesses from Hong Kong, taking with them their economic activity and their jobs. That will lead to the impoverishment of the Hong Kong people.

There’s an upside, though. It’ll provide a clear, empirically done object lesson of the differences in outcomes between free markets and freedom on the one hand and a centrally controlled economy and freedom to do whatever the men running the Communist Party of China will allow from time to time on the other hand.

Bad Policy

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Recall that President Donald Trump has threatened a sequence of rising tariffs on all Mexican goods in an effort to get Mexico to take seriously its broad contribution to the crisis we have on our border with that nation.

Republican lawmakers are gearing up for a vote to potentially override President Trump’s planned tariff on Mexico this month….

These lawmakers are concerned that the tariffs could jeopardize passage of the USMCA, and they’re worried that they will hurt Americans.  These folks have lost sight of some important facts.

One is that, after the announcement of the upcoming tariffs, the Mexican government said it intended to move ahead with ratification of the USMCA. The only ones in the way of its final acceptance are Congress’ Progressive-Democrats, who generally don’t like the deal in any event, and these Republicans.

Another is that international trade, including tools of international trade like tariffs, have nothing to do with economics and everything to do with foreign policy.

A third is the nature of conflict.  These Republicans need to understand that no conflict is bloodless for either side.   They need to stop worrying so much about their own stubbed toes and consider the effect these particular tariffs would have on Mexico and whether they just might have the intended effect.

Any attempt by Congress to get in the way can only undermine Trump’s foreign policy move to push Mexico to get serious about those whom Mexico is allowing illegally to cross its own southern border and the resulting flow of these illegal aliens north to illegally enter our country.

Senate Majority Whip John Thune (R, SD):

Congress is going to want to probably be heard from.

If Congress wants to be heard from, it should get serious about immigration, beginning with immigration legislation, that beginning with something akin to Trump’s offer of a year or so ago that offered a path to legalization for DACA beneficiaries plus a million more who were similarly situated.  Along with the means to better physically secure our own southern border.

Trump Commentary

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There is much commentary, generally negative, over President Donald Trump’s statements, among others, that he likes the idea of Boris Johnson succeeding outgoing British Prime Minister Theresa May.  It’s unbecoming. It’s unpresidential. Mostly, though, it’s simply not supposed to be done for one foreign dignitary to comment on the doings of another nation’s political debate.

I’ll ignore the foolishness of “unbecoming” and “unpresidential;” those objecting on these grounds routinely shy away from saying what they mean by “unbecoming” or “unpresidential.”  We’re simply supposed to accept their august pronouncements without question.

There’re a couple of larger issues in play here, though.

Why shouldn’t Trump weigh in on this or that British political debate?  After all, the Brits, including Sadiq Khan and Jeremy Corbin among several, routinely weigh in on American political debates.

More important than the triviality of such tit-for-tat, though, objecting to his speaking up—or to Khan’s/Corbin’s speaking up—insults the citizens of both countries: those objecting are saying that the citizens are so droolingly stupid that they’ll actually be swayed by what a foreign leader says about their own leadership or what that foreign leader says about any other domestic matter.