20% Tariff on Trade with Mexico to Kill American Jobs!

The Tariff will only cancel lovely scenes like this!
Cinco de Mayo parties like above might be things of the distant past.

The 20% Tariff Trump wants will slay American economic freedom!

Well! It actually happened, the Donald has actually come up with the fiscally worst idea ever for building his much Unneeded border wall. Specifically, he wants to force a 20% tariff on trade with Mexico. On part of him and all of his fan base there is a giant lack of knowledge of trade. Also, there is a giant lack of knowledge of economics in general. In order to analyze this news objectively, I need to break down a few things. Firstly the trade between us and Mexico, and secondly the ease of starting business here versus there. Next, I will have to carefully explain how tariffs inherently do nothing but destroy job creating potential. Finally, I will have to propose a proper trade policy for America to preach and practice.

Monetary Benefit of Trade

Amazingly, the Census bureau, of all clubs, records data on US trade overseas, including with Mexico. And every time we import from them, they create jobs for Mexicans. Meanwhile, every time they import from us, we create jobs for Americans.

For example, just last year, we earned $212 billion exporting to them while they earned $271 exporting from us.

Ease of Creating Jobs here vs there

In the United States, starting a business means 6 procedures that take 4 days and in total cost $750. However, in Mexico, starting a business means 8 procedures that take 8.5 days and once finished cost $1855.

Going back to the Census data above, this means trade with Mexico opened potential for nearly 283 million American businesses. Ah, but this also opened potential last year for 146 million Mexican businesses! Who benefitted more from Mexican-American trade and why? We did because more economic liberty! And if a business starts off with 15 people normally, that means 4.25 billion American jobs. But, it also means 2 billion Mexican jobs.

How tariff is a synonym for cancer

Just as income tax reduces incentive to be locally useful, so too does the tariff reduce incentive to be globally useful. Simply, I will use Trump’s 20% tariff idea as my example in these equations.

If this 20% tariff toxin passes then in 2017 we will have much fewer new jobs than in 2016. America for one will have 750 million fewer new jobs than in 2017. Meanwhile, Mexico will have 400 million fewer new jobs than last year. So who will suffer more monetarily from this tariff idea: the US or the US?

What is healthy US trade policy?

A grand intellectual influence of mine, Yaron Brook, summed it up masterfully on Twitter one time. He said ‘free trade is not making deals. Free trade is unilaterally lowering foreign governments’ tariffs, regulations and migration limits to absolute zero’. Even though these are in no way his exact words, I cannot possibly disagree with Brook on this!

And that is what I want to see be the first pillar of four in US foreign policy, and in a better world Austin Petersen would be POTUS and he’d be making that Pillar #1 of an aptly named “Petersen Doctrine”.


Why not order a 30-day Ending of ISIS?

30 days of tactic
Trump and his 30 day review of strategy & tactics

Donald Trump thinks a month of review is needed to slam Islamic Totalitarianism. What?

Just when a good many people, myself included, thought we were living under someone who vowed to take a Nothing Less Than Victory approach to crushing Jihad. Trump has decided that doing his job right begins with doing something Ayn Rand Institute has been doing for 15 years. That is, to review how to defeat Islamic Totalitarianism, the ideology behind ISIS. However, I must prop up something to say before I go into this topic. Just because I am about to carefully explain why this is not a needed step to victory? No, that does not make me a shill for Hillary. Rather, that means I backed three different people against the Donald, my fave of them being Austin Petersen.

There’s been another review of strategy roughly every week.

The smart people of Ayn Rand Institute are not the only people who’ve pressed about strategy. However, they have pressed for the smartest military strategy in academia. They very carefully highlight what military strategies have worked for the United States against past enemies. And of course here I am doing my own review of this latest in military news.

Answers to questions in military strategy

“What is the ideology of ISIS?” As I will keep on saying again and again, the ideology of ISIS is one called Islamic Statism. However, official terms for their ideology are terms like Islamic Nationalism and Islamic Totalitarianism. And this is one of wanting to force all humans to live under global theocracy. “Does ISIS have any State Sponsors of them?” Predictably, yes it does! Almost all State Sponsoring of ISIS comes from Saudi Arabia, quite naturally. Sadly, we have been ignoring this fact for quite the longest time. Good news is we have not been ignoring other state sponsors of Islamic Statism. We have turned no such blind eye to Al-Qaeda sponsoring by Afghanistan in 2001. Nor have we ignored Saddam Hussein’s sponsoring of Islamic Statist militias in 2003.

Review has already been done.

And so it is time to move past review and put together a plan for totally ad utterly stamping ISIS into nothing. So as to close, I will not give any specifics, but I will advise the US military the following. They need to totally destroy all Legit Military Targets under ISIS control while including any and all government service workers, buildings and items as LMTs. How to go about that and the fine details should remain a secret kept between US troops.

Either We Recruit Syrian Refugees, or ISIS Does.

Trump's ban of refugees
Trump signing executive orders

Donald Trump’s executive order to ban Syrian refugees will create second thoughts in them.

Sadly, we are only a few days into Trump’s rule and already he is using tactics that may lead to defeat. What happened is he signed an executive order banning Syrian refugees from entering our country. The Donald is barring refugees because he thinks doing so will lead us to victory. However, this misses quite a few points about crushing a dire threat like ISIS in short order.

Who is ISIS?

The very first step to defeating an enemy is learning all one can about the enemy. Frankly, there is plenty to learn about ISIS and their motives. Basically, ISIS is a militia that is posing as a nation state. They are one of many groups who are in a theocratic wave, which I call Islamic Statism. Islamic Statists are muslims who wish to force all humans to abide by Sharia, and to kill anyone who rejects it. Elan Journo was asked on a podcast one time about how to know the Islamic Statist mindset. Generally, this means that most of the muslim refugees want to flee Islamic Statism. And so do all of the non-muslim refugees who are fleeing from Syria.

Why are the refugees fleeing to us?

Normally, foreign people flee to the United States to start better lives and to heal the wounds done to them by one Statism or another. Broadly speaking this is where the title ‘Land of Opportunity‘ dawns from. However, there is a big minority, maybe 20%, of refugees who come to force their kind of Statism onto us. Which is why we need to readopt the Ellis Island border law of the 1890’s to 1910’s, and apply it to all United States borders. Historically, this Ellis Island law was pass both a tough medical test and a tough criminal test then one’s a citizen. This Ellis Island law has been the best border control policy in US history. This is due to it being the most helpful to America concerning foreign refugees.

What’s the title about?

Many of the refugees escaping Islamic Statism I am sure would love to be able to get rid of it. Yes, even the muslim Syrian refugees, and especially the Non-religious refugees. Recruiting escapees from a tyranny to the cause of destroying that tyranny worked for us before. This was in the American Civil War, when many called to grow the pool of military volunteers to include blacks. Back then, putting black refugees in the US military was to tear down the Statism blacks were escaping from. And having blacks in the US military back then gave them an outlet to avenge their loved ones. The result of this and other factors was they got to take part in trashing the very same Statism they were once fleeing from. So what reality based incentive is there to forbid Syrian escapees from destroying that Islamic Statism they want nothing to do with?