And what exactly did tariffs do that were good? Make foreign goods more expensive simply because they were foreign? Yeah! Go America!
Let's also take into account the average auto worker (unionized) makes $29 an hour before calculating benefits. Why should unskilled labor make $60,000 a year?
Tariffs made foreign goods more expensive
so that American workers could make more money and American goods remain competitive in America.
Is the average auto worker unskilled labor? Seems to me that's a rather specialized skill, if not as rigorous as say electrician who must master a larger variety of skills.
My example has nothing to do with tariffs.
We had a large paper manufacturer here. Their employees were unionized and went on strike. While I suspect the union was intransigent merely to make an example for the benefit of other employers in different states, the reason doesn't much matter. The company was forced into bankruptcy and a fellow from India came by and purchased all the equipment, packed it up and shipped it to India. I.e., those jobs were outsourced to India as a direct result of the unions actions.
Fern
Yep, we got it going and coming. Greedy unions demanded wages beyond what the market would bear; greedy management abandoned their workers and went to cheap foreign labor to make more profit than the market would bear. In the end, both sides screwed themselves and the rest of us along with them. However, none of this happens without the politicians removing the import tariffs and duties.
Tariffs are a two-way street.
We slap tariffs on other countries products and they slap them on our products. The result being that we export nothing. That's hardly desirable.
Economically we need to have Europe and Asia bombed all to h3ll again while we remain unscathed, then we can manufacture all the products and sell to them.
Tariffs cannot replicate that.
Fern
That's true, but America is even now still the world's largest market. For example, we buy a quarter of the world's automobiles but generate half the world's automobile sales profit. We could easily have come out ahead by keeping our import tariffs and duties because everyone wants to be in this market. It's also worth pointing out that other nations use different mechanisms to accomplish the same goal, such as very expensive inspections or requirements for half ownership in all manufacturing ventures or set percentages of local content.