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As progressive tariffs continue, China scores biggest trade surplus in history

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When Senators Chuck Schumer and Bernie Sanders agree on an economic policy, most Republicans object. They were objecting when the Democratic Senators pushed tariffs against China a couple of years ago because they knew it was a bad idea. Unfortunately, sound advice from fiscal conservatives couldn’t break through President Trump’s bubble. Now, most Republicans believe in the progressive concept of “fair trade” instead of the conservative notion of “free trade.”

The saddest part is most Republicans who support the President’s tariffs don’t even realize he stole the idea from the progressive Senators in the first place. They’re so locked into tribal bickering and party politics that they don’t take a moment to question anything the President does. This isn’t the first time conservatives have abandoned sound principles for the sake of party unity. People who still claim to be conservatives were silent when the President pushed for his bump stock ban. They started nodding their heads in sheepish agreement as Republican lawmakers and the President started echoing leftist calls for red flag gun laws that betray the 2nd, 4th, and 5th Amendments. They call for the wall at all costs, and while I definitely agree we need a wall, I would not accept breaching Natural Rights to property through the use of eminent domain, which President Trump used gleefully before he was elected President.

Now, as we’re seeing results of China’s economy rebounding with a record trade surplus in spite of the ineffective tariffs the President has imposed, two groups of people continue to pay the fees to the United States government. It’s not China. Their companies are simply charging more to compensate. That means the money being fed to the United States government is coming from American businesses and consumers.

Republicans understood this when they opposed Schumer’s and Sanders’ Chinese tariff proposals, but since the President adopted them, suddenly tariffs are a good idea.

There’s a reason trade deficit is not a true indicator of economic success. As the economy gets better, companies in the country tend to import more. Trying to reverse the trade deficit is both illogical and counterproductive. We should be focused on cutting regulations and costs to American businesses, not raising them as tariffs invariably do. This is why the free trade market-driven economy works so well in the 21st century. The only benefit of tariffs is driving more revenue paid by Americans into government coffers.

Notice how the economy rebounded when the President and Capitol Hill cut taxes. The reaction was strong and nearly universal. You could see more jobs being created, more wages being earned, and more companies wanting to do their business in America instead of abroad. How many jobs have come back to America since the President started his tariff money-grab nearly a year ago? The benefits have been negligible. In fact, one can argue that the tariffs have started taking away many of the gains that came from cutting taxes in the first place.

The President demonstrated his total misunderstanding of the benefits and detriments to tariffs during the GOP primary season. Now, the same lawmakers who opposed tariffs then have either remained silent or expressed tepid optimism about them. This optimism isn’t based on a new understanding of what tariffs do. It’s based solely on the fear that they would get ousted like Jeff Flake or Bob Corker if they challenge the President’s policies.

The positives that came from the tax cuts are systematically being reversed by the negatives of tariffs. Conservatives used to understand this. Now, they’re sticking their collective heads in the sand in hopes when they pull them out, the tariffs will be gone.

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Economy

Stossel: Minimum wage hurts beginners

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Stossel Minimum wage hurts beginners

One of the greatest lies ever told in modern American politics is that raising the minimum wage will help more people than it hurts. There’s no doubt that some people will not lose hours from their increased wage, but many will. Some will lose their jobs altogether. And others will not be able to enter the workforce even though they could have with a lower minimum wage.

These truths are clear from the handful of experiments tried around the country in places like Seattle and New York. In fact, one of the biggest proponents of the $15 minimum wage, Representative Alexandria Ocasio-Cortez, was saddened when her former employer shut down despite being extremely popular. The reason: forced minimum wage hike.

In this video by John Stossel, he explores some of the drawbacks of a higher minimum wage. There are clear economic indicators that it’s a terrible idea, but leftist populism and surface-level economic policies are hard to counter.

Trying to force people to think critically is a challenge, but it’s one we must continue to undertake. As long as the left pushes ideas that seem good on the surface, they’ll get votes from the uninformed. It’s our job to inform them.

We are currently forming the American Conservative Movement. If you are interested in learning more, we will be sending out information in a few weeks.

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Democrats

Elizabeth Warren’s wealth tax won’t work

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Elizabeth Warrens wealth tax wont work

There’s a popular sentiment that’s present in many circles across America. The “rich” are the bad guys who plot against the common American to keep us down. In some cases, this is actually true; wealth has been used by many throughout history to buy favors, subvert prosperity for the economic middle- and lower-classes, and steer governments to do things that benefit them while hurting others. But corruption is much less of a driving force for the hatred towards the rich than envy. Few people would take the “moral high road” and turn down opportunities that would allow them to be rich. Just ask Bernie Sanders.

But this envy of the rich is manifesting into something much more dangerous than we’ve seen in the recent past. Senator Elizabeth Warren, a top contender for the Democratic nomination for president, has built her campaign around offering as much free stuff as possible and claiming that she’ll pay for it all through her wealth tax, which she currently proposes as 2% on any household with more than $50 million and 3% on any household worth more than a billion dollars. It’s a yearly tax that is designed to help her get elected. It isn’t designed to work, and either she knows this but hopes the people won’t see it, or she doesn’t realize it and she’s an idiot.

Wealth taxes have never worked. They hamper the ability of actual job-builders to build jobs. They also incentivize the rich to take their money elsewhere, which has a cascading effect on the economy when done in bulk. But perhaps most importantly is that the revenues projected to be generating from them never come to pass.

The saddest part is based on Warren’s own calculations of how much revenue she’ll generate compared to non-partisan estimates of how much her proposals will cost, it isn’t even close. We’re not talking about being off by millions, billions, or even trillions. If she gets her way, we’ll experience a budget shortfall of tens or even hundreds of trillions of dollars over a decade. This isn’t insignificant, but it may be part of the plan.

Who would plan for economic collapse? Someone who wants to install Modern Monetary Theory in America. That’s the only realistic conclusion that one can come to unless we’re to believe she’s a total liar. And that’s possible. She could be so eager to be a one-term president that she’s willing to make promises she knows are impossible to keep. But more likely, she’s going to try to keep those promises by taking us down a path in which we print money to pay our bills, leading to hyperinflation and the total collapse of the United States of America as a viable nation.

If that happens, she’ll have the ultimate form of socialism in which everyone is suffering equally. Well, everyone other than the elite.

This video by Reason breaks down other examples of hour Elizabeth Warren’s proposed wealth tax is either based on ignorance, deceit, or both. Her calculations are off by a few decimal points, but in a post-truth society, Democrats don’t care.

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Democrats

Rashida Tlaib says $15/hr minimum wage is too low. She wants $20/hr.

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Rashida Tlaib says 15hr minimum wage is too low She wants 20hr

There is nothing more progressive than taking something radical and destructive and doubling down on the spirit of the proposal. That’s what Representative Rashida Tlaib did today when she said the movement that’s pushing for $15 per hour nationwide may be behind on the times. $15 per hour is what whey needed before, but since the costs of milk and eggs have gone up, the new minimum wage should be $20 per hour.

It has already been established by the non-partisan CBO that $15 per hour would kill off 1.3 million jobs. While most Democrats balked at the number and said it was too high, the radical progressives saw it as an opportunity – there’s plenty of room to kill off even more jobs, from their reckoning.

Costs of many items are going up, but as the Washington Free Beacon pointed out, eggs and milk are actually lower than their peaks in 2015 and 2014, respectively, around the time when the “fight for $15” started ramping up. As usual, Tlaib is making things up to support her points.

The real minimum wage is zero, as anyone unemployed knows. But jobs have been rising across the board since the President took office. The economy is humming. In many industries, there is a shortage of workers able to fill positions, forcing many companies to raise wages organically. That’s how it should be. We don’t need Washington DC placing a blanket minimum on the country, especially considering the economic norms in West Virginia are very different from the economic norms in California. Leave it to the states to regulate the economies properly.

This is just further evidence that Rashida Tlaib and “The Squad” aren’t interested in helping America. They want to tear it down and rebuild it in the Justice Democrats’ image. This is no longer a secret, but it’s an under-reported fact.

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