WHEN YOU LOOK CLOSER, “THE DONALD” BECOMES “A SIMPLETON”
This could be a caricature of “The
Donald”
Donald Trump keeps saying that
being a President of the United States is a simple job….really?
Now that
Donald Trump has been the leader in the GOP
polls for over 100 days, the political world has decided to start taking him
seriously.
If that’s the
case, which it is, it’s time to start looking seriously at some of his
simplistic ideas for how he would govern if he were in the White House.
One thing that
he would need to start understanding is that an American president is not a
company CEO and America is a “nation of
laws”.
In a “nation of laws”, Trump would not be able
to use an executive order to circumvent the NAFTA trade agreement for dealing
with Mexico and the Ford Motor Company. According to Trump, he would require a 35%
tariff on every Ford built in Mexico and brought into the US. The North
American Free Trade Agreement is the “law
of the land” and he would need more than an executive order to achieve that
goal.
Trump needs to
understand that we have a serious document called the US Constitution that kinda makes all the rules, not to mention two Houses in Congress and 9 appointed guys
and gals on the US Supreme court that just might get in Trump’s way.
In an
acted-out Trump phone call to the Chief Executive of Ford Motor Company last June, Trump said, “Let me give you the bad news: Every car, every truck and every part
manufactured in this Ford plant in Mexico that comes across the border, we’re
going to charge you a 35% tax ....okay?.... and that tax is going to be paid
simultaneously with the transaction.”
For a
so-called capitalist and seasoned executive, since when would the head of the US
government tell private businesses what they can and can’t do with their own
manufacturing, as long as it’s done legally?
To apply this
tariff would be totally against a current signed and ratified agreement between
two sovereign countries, “The Donald”
needs to know that president’s don’t levy tariffs or taxes, that’s the job of
the US Congress.
All this noise
and bad PR may convince Ford to stay with their Michigan plant for now. But if Trump would become president, I would
think there wouldn’t be another Ford plant built in Michigan.
As one writer
put it, “Never mind all that: Trump’s
idea would be terrible even if feasible. For reasons familiar to all Economics
101 students, blunt-force protectionism destroys jobs, probably many more than
it saves.”
Actually,
companies like Ford have other issues to consider.
Ford and other
US manufacturers are using their older plants to build small cars. But with the lower gas prices, buyers are now
switching to bigger models. These auto
companies can’t operate profitably when the demand for the smaller cars from
these factories goes down. If there’s
are no wage cuts on the horizon, which there aren’t, Ford won’t be able to hire
more people. Eventually, Ford won’t be
able to stay in Michigan and those jobs would go somewhere else anyway.
Trump’s a fool
and was totally wrong when he told Chris Wallace on Fox, “When Ford moves their massive plant to Mexico, we get nothing. We lose
all of these jobs.” That’s a bunch
of BULL! American’s get all the benefits
of a more efficient economy which saves American’s money and it allows
resources to flow to their most productive use.
With all of
Trump’s noise against American manufacturing adversaries such as China and even
South Korea, which he says, “we defend
. . . for practically nothing.”
Those in Seoul
and Germany that have auto manufacturing plants all over the southern US
states, what if Trump’s accusations were to cause them pull all their plants
back to Germany and Seoul? Just Kia in
Georgia has jobs for 25,000 Georgians and Hyundai has 5000 jobs in three other
southern states. What about those jobs
Donald?
As “The Donald” starts to be looked at more
seriously, his simplistic approach to doing business and to being a politician
are slowly, but surely showing all his warts and obvious voids.
Being a US
real estate mogul is a whole lot different from running a nation, negotiating
with other nations and dealing with the US Congress.
It’s about
time that people get real about “The
Donald”. But what’s even more
frightening is that Dr. Ben Carson is in 2nd place. Another individual that says some outrageous things.
However,
seeing where the Republican nominees are today, it just makes us understand that
what we are seeing today may mean nothing.
This time in the 2008 elections, New Your Mayor Rudy Giuliani was in
first place. This time in the 2012
elections, Newt Gingrich was in the lead.
And let’s not forget the head of Godfather Pizza, Herman Cain, was at one
time in the lead about the same amount of time before the Iowa
Caucuses.
But back to
the issue of Trump and his contempt for free markets.
It will be
interesting to see if he ever gets that far and how will he do in debating Hillary?
Stay tuned………
Copyright G.Ater 2015
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