Sep 14, 2009

Obama Declares War on China

This is a rant.  This is not the normal, well thought out, poetic prose, that Abigail and Dolley readers usually get.  This is a tantrum!  You see, I am involved in International Trade, I have an Economics  Degree, I am a Customs House Broker, I am also an avid reader and history buff - as such, I am well qualified to loose my freaking mind over the latest debacle by the Union Organizer and Chief.

Would somebody PLEASE give Barack Hussein Obama a blessed history book?  On the road to quickly becoming the worst President ever, Obama sets a punitive tariff on imported Chinese tires!  Can somebody please tell this idiot that the Great Depression was only begun after the Smoot Hawley tariffs were put into place?  For those of you who don't know what that was, it was a protectionist tariff designed to increase the costs of imported goods and "protect" our industries.  (If you are so inclined I can send you a link that will show they are still on the books and reserved for countries we have embargoes against.  Thus, if you want to bring in a blanket from North Korea, even though it is illegal, you would pay the duty on the Smoot Hawley rate which is around 50%)

Protectionism DOES NOT work, in fact it always has the opposite effect and sent the world into the Great Depression.  Right now in history, our fragile economy has been allowed to operate for a few months without more HELP from the government, and is showing signs of hope.  Obama crushes the new shoot with a giant foot.  (This has to be on purpose.... No way do they not know what this will do.)

Over the weekend, our second largest trading partner is slapped with a punitive (not Constitutionally authorized) 35% punitive tariff on Chinese tires.  The Chinese of course are furious and will retaliate.

I don't even technically know what it is being called because CUSTOMS has not issued any directives to the industry to tell us what it is or how we are supposed to implement the latest from the Idiot and Chief!

 The kicker in this whole thing, is normal channels are not being followed.

Typically what happens, is someone in the industry being "hurt" files a motion in court.  A a case is opened by the ITC (International Trade Commission) and the industry is asked for input during an investigation period.  Comments from concerned parties are entertained and an investigation is launched.  There is a process, there is an acceptable way of doing this kind of thing, but of course these rules don't apply to King Barack Obama.  This due process allows people to prepare for possible cost increases in their product and to adjust prices to their customers.  This allows importers to budget their costs and adjust their forecasts.  This due process allows time for computer programs to be changed to accommodate the new laws, rates, and case numbers.  This due process prevents special interests from getting a hold of a person in power and having them willey nilley screw up trade relations with another country as political payback or favor granting.

Who knew that one day the Presidency would be bought and paid for by Special Interests?  Who knew that one day the President would be at the beck and call of the Unions?  Who knew that the Unions would one day OWN the President of the United States and be free direct policy on trade, fire CEO's and take over industries, direct stimulus, health care, and energy policy.  If you doubt me, research it!  Go to Youtube and type in SEIU and Obama.  Do some homework, you will find I am right.

The pisser of the whole thing?  YOU get screwed.  That's right folks, take it from an economics major, I don't remember much, but I sure do remember the empirical FACTUAL evidence that the only people that benefit from a situation like this are the unions and the consumers pay the price. 

So bend over America as you change that flat tire on the side of the road.  Barack Obama has a jack and he knows exactly where to put it.