2 weeks ago

John Stossel: No trade barriers

No, President Trump, it’s not true that if you tax imported steel, we “will have protection for the first time in a long while.”

The opposite is true. If you raise tariffs on steel and aluminum, you punish consumers.

Yes, such tariffs also punish Chinese producers and protect some American businesses and workers, but the tariffs will hurt many more Americans.

They’ll hurt every business that makes things from steel or aluminum. They’ll hurt most everyone who buys anything. Tariffs are taxes, and they don’t just affect inanimate metal objects. They punish people.

Even if China “dumps” products — sells below their manufacturing cost — that just means that China hurts its people and gives us discounts. We win. We get products. All the Chinese get is paper with pictures of American presidents printed on it.

What can they do with those? Either buy our products, or invest in America. Either way, we win.

Did we learn nothing from what happened when President George W. Bush raised steel tariffs? The trade barriers protected 1,000 jobs. But they destroyed 200,000 other jobs. Bush wisely withdrew the tariffs.

Trade only happens when both sides think they are better off for making the trade. Win-win, or it doesn’t happen. Trade is always good because it is voluntary.

Adam Smith figured that out more than 200 years ago.

But when Trump thinks about trade, he just sees downsides. “Before NAFTA (lowered trade barriers), there were 285,000 autoworkers in Michigan,” he says. “Today, that number is only 160,000!”

Trump is right about the jobs numbers. But autoworker jobs disappeared because of automation, not trade. Robots replaced some workers.

But thanks to trade, most of those workers found other, often superior, jobs. Total American sales of cars and car parts are up.

It’s shortsighted to look at costs or trade without acknowledging the even larger benefits.

NAFTA made today’s avocado craze possible. American avocados are scarce in winter, but Mexico grows them year-round. Today, American producers sell about as much avocado as they did before NAFTA, but thanks to trade, avocados cost less than they would otherwise, and Americans eat four times as many of them.

Trade makes iPhones affordable, too.

Apple buys minerals from 63 countries. It ships those minerals to 34 different countries for processing.

Apple could do more of that in the United States, but every place offers different skills. Turkey and China are good at smelting. Digging through rock is cheaper in Mongolia, and so on.

This doesn’t cut the U.S. out of the process. The highest-paying jobs are those held by techies who design the software and program the phone. Most of those jobs are in the USA. It’s foolish to “protect” old-fashioned jobs by robbing new workers of better jobs.

The U.S. shouldn’t cling to expensive, outdated ways of producing things. We should adapt to the new jobs that America does better — high-end machinery, energy, and intellectual property like movies, music, medicine, internet startups, etc.

Not only do Americans make more money doing those things, also they are safer in those better jobs. Do you want your kids to work in factories? That’s often dangerous and physically demanding work. I bet you’d prefer they take the new jobs.

Yes, trade hurts some Americans. Some without new skills, or the right training, will struggle.

But many, many more are better off — much better off — because of trade.

On my Twitter feed, Trump supporters trash me for writing that. They like it when the president talks “tough” about foreigners. It helps politicians to sound like they’re getting tough on something, and trade is a popular target.

“There has never been a trade deal as bad as NAFTA,” said Trump. He promises to “fix” it and, as always, he sounds confident. But his plan is not the answer.

The ideal NAFTA reform would be elimination of tariffs — no government involvement in trade at all.

We’d all be richer if that happened.

John Stossel is author of “No They Can’t! Why Government Fails — But Individuals Succeed.”



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4 hours ago

Evidence mounts of full-scale Russian campaign to undermine American energy

The U.S. government for the first time ever blamed Russia for hacking into American energy infrastructure. The Trump administration action comes a little over two weeks after a House committee detailed Russian attempts to influence energy markets.

U.S. officials said a “multi-stage intrusion campaign by Russian government cyber actors” that began in March 2016, possibly earlier, is part of a campaign to target critical infrastructure, including energy, nuclear and aviation facilities.


The FBI and Department of Homeland Security on Thursday said hackers targeted small facilities “where they staged malware, conducted spear phishing, and gained remote access into energy sector networks,” Reuters reported.

It’s the first time the U.S. has directly called out Moscow for infrastructure hacking. It’s still unclear whether or not the hacks were successful or led to any damage, and the security alert did not name the companies targeted.

The Trump administration condemnation comes more than two weeks after the House Committee on Science, Space and Technology found Russian agents used social media outlets to embolden opposition to American energy production.

“Russia exploited American social media as part of its concerted effort to disrupt U.S. energy markets and influence domestic energy policy,” reads the committee’s report on Russian activities.

The committee found accounts linked to the Internet Research Agency (IRA), a Russian troll farm, published 9,097 social media posts from 2015 to 2017 targeting energy policies and projects. Thirteen Russians connected to IRA were indicted by special counsel Robert Mueller.

“The IRA targeted pipelines, fossil fuels, climate change, and other divisive issues to influence public policy in the U.S.,” the House committee found.

For years, Republicans and energy industry experts have worried Russian money was being used to undermine U.S. energy policy.

Intelligence officials confirmed in early 2017 in a declassified report on election meddling that the state-owned media outlet Russia Today (RT) ran “anti-fracking programming, highlighting environmental issues and the impacts on public health.”

The House committee began the investigation in 2017 and asked Treasury Secretary Steve Mnuchin to investigate whether or not Russians were using an offshore Bermuda-based law firm to funnel money to U.S. environmental groups.

Lawmakers asked Mnuchin to investigate whether or not the U.S.-based environmental group, the Sea Change Foundation, took $23 million from a Bermuda-based shell company with ties to Russian oligarchs in 2010 and 2011.

Sea Change gave millions to U.S.-based environmental groups, including the Natural Resources Defense Council, the Sierra Club and the League of Conservation Voters. All of those groups oppose hydraulic fracturing.

(Content created by The Daily Caller News Foundation is available without charge to any eligible news publisher that can provide a large audience. For licensing opportunities of our original content, please contact licensing@dailycallernewsfoundation.org.)

5 hours ago

VIDEO: PA-18’s lessons — dangerous teachers — student walkouts … and more on Guerrilla Politics

Radio talk show host Dale Jackson and Dr. Waymon Burke take you through this week’s biggest political stories including:

— Were the results in Pennsylvania’s special election a rejection of Trump or Pelosi?

— Why did the executive director of the state’s superintendent association imply teachers were unstable and dangerous?

— Will the student walkouts bring about some real change on gun issues?

Clayton Hinchman joins Jackson and Burke to discuss his campaign for Congress in Alabama’s 5th Congressional District.

Jackson closes the show with a “Parting Shot” directed at Hillary Clinton where he begs her never stop talking.

6 hours ago

AlabamaWorks! is holding a career event for students to learn about jobs in the state

Edie Gibson and Antiqua Cleggett talk “Worlds of Work at SkillsUSA” which will be held April 24-25 at the Birmingham Jefferson Civic Complex.

Worlds of Work at SkillsUSA is designed to help 8-12th grade students “connect the dots” and clearly identify steps toward a college or career pathway as they enter their high school education.

More information is available here.

Subscribe to the Yellowhammer Radio Presents The Ford Faction podcast on iTunes or Stitcher.

7 hours ago

Wounded Warrior running for Alabama State House representing Chambers and Lee Counties

Back in 2003, while U.S. Army Specialist Todd Rauch and his buddies were patrolling the streets of Abu Ghraib, an Iraqi city made famous by its notorious prison, a remotely-detonated mortar exploded near his patrol. His right shoulder and hand were severely injured in the blast.

Rauch was eventually flown to Walter Reed Army Medical Center in Washington, D.C., and endured 12 surgeries to save his limbs from amputation.

He is now running as a Republican for the State House of Representatives district representing Chambers and Lee Counties.

So how did this Illinois-native find himself running for office in Alabama?

While recovering at the hospital, Rauch’s roommate was from Fort Payne and “all he talked about was Auburn and Auburn and Auburn,” Rauch told Yellowhammer News.


Rauch soon recovered from his injuries, and then his plans for a transition to civilian life became all about … Auburn, Auburn, Auburn.

“I applied to Auburn and felt like it was a good place to get a fresh start,” he said

Rauch studied psychology at Auburn University, with the intention of working in veteran services or military intelligence. He then worked for a time as an intelligence analyst and then began working in veterans’ services, helping his brothers and sisters in arms receive the benefits they were promised.

He’s running on a platform strengthening communities.

Rauch has a firm conviction that a community’s representative ought to be more present in the community itself, something he said he hasn’t seen much at the 75 city and county commission meetings he has attended over the last few years.

“I realized that there was no one there who was representing us in Montgomery to take those voices and those issue and those problems to Montgomery,” he said.

Rauch has put improving jobs and education among his platform principles.

He is a stanch supporter of the community college system, of which both he and his wife are products.

“It’s a good and affordable way to get your education and to get experience in college without jumping into a four-year university,” he said.

Rauch also supports expanding broadband access to rural areas. He said it is critical to the development of rural areas that have little internet and cell service.

“You’re not able to do your banking,” he said. “Some of these people aren’t even able to have home security systems because some of that works off of cell service.”

With the campaign motto, “Community. Country. Service,” Rauch said he wants to work to improve life for his constituents, and by extension, the rest of the state and country.

“Focusing on the community creates better environment for the kids, inspires better leaders, and provides better community for our state, and provides a better state for our country,” he said.

The GOP primary is June 5.

(Image: Todd Rauch for Alabama/Facebook)

The conservative alternative to Martha Roby gains momentum as Terry Everett, lawmakers endorse Barry Moore

State Rep. Barry Moore’s campaign for Congress recently received strong endorsements from the district’s former congressman and a dozen of Alabama’s most conservative state lawmakers.

“Since I left Congress, government has grown, our representation has wavered, and District 2 values have been casted aside,” said former Republican Congressman Terry Everett, who represented the district from 1993-2009. “We need to make a change, and I am privileged to support Representative Barry Moore for Congress.”

Everett’s powerful endorsement comes days after 12 of the state’s most conservative lawmakers gathered in Montgomery to endorse Barry Moore, whose conservative record they witnessed firsthand while working alongside him in the State Legislature.

Wetumpka State Rep. Mike Holmes told reporters that the district has “an opportunity to send a strong, unapologetic conservative to Washington,” and Montgomery State Rep. Dimitri Polizos agreed, saying that Moore is a “proven conservative leader” who will “stand with President Trump and give our district the representation it deserves.”

Visit Barry Moore’s website, his Facebook page and @RepBarryMoore on Twitter to learn why Terry Everett and others believe in his vision to Make Alabama Great Again!

(Paid for by Barry Moore for Congress)