The penalty of tariffs is on American consumers: Ron Paul

Channel: Fox Business
Published: 05/06/2019

Description
Former Rep. Ron Paul, R-Texas, on the Trump administration's handling of U.S. trade tensions with China. FOX Business Network (FBN) is a financial news channel delivering real-time information across all platforms that impact both Main Street and Wall Street. Headquartered in New York — the bus...



Transcript
Back to my editorial top of the hour hardline trump backing, president xi jingping into a corner, at least that's my opinion, come on in ron, paul, former texas, congressman and libertarian. So welcome back to the program. It'S great to see you again ron. Thank you, nice to be with you today. What does a libertarian think about a tariffs and be present trump's hard stand. Well, first, we don't lik ...
tariffs, they weren't intended in the free market. Of course the constitution's allows. You know tariffs for raising revenues, but not for fighting trade war, so i would say the trade war that's been going on has a lot to do with all the countries, but i don'tthink the policies of the president in these last couple years has been very good For the economy, it's interesting to me that over the years, hardly any economist would say: oh we like tariffs, but all of a sudden. Now everybody is sort of what do we do now? How do we manage this mess, but i, from my perspective, if you want to straighten things out with china - and you want more free trade with china, you're gon na have some leverage and the only leverage we've really got that i can think of. Is tariffs what's wrong with tariffs as leverage? What you want to do is compete with more free markets. They made an advancement in theselast decade or so with a freer market compared to communism and they're eating our lunch, because they're so hate to interrupt you because you're a great guy, but you know they are stealing our stuff left right and center. You got ta.

Stop that and yeah - and i know we're angels, so we never do anything like that, but the whole thing is stewart. The point is that tariffs, even though your intentions are good and you make a point, but the penalty is put on the american consumer, everybody saying we're gon na punish china, but we don't punish the chinese chinese. We punish ourselves because we, americans consumers, pay the tariffs. So raise taxes, they romania, they rely onamerica. If we don't import hundreds of billions of dollars worth of their stuff. They'Ve got a problem and they've got a problem now because we're not importing as much as we used to. We are exercising legitimate leverage to open them off. Well, i think that's what happens in a free-market you, you do it, but we don't have a free market. You know we have a financial system based on a federal reserve system which is atrocious and there's so much protectionism. The heads going on stewart. The way i see this is, we have 50 states and what we're looking at when we argue about tariffs and all these trade at barriers. This is like saying, wellthere's imbalances between and among our 50 states that we want balanced trade and and balanced exchanges between and among all our states.

It would be insane, but this is what we're doing with the countries of the world. We do better without the tariffs. So you say: well, they will have the advantage, but no most of the time when things got started. I started looking at this. You know back when the american automobile was trashed, so we they wanted protection. Well, why protect us? If they're, we have a problem. We can't compete. Why protect them, for it you're doing more harm than good. You say: well, we can't compete with so-and-so. Well, i don't think there'san advantage, but if somebody stealing something that's a completely different issue.


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