Courtesy of Mish.
Nearly every week I receive emails from readers asking me to explain my stance against tariffs. The typical claim I hear is that we need tariffs to preserve jobs.
I respond that tariffs don’t protect jobs, they cost jobs. Take steel for example.
Yes, tariffs will save a few hundred or a few thousand steel manufacturing jobs.
But at what cost?
US car manufacturers have to pay more for steel as do US manufacturers of any product that contains steel. And consumers have to pay more.
That’s money consumers would otherwise spend elsewhere but cannot.
Get Me the Hell Out of Here
I recently spoke of manufacturing leaving Chicago. Indeed, six corporations fled in July, and another business did so in August. I mentioned the companies in my August 13 post Get Me the Hell Out of Here.
One of the companies that fled Illinois was Mondelez International, maker of Oreo Cookies. Back in May, WGN noted Oreos Maker to Decide between Chicago, Mexico for New Investment.
Chicago is competing with Mexico to land a plant that makes Oreos and Chips Ahoy cookies.
Mondelez International Plans to invest $130 million to put up four new manufacturing lines that would make Nabisco cookies and crackers.
The company is starting talks with its labor unions here in Chicago and says it will base its decision on a variety of factors….
