“Mexico has taken advantage of the U.S. for long enough”
Jan 28, 2017 By Dr. Ileana Johnson Paugh
President Trump proposed a 20 percent tariff on imports from Mexico in order to pay for the wall he plans to build on the southern border. It is assumed that the 20 percent tariff is a negotiating starting point. A tariff is a tax on imports which will make a product more expensive and favor domestically produced goods over imports, while raising revenue for the government of our country.
Tariffs were a major government revenue source during the eighteenth and nineteenth centuries but today we are a low tariff country, with a few exceptions. Other countries protect their domestic industries by charging heavy tariffs and some as much as 100 percent.
“a 3% transit tax over three years would pay for a wall.”
A tariff helps those companies and countries that can supply goods most cheaply, presumably because they are more efficient, but some governments provide their companies with export subsidies in order to allow them to reduce the selling price of their goods on foreign markets.
Dan Lombard argued that “a 3% transit tax over three years would pay for a wall.” Infuriated by the economically illiterate commentators who claim that the tariff would be passed on entirely to the consumer, Lombard said that a $700 washing machine crosses the border with a price tag of $400, but time transit charges, warehousing expenses, sales commissions, overhead markup, and profit are added onto the $400 price, pricing the washer at $700 but the tariff is applied onto the $400 price tag. Customers will pay a certain amount more for that brand produced in Mexico but the company that makes the washing machine “will absorb the cost as the price of doing business.”
According to government trade data, Mexico exported $295 billion worth of goods to the U.S. in 2015: autos (74 billion), electrical machinery (63 billion), machinery (49 billion), agricultural products (21 billion), fuels (14 billion), plastics (17 billion), optical and medical instruments (12 billion). In the agricultural products category Mexico exported to the U.S. corn, soybeans, dairy products, pork and pork products, beef and beef products.
Trump: “Mexico has taken advantage of the U.S. for long enough”
On January 27, 2017, President Trump tweeted that “Mexico has taken advantage of the U.S. for long enough. Massive trade deficits and little help on the very weak border must change, NOW!”
A trade deficit with Mexico is the excess of our imports over exports. U.S. goods trade deficit with Mexico was $58 billion in 2015 and U.S. services trade surplus with Mexico in 2015 was $9.2 billion. Mexico was the third largest supplier of goods to the U.S. in 2014 and supplied services in transportation, travel, and intellectual property (software).
U.S. foreign investment in Mexico totaled $107.8 billion in 2014 by nonbank holding companies, manufacturing, and finance/insurance.
Texas Congressman Louis Gohmert told Fox News that billions of dollars had been appropriated for a virtual wall on the southern border during the Bush administration but Janet Napolitano disregarded Congress and “we let her get away with disobeying the law.”
According to the Daily Caller, “The transition team is planning big spending negotiations with Congress, which will include money for the wall.” President Trump “plans to make Mexico pay for the wall directly or indirectly by increasing fees on visas and border crossing cards, enforcing trade tariffs and taxing money transfers abroad.” The pre-cast concrete wall will be 35-50 feet tall, costing an estimated $8-$12 billion. Of the 2,000 mile border with Mexico, 650 miles are already fenced and illegals have no problem climbing the existing barrier.
It is obvious to any traveler that Mexico must repair their own country and must stop using the United States as their social security blanket at the expense of American taxpayers. Drug cartels operate across the border back and forth unimpeded, and illegals send home billions of dollars of untaxed money to Mexico.
Tax should be levied on money wired to Mexico via Western Union, Money Gram
As many have suggested, a tax should be levied on money wired to Mexico via Western Union, Money Gram, etc. On the average, money wires are only charged a service fee of $10.99 to transfer a few hundred dollars.
Most illegals, who do work hard and long hours, request to be paid in cash which means that they evade paying state and federal income taxes, Social Security taxes, etc. At the same time, they benefit from our free medical care and other forms of welfare. As they consume goods and services in this country, they do pay sales taxes.
Some Illegals pay tax via ITIN (Individual Taxpayer Identification Number) also known as W7. The earned income tax credit they receive based on reported income on W7 is far greater than the actual state and federal taxes they pay. Some even claim children who are not even theirs or do not reside in the United States. Tax refunds amount to $4.2 billion according to a 2011 audit by the Treasury Inspector General for Tax Administration.
Let’s assume that the 11 million illegal aliens that apparently have not grown in numbers in 20 years since the MSM has championed their cause, send home south of the border $1,000 per month, a sum total of one billion untaxed income earned while illegally in the U.S., a cool $12 billion a year. Some may send less, some may send more. To save money, several illegals rent one apartment and use one common van as transportation. The money sent to Mexico support their families left behind for years and helps them save for building a nice home.
Michael Savage made the argument on his radio show that you cannot and should not deport law-abiding illegals (although when they cross the border of another country illegally, technically they are not law-abiding), that only criminal illegal aliens should be deported. Quoting data from the Government Accountability Office, 25 percent of the prison population is made up of illegal aliens and “criminal illegal aliens are arrested on the average 7 times.”
One of the reasons Savage cited for not deporting “law-abiding” illegals was that many work diligently and very hard in construction and in restaurants.
“Who is going to wash the dishes,” he asked rhetorically. “And who is going to pick the crops? You?” This argument is weak as humans no longer need to pick crops, there are machines that can pick any kind of crop – back-breaking manual labor is no longer necessary.
The assumption is also made that millions of low-skilled Americans who are unemployed are either too educated for the job, lazy, or are unwilling to work in the restaurant business or construction industry.
But, for every illegal alien who is gainfully employed, if they are not here alone, he has a wife and children at home who are dependent on Medicaid and some or all of the thirteen U.S. Welfare Programs, costing American taxpayers plenty. And anchor babies make their parents eligible to stay in the U.S. and eventually the extended family.
- Negative income Tax (Earned Income Tax Credit or EITC, and the Child Tax Credit)
- SNAP (food program, formerly food stamps, but is now a debit card which is often abused)
- Housing assistance
- SSI (cash to low-income individuals)
- Pell Grants (up to $5,500 in grants to students from low-income households)
- TANF (cash for individuals moving from welfare to work)
- Child nutrition
- Head Start (pre-school program to low-income families)
- Job training programs
- WIC (healthy food to pregnant women and children up to five years of age)
- Child care (block grants to states and private agencies who administer child care programs to low-income families)
- LIHEAP (Low Income Home Energy Assistance Program for heating and cooling)
- Lifeline (Obama Phone) – discounted phone service to low-income individuals.
Savage argued that Americans must tread lightly in withdrawing these benefits to Mexicans as it would destabilize their economy and would create a vacuum of financial support of the population, leaving it open perhaps to a country like China to become the Big Brother provider which might not be in the best interest of the United States.
Even though Democrats and their leftist cohorts are lobbying against the southern border wall, and shrieking that it cannot be built, that it is inhumane, that it is being escalated anyway, that it would take a long time to build, and states like Texas, California, and New Mexico are rightfully Mexico’s anyway, they build tall security armed fences around their mansions and properties. The wall worked for China and it works for Israel. A former Mexican president even went as far as saying that Mexico is wherever there are Mexicans. However, if anyone crosses their borders illegally, they go straight to jail.
A border wall is vital for the security and economic prosperity of the United States
THE GREAT WALL OF TRUMP
Jan 27, 2017 By Jeff Crouere
During his unconventional race for the White House, President Donald Trump made many campaign promises to the voters. In his dozens of rallies and interviews, Trump often pledged that he would “Drain the Swamp” in Washington D.C. and implement “Extreme Vetting” of refugees trying to immigrate into the United States and, of course, pursue his overall campaign theme to “Make America Great Again” as President.
While these pledges were popular with his supporters, one stood above the rest, “Build the Wall” along the southern border of the United States with Mexico. This slogan really energized Trump crowds throughout the country and for good reason. For years, Americans have heard presidential candidates pledge to “secure the border,” but it was never backed up with concrete action.
Finally, in Donald Trump, the United States has a President who is following through on his campaign promises. On Wednesday, Trump signed an executive order authorizing the construction of the border wall. He also reiterated his vow to make Mexico pay for the wall. This stance led the Mexican President Enrique Pena Nieto to cancel his planned visit to the White House next week.
Trump’s order is the most robust border security measure since the “Secure Fence Act” of 2006 was passed by Congress and signed by then President George W. Bush. Unfortunately, the funding was never allocated to finish the 700 miles of double fencing mandated in the law. In fact, only 36.3 miles of double fencing was constructed with the remaining areas secured by inadequate measures such as single fencing and vehicle barriers.
For decades, our southern border has remained basically wide open, enticing millions of illegal aliens to enter the United States and join the workforce while receiving tangible benefits provided by American taxpayers. Ironically, many of these taxpayers have been displaced from their jobs by illegal aliens who work for a lower salary, but receive tax free government assistance.
While most illegal aliens come to the United States to take advantage of better work opportunities, a significant portion are lured to this county to commit crimes. Per a Fox News survey, 13.6 percent of criminals who receive a sentence are illegal aliens, although they constitute only 3.5 percent of the U.S. population. President Trump frequently highlights the families of victims who have been killed by illegal aliens. This tragedy is made much worse by law enforcement officials in sanctuary cities that refuse to turn over criminals who are illegal aliens to federal immigration agents. Sadly, too many innocent people have been killed because of a reluctance of our local government officials to follow the law.
On Wednesday, Trump not only ordered “the immediate construction of a physical wall on the southern border,” but he also vowed to withhold funding for sanctuary cities. On Friday, Trump signed additional executive orders to tighten restrictions on refugees trying to enter the United States. In addition, the issuance of visas will be suspended for citizens of seven majority Muslim nations, including Libya and Syria, that are tied to terrorism.
Trump also announced plans to hire 5,000 more border patrol agents, triple the number of U.S. Immigration and Customs Enforcement agents and end the “catch and release” policies for illegal immigrants.
In total, these actions are important to the millions of Americans who have been demanding action for many years. For the skeptics, it will only become reality when the wall construction begins. Regarding the wall, the United States will pay for the construction initially and use our leverage to force Mexico to reimburse us for the cost, estimated at between $12 and $15 billion.
One idea that was proposed this week is for the United States to institute a 20% border tax on Mexican imports; however, there are plenty of other potential funding mechanisms.
Along with the many economic and crime fighting benefits that will result from a secure border, there will also be enhanced homeland security against the threat of terrorism. A wide-open border is an invitation for enemies of the United States to launch terror attacks within our borders.
For these reasons and more, a border wall is vital for the security and economic prosperity of the United States. Congratulations to President Trump for taking a key first step to fulfill his campaign promise while keeping the pressure on Mexico to take responsibility for the crisis at the border. As the President tweeted on Friday, “Mexico has taken advantage of the US for long enough.”
Thank goodness, real change is finally here and not a moment too soon.
A blanket “immigration ban”? No, it is not. That is a fake news headline.
Even so-called conservative websites groveling for clicks are making more out of President Trump’s action to fully vet foreigners’ intentions upon U.S. entrance than it obviously is.
Trump is doing what the majority recognized was necessary to secure our borders. Voters asked for it, he promised it, and thus he was elected. Now he’s doing it.
This isn’t inhumane. It’s exercising common-sense compassion to keep human beings safe. It’s about fully vetting foreigners and merely following the laws the people–through our representative form of government within our republic–agreed upon.
The misinformed are ballistically knee-jerking because they aren’t used to candidates fulfilling campaign promises. Perhaps it’s shocking because we’re used to swamp dwellers murkying up the waters once typical politicians get elected, but that’s exactly why a typical politician wasn’t elected. The status quo has got to go.
Many of us have demanded we regroup and get a handle on security issues. What next preventable tragedy must happen before we finally do so?
Trump’s executive action is a step in the right direction towards welcoming safe, loving, law-abiding, hardworking, patriotic people into our nation that was built on the backs of safe, loving, law-abiding, hardworking, patriotic people willing to assimilate into America’s exceptional melting pot.
While Europe’s socialist leaders predictably denounced President Trump’s recent temporary ban on new refugees from a list of countries, rising populist leaders praised him as a model for what Europe should be doing.
Dutch populist Geert Wilders said in a tweet: “Well done @POTUS it’s the only way to stay safe + free. I would do the same. Hope you’ll add more Islamic countries like Saudi Arabia soon.”
Wilders, whose Party for Freedom is polling strongly before the country’s March 15 election, later tweeted: “No more immigration from any Islamic country is exactly what we need. Also in The Netherlands. For Islam and freedom are incompatible.”
Wilders also noted what he called the “#hypocrisy” of leftist critics of the ban, noting that in 16 Muslim-dominated countries, a person may not enter the country on an Israeli passport and yet no one on the Left protested.
The leader of Italy’s Northern League, Roberto Maroni, simply tweeted a photo of the news of the ban in the Italian press, along with his summation of the situation: “Super Trump,” while calling the U.S. President “Numero Uno” (Number One) in a separate tweet on the same topic.
Matteo Salvini, General Secretary of the same party and a long-time Trump supporter, tweeted in English, citing Trump’s move as a good idea for Europe.
Marine Le Pen, the leader of France’s National Front Party and current favorite in an upcoming presidential election, said that what really annoys the media and politicians is that Trump honors his campaign promises and implements his program
Meanwhile, the National Democratic Party in Germany, which has been extremely critical of Prime Minister Angela Merkel’s open-door policy toward migration, lauded the measure.
“The apostles of multiculturalism weep bitterly because U.S. President Donald Trump heavily restricts the entry of pseudo-refugees and Muslims into the USA,” they said on their Facebook page.
“For the first time ever one can say from a nationalist perspective: keep going, USA,” the party added.
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Sunday on ABC’s “This Week,” while discussing President Donald Trump executive order halting immigration from seven Muslim-majority countries to the United States, Senate Majority Leader Mitch McConnell (R-KY) said, “the extent they’re trying to improve the vetting process, I think that’s in order.”
“We need to bear in mind that we don’t have religious tests in this country and we also need to remember that some of our best allies in the war against Islamic terrorism are Muslims,” he added.
Partial transcript as follows:
RADDATZ: Do you support president Trump’s temporary immigration ban from these predominantly Muslim countries.
SEN. MITCH MCCONNELL (R-KY), MAJORITY LEADER: Well, I think it’s a good idea to tighten the vetting process. But I also think it’s important to remember that some of our best sources in the war against radical Islamic terrorism are Muslims, both in this country and overseas. And we have had some difficulty in the past getting interpreters as you suggested in the earlier segment who are helpful to us treated properly. So we need to be careful as we do this. Improving vetting, something…
RADDATZ: And yet right now they’re being detained so — do you support this or not support this.
MCCONNELL: It’s hopefully going to be decided in the courts as to whether or not this has gone too far. I don’t want to criticize them for improving vetting. I think we need to be careful. We don’t have religious tests in this country.
RADDATZ: In the past, you’ve called the Muslim ban completely and totally inconsistent with American values. The president says this is not an outright Muslim ban, even if this is temporary, how is this order consistent with American values?
MCCONNELL: Well, if they’re looking to tighten the vetting process, I mean who would be against that? But I am opposed to a religious tests. The courts are going to determine whether this is too broad.
RADDATZ: So it sounds to me like you are opposed to certain parts of this. If we’re detaining or holding back people who have helped Americans in the fight.
MCCONNELL: Well, obviously I’m against that.
RADDATZ: A religious test then you’re opposed to certain parts of this.
MCCONNELL: Look, the president has a lot of latitude to try to secure the country. And I’m not going to make a blanket criticism of this effort. However, I think it’s important to remember, as I said, a lot of Muslims are our best sources in the war against terror.
RADDATZ: So, do you think this will have blowback in the world? I mean, are you sensing that already? You’ve seen the reactions.
MCCONNELL: Yeah, well, we’ll see. And it’s important, however, to emphasize it’s important to keep America as secure as possible and we’ll see how it plays out.
RADDATZ: Just tell me again how you would summarize what happened with this executive order.
MCCONNELL: How I would summarize.
RADDATZ: Yes, how would you — what would you say about it? Others are saying it’s devastating, others are saying it’s un-American.
MCCONNELL: Well, I’m not saying either of those things, I’m saying what I just said a few minutes ago, which is to the extent they’re trying to improve the vetting process, I think that’s in order. We need to bear in mind that we don’t have religious tests in this country and we also need to remember that some of our best allies in the war against Islamic terrorism are Muslims.
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Kellyanne Conway Defends Trump’s Position on Refugee Ban, Mexico, and Media