Originally Posted by
handofthrawn
I will explain how a 20% tariffs will help middle America and America. Let's use T-shirts as a example. Factory in Mexico employees 1000 people cost 7 dollars to produce the shirt and 3 dollars to ship each shirt. They sell this shirt for 14 dollars. Where there competition made in America produces and ships the same shirt for 11 dollars a shirt. Sells each shirt for 15 dollars. Well in this case Mexico plant wins, but add a 20% tariff. You end up Mexico 16.80$ while American brand is 15.00$. Mexico plant goes under and American plant doubles in size from 1k employees to 2k employees. Now for every manufacturering job in the USA it actually creates service related jobs. Such as nurses, waitresses or mechanics to name a few. So that 1k job creation actually creates anywhere from 500 to 2k service jobs. It's pretty simple honestly and is common sense. :)