Warren Buffett co-authored a concept that was the basis of Senators Dorgan and Feingolds 2006 bill to significantly reduce USAs trade deficit of goods. Trade deficits detriment to the GDP greatly exceeds the amount of the deficit itself. Whats detrimental to the GDP is also generally detrimental to the median wage.
I urge browsing the paragraph sub-titles within the web site
of " USA-Trade-Deficit.Blogspot.Com "
and reading those titled paragraphs that catch your interest.
Excerpted from the refered to World Wide Web (site).
*** Warren Buffetts concept to significantly decrease USAs global trade deficit of goods.
Exporters would be issued TRANSFERABLE IMPORT CERTIFICATES for that assessed value of their goods leaving the USA. Importers would be required to surrender IMPORT Certificates for the assessed value of their goods entering the USA. Surrendered certificates are cancelled.
The 2006 draft did not reach a senate floor vote. Many of us regret the draft was not self-funding. We prefer that goods leaving the USA be assessed and certificates issued only for exporter that choose to pay fees covering all government expenses due to this trade act. The open market value of transferable import certificates would sufficiently motivate exporters. ......
................ We also regret that assessments would not be adjusted to exclude the value of specifically listed scarce or precious minerals integral to the goods being assessed. We should discourage the export of cast gold paper weights encrusted with gems in order to facilitate importing high-tech or labor intensive goods. [This should be a deal buster. The absence of such an exclusion would undermine, (if not completely evade) the acts purpose]. The 2006 draft did completely exclude assessment of gas and petroleum products within the five years duration after the acts initial enactment. .
*** Conclusions.
Buffetts concept is a restriction upon pure free trade but it is certainly pure free enterprise. The market (rather than government) driven proposal grants government no policy discretion and would certainly decrease USAs trade deficit.
It's advantageous to any domestic producer competing with foreign goods within or beyond our borders. It would also induce the aggregate sum of our imports plus exports to increase.
All of this would significantly increase our GDP which in turn induces increasing median wage. Unlike temporary trillion dollar economic stimulus, this will not increase present and future debts or taxes.
I'm aware of no existing or proposed trade policy that would accomplish all of this with no net government expense, less government intervention and less increased prices of imported goods.
Respectfully, Supposn
I urge browsing the paragraph sub-titles within the web site
of " USA-Trade-Deficit.Blogspot.Com "
and reading those titled paragraphs that catch your interest.
Excerpted from the refered to World Wide Web (site).
*** Warren Buffetts concept to significantly decrease USAs global trade deficit of goods.
Exporters would be issued TRANSFERABLE IMPORT CERTIFICATES for that assessed value of their goods leaving the USA. Importers would be required to surrender IMPORT Certificates for the assessed value of their goods entering the USA. Surrendered certificates are cancelled.
The 2006 draft did not reach a senate floor vote. Many of us regret the draft was not self-funding. We prefer that goods leaving the USA be assessed and certificates issued only for exporter that choose to pay fees covering all government expenses due to this trade act. The open market value of transferable import certificates would sufficiently motivate exporters. ......
................ We also regret that assessments would not be adjusted to exclude the value of specifically listed scarce or precious minerals integral to the goods being assessed. We should discourage the export of cast gold paper weights encrusted with gems in order to facilitate importing high-tech or labor intensive goods. [This should be a deal buster. The absence of such an exclusion would undermine, (if not completely evade) the acts purpose]. The 2006 draft did completely exclude assessment of gas and petroleum products within the five years duration after the acts initial enactment. .
*** Conclusions.
Buffetts concept is a restriction upon pure free trade but it is certainly pure free enterprise. The market (rather than government) driven proposal grants government no policy discretion and would certainly decrease USAs trade deficit.
It's advantageous to any domestic producer competing with foreign goods within or beyond our borders. It would also induce the aggregate sum of our imports plus exports to increase.
All of this would significantly increase our GDP which in turn induces increasing median wage. Unlike temporary trillion dollar economic stimulus, this will not increase present and future debts or taxes.
I'm aware of no existing or proposed trade policy that would accomplish all of this with no net government expense, less government intervention and less increased prices of imported goods.
Respectfully, Supposn