The Instigator
dumbocrat
Pro (for)
Tied
0 Points
The Contender
BoulderBull
Con (against)
Tied
0 Points

Should the U.S.A. raise taxes on imports?

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Voting Style: Open Point System: 7 Point
Started: 12/6/2015 Category: Economics
Updated: 1 year ago Status: Post Voting Period
Viewed: 1,537 times Debate No: 83531
Debate Rounds (5)
Comments (3)
Votes (0)

 

dumbocrat

Pro

We have a national debt problem owed to other countries that is growing every minute. If the US would just put a penalty on raising the debt it wouldn't be a problem. It would most likely reduce imports therefor be giving jobs to US citizens, reducing transportation costs, reducing transportation emissions and make more US manufactured products. Without doing so we are sitting ducks waiting to go into poverty.
BoulderBull

Con

Import taxes, otherwise known as tariffs, are generally used as a tool to maintain control over domestic prices in response to foreign expansions or comparative advantage in an industry that leaves domestic businesses exposed. There are very few scenarios when lifting tariffs is the best policy, or even positive, and this is certainly not one of those instances. The pro side must demonstrate precisely which imports will be taxed, at what rate, for what period of time, and for what benefit, otherwise we are left to assume that this is a general tariff on all imports. The USA relies on international trade to sustain economic growth and prosperity, and raising taxes will only raise prices for domestic consumers, making consumption less appealing at home while doing nothing to improve economic position. Producers will make less, consumers will spend more, and we have no idea where the collected funds will go. Unless pro can give exact details for how the tariff will work, we have to side with the historical failure of tariffs to improve economic conditions and go con.
Debate Round No. 1
dumbocrat

Pro

The reason is to reduce imports all together and reduce debt by doing so. Tarriffs should be imposed on all imports until our national debt is half our GDP(Gross Domestic Product).That way our country will be producing half of its products in the US and therefor making durable goods along with US jobs. Since there would be higher taxes, hopefully enough to make the products roughly the same price, it would make the US made goods be a better option because US products are known to be durable.
BoulderBull

Con

BoulderBull forfeited this round.
Debate Round No. 2
dumbocrat

Pro

At a rate of 25% would be my recommendation for a tariff on all imports. That is about the price difference between an American laptop and an imported one. The number one import of America is electronic devices. That way it would be adjusted to penalize the main source of this job destroying exploit of slave labor in other countries. The fund would go to repayment of the national debt.
In the past our US government got a lot of its income from tariffs. Now the US heavily relies upon income taxes. The tax would be paid by US companies for every dollar of profit. In order to compansate for heavy taxes the income tax could be lifted. I have changed my mind from ealier in the debate. When I said that the tariffs would be raised until the national debt was half the GDP I was being illogical. A better idea would be to decrease the tariffs to 10% on all imports once the USA has half its GDP from American made products and the trade deficit isn't happening.
Tariffs may have caused the US in colonial times to break off from Britain but the main reason was too heavy taxes. What is a larger tax? About 30% average income tax that is forced or an avoidable 25% tariff tax? The tariff tax is avoidable because you don't have to buy the imported products. The income tax isn't unless you apparently have an unfair disadvantage by being poor but that's another debate.
Every man is created equal. That means that US manufacturing companies should have a fair chance over slaves that are in another country working in sweatshops. That means US citizens shouldn't have a hard time finding a job because some poor person in another country is inslaved. That means US citizens shouldn't be loosing jobs and money to an exploit.
BoulderBull

Con

Electronic equipment is actually the third largest import in the US, behind oil and industrial equipment.
http://www.worldstopexports.com...

Introducing a 25% tariff is insane. For any foreign products with a price difference of less than 25%, we may as well ban that product from being sold outright. But think about how much prices will rise in the US if taxes on every imported good go up. Every single electronic device is now 25% more expensive, because even American manufacturers outsource production or purchase parts from foreign businesses. Oil prices will explode - most oil used in the US is imported, and since we're now taxing it at an increased 25% (despite it already being taxed heavily), nobody will buy foreign oil and we'll exhaust domestic supply.

A tariff this big would break the economy. Prices on foreign goods would obviously go up, but American firms would have less motivation to keep prices low or innovate, since they can raise their prices by 24% and still be cheaper than imports. Now every American has to pay more for everything they buy, but that extra money isn't going to increased income, it's going to the government to pay off the debt. Except now the government has to spend significantly more to subsidize domestic production to counter the effects of the tariff, and many more Americans will need government assistance to afford higher priced goods in literally every industry. These costs, at a national level, will far surpass the 25% tariff income to the point that debt will actually increase, all while America is being made worse off.

Finally, we can expect other countries would reciprocate. If tariffs are raised on the huge number of imports the US takes in, those countries will have to defend their own businesses and industries by taxing American goods entering their countries. Beyond that, the global financial institutions that the US is involved with - mainly the World Bank and IMF - would sanction the US for this devastating tax.
Debate Round No. 3
dumbocrat

Pro

dumbocrat forfeited this round.
BoulderBull

Con

Extend my arguments from the previous round.
Debate Round No. 4
dumbocrat

Pro

dumbocrat forfeited this round.
BoulderBull

Con

BoulderBull forfeited this round.
Debate Round No. 5
3 comments have been posted on this debate. Showing 1 through 3 records.
Posted by Themeaman909 1 year ago
Themeaman909
If it says "made in China" DONT BUY IT!
Posted by tashtash 1 year ago
tashtash
hi
Posted by tashtash 1 year ago
tashtash
hi
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