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Debunking The "Smoot-Hawley Caused The Great Depression" Myth
Vanity | February 4, 2009 | UCFRoadWarrior

Posted on 02/04/2009 2:40:10 PM PST by UCFRoadWarrior

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To: Uncle Miltie

Nonsense...they buy their own cars and are not harmed...Hyundai is the only car company that made money in January. they have the strongest protection. They have the benefit of our market and their market...which leads to prosperity for their country...and bankruptcy for ours.


221 posted on 02/04/2009 7:29:48 PM PST by nyconse
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To: Uncle Miltie

It also forced Japan to build transplants auto plants in the South. This provided jobs to these states.


222 posted on 02/04/2009 7:31:22 PM PST by nyconse
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To: Uncle Miltie

It does not provide the wealth that manufacturing all products associated with your software would provide...you are on the retail end-lowest part in terms of wealth creation.


223 posted on 02/04/2009 7:33:10 PM PST by nyconse
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To: RC one
"importation of foreign labor has contributed greatly to the mess we find ourselves in"

I'm with you on that, brother.

Illegal immigration is purely the provision of mass quantities of low skill labor (supply) which reduces prices (wages)of that labor among existing (Legal American) workers. That's not Free Trade. That's Invasion.

The biggest violation of American Sovereignty, the American Worker, Crime Victims, Fiscal Policy and respect for the rule of law has been the bi-partisan sell-out to Illegal Immigration. Democrats do it for votes. Republicans do it for industry and vanity. Both are traitors.

224 posted on 02/04/2009 7:33:29 PM PST by Uncle Miltie (Congress declares a National Dividend in the amount of $9,000 per taxpayer instead of Porkulus.)
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To: aruanan

Lol! Busted.


225 posted on 02/04/2009 7:34:32 PM PST by Uncle Miltie (Congress declares a National Dividend in the amount of $9,000 per taxpayer instead of Porkulus.)
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To: Uncle Miltie

It’s all related...the global traders understood our country would pay a price for so called free trade so they hedged their bets.


226 posted on 02/04/2009 7:34:54 PM PST by nyconse
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To: listenhillary

It should be noted that in 1936, Roosevelt who believed in a balance budget attempted to do just that...the result was a recession...unemployment jumped in 1937.


227 posted on 02/04/2009 7:36:37 PM PST by nyconse
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To: Uncle Miltie

But you see the Chinese will eventually make the software as well or some other third world country will...this is the problem with trade as practiced today.


228 posted on 02/04/2009 7:37:54 PM PST by nyconse
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To: LowCountryJoe

Not all nations are our enemies...mostly I think China is our enemy and I would not help them at all...free trade is allowing them to do what Reagan did to the Soviet union...bankrupt us.


229 posted on 02/04/2009 7:39:05 PM PST by nyconse
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To: nyconse

Wealth could be generated in the USA by using our natural resources and adding value through processing the resource into a finished product.

The left has pretty much put the harvest of any natural resources off limits and killed most of the ability to add value with manufacturing. EPA, OSHA, and more alphabet names that I can recall stand ready to harass and harangue the entrepreneur. In addition we have the highest corporate tax rate of all of our trading partners except Japan.

So, what do you do now?


230 posted on 02/04/2009 7:39:08 PM PST by listenhillary (Rahm Emmanuel slip - A crisis is a terrible thing to waste.)
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To: LowCountryJoe
Apparently securing the Blessings of Liberty is only good as long as it's nationalistically approved by the resident champions of more Leviathan government -- the true patriots! [/barf]

Sounds like you want it both ways... that's, okay everyone wants a free lunch.

But think for a minute: What if our .gov had only an whiskey tax and custom duties (tariffs if you will) to support the whole dam thing.

You claim to want small government and less interference with your affairs?

Starve the beast, eliminate the IRS and go with taxes on imports!

231 posted on 02/04/2009 7:40:08 PM PST by investigateworld ( Abortion stops a beating heart)
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To: listenhillary
Where did you get your numbers, and why did you not select honestly representative samples? Have a look at some honesty and truth...or not. It's up to you and all other readers of this comment.

Rome was not destroyed in a day, so that better people could live. See the effects of the Smoot-Hawley Act on unemployment rates below, with the fact that other economics indicators also rose in 1934 and afterward (should be common knowledge, if it were not for so many purely dishonest and evil special interest journalists today).

Compensation from before World War I through the Great Depression

by Robert VanGiezen and Albert E. Schwenk
Bureau of Labor Statistics

John T. Dunlop and Walter Galenson, eds., Labor in the Twentieth Century (New York, Academic Press, 1978), p. 30.

Dunlop and Galenson, p. 27.

Year Unemployment rate

1923-29

3.3

1930

8.9

1931

15.9

1932

23.6

1933

24.9

1934

21.7

1935

20.1

1936

17.0

1937

14.3

1938

19.0

1939

17.2

1940

14.6

1941

9.9

1942

4.7



232 posted on 02/04/2009 7:40:12 PM PST by familyop (combat engineer (combat), National Guard, '89-'96, Duncan Hunter or no-vote, http://falconparty.com/)
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To: nyconse

I understand, but I’m waiting to hear who scored the big money permanently by raising prices after they dumped. I know the Japanese had low prices, high quality, and efficient production. But they did not put U.S. steel out of business by dumping and then subsequently raising the price. I think they kept prices low, because the Koreans, Russians, and others were right behind them.

“Dumping”, a.k.a. low prices by comparatively more efficient competitors, may well have put the U.S. steel industry out of business. We also don’t make textiles. There has been lots of dislocation as old textile and steel workers were put out of work. Understood.

But that does not conclude the argument in favor of protection, or prove that dumping actually occurred. All it does is prove that a more price competitive entity won. We lost. Get over it.

The only proof that dumping would work is if it was followed quickly by high prices, which were not able to be undone by the next dumper. I am still standing by for (and amenable changing my opinion based on) historic examples where dumping actually worked in the long run for the dumper.


233 posted on 02/04/2009 7:41:30 PM PST by Uncle Miltie (Congress declares a National Dividend in the amount of $9,000 per taxpayer instead of Porkulus.)
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To: nyconse

Post 233, ibid.


234 posted on 02/04/2009 7:42:28 PM PST by Uncle Miltie (Congress declares a National Dividend in the amount of $9,000 per taxpayer instead of Porkulus.)
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To: investigateworld
You let me know when those jobs come back. Michigan is probably the most anti-free trade state in the country so I'm sure they'll soon become a model of economic success that the rest of the country can emulate.

At least McCain could get into the Naval Academy. Can't say the same for his critics.

235 posted on 02/04/2009 7:42:59 PM PST by Mase (Save me from the people who would save me from myself!)
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To: org.whodat

The federal government doesn’t. The state does.


236 posted on 02/04/2009 7:45:12 PM PST by Big_Monkey
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To: nyconse
National debt is the first column after the date.

national debt

237 posted on 02/04/2009 7:45:27 PM PST by listenhillary (Rahm Emmanuel slip - A crisis is a terrible thing to waste.)
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To: RC one
"the rich got richer and the poor got poorer"

Most reviews of wages show the rich got rich, and the poor stayed the same. I'll stipulate two major exeptions to that:

1) Illegal immigration has been the biggest lever keeping wages of the poor low. See my rabid anti-illegal post above.

2) Adjusted for health care benefits received, my understanding is that the poor got richer too. The only problem is that all their earnings increases were eaten up by company run (non-competitive, non-economic, high cost) health care plans. If we had had a Free Market in Health Care, actual income gains probably would have occurred.

238 posted on 02/04/2009 7:45:51 PM PST by Uncle Miltie (Congress declares a National Dividend in the amount of $9,000 per taxpayer instead of Porkulus.)
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To: org.whodat

The federal government doesn’t. The state does.


239 posted on 02/04/2009 7:46:06 PM PST by Big_Monkey
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To: listenhillary

The industries lost in the last 20 years were lost because of dumping...garment, electronics,steel, auto etc. I agree regulation needs to be overhauled...We can and must do this if we are to restore American prosperity...as for taxes...large business do not pay the full rate...they have many deductions. Small business gets hurt with higher taxes and something needs to be done about that.Small business is very important but it will never be able to carry the economy on its own...bring back manufacturing. It will be provide a prosperity for our children and our grandchildren.


240 posted on 02/04/2009 7:46:36 PM PST by nyconse
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