It has always been clear that Fox News pundit Chris Wallace is a defender of all swamp activity based on his social network within the same cocktail circuit; however, today he completely dropped all pretense and launched a full propaganda effort on behalf of Wall Street, Multinational Corporations and the Global Financial Community.
White House Trade and Manufacturing Advisor Peter Navarro appears on Fox News and Wallace literally takes the talking points of Goldman Sachs Asian Investment Division, complete with graphics, and attempts to argue -despite empirical evidence to the contrary- that tariffs have made consumer prices rise. This segment is just ridiculous:
To retain their export position -and offset the tariffs- China and the EU have devalued their currency; and China is directly subsiding their manufacturers. A lower ¥uan, and a lower €uro make the value of the dollar rise. That means it takes less dollars to import Chinese and European goods. That means prices do not rise. That’s just a fact.
Additionally, the graphic made by Fox News to push their propaganda is literally from Goldman Sachs, Asian Investment Division. Look:
Also notice how they use 103% index to make it appear a big number. Ridiculous. It’s 3 percent… which entirely proves the point being made by Navarro and President Trump. The 25% tariffs have been in place for over a year. The Steel and Aluminum tariffs are almost two years old…. and yet the cumulative effect of all that is 3% to consumers?
DUH !! That’s Navarro’s argument proved in Wallace’s stupid graphic.
Inflation is currently wiggling around 1.4 to 1.5 percent while the rest of the world tries to avoid higher prices to U.S. consumers because they don’t want to lose their market position in the most valuable economy, the USA.
Goldman Sachs, just like the rest of the Wall Street multinationals, have invested billions in overseas manufacturing while ignoring the impact to Main Street USA. Now they are fighting to keep the ‘rust belt’ rusty.
The IMF is now upgrading their forecast of U.S. economic growth; and admitting -in essence- that President Trump’s America-First agenda is relocating global wealth back to the primary host nation known as the U.S.A. The increase in their forecast isn’t a small increase, it is essentially adding .3 percent (from 2.3% to 2.6%) or $60 billion more.
The U.S. economy was the host for around 50 years of parasitic wealth exfiltration, or as most would say “distribution”. [Note I use the term *exfiltration* because it better highlights that American citizens paid higher prices for stuff, and paid higher taxes within the overall economic scheme, than was needed.]
President Trump is the first and only president who said: “enough”, and prior politicians who didn’t stop the process were “stupid” etc. etc. Obviously, he is 100% correct.
For the past 30 years the U.S. was a sucker to keep letting the process remain in place while we lost our manufacturing base to overseas incentives. The investment process from Wall Street (removal of Glass-Stegal) only made the process much more severe and faster. Wall Street was now investing in companies whose best bet (higher profit return) was to pour money overseas. This process created the “Rust Belt”, and damn near destroyed the aggregate manufacturing industry.
Fast forward to 2017 through today, and President Trump is now engaged in a massive and multidimensional effort to re-balance the entire global wealth dynamic. By putting tariffs on foreign imports he has counterbalanced the never-ending Marshal Plan trade program and demanded renegotiation(s). Trump’s goal is reciprocity; however, the EU and Asia, specifically China, don’t want to give up a decades-long multi-generational advantage. This is part of the fight.
One could argue that China’s rise happened inside this period, and as a consequence they have no comprehension of an economic history without the institutional advantages. They’ve never competed with the U.S. under any terms of equivelence or fairness; they’ve only ever known the advantages. Combine that with the Chinese communist mindset and you get the extreme severity of their position.
So yeah, there’s going to be pain – for them; massive economic pain – as the process of reestablishing a fair trading system is rebuilt. This dynamic is the essence of reciprocity that benefits Main Street USA. Unfortunately, putting ‘America First’ is now also against the interests of the multinationals on Wall Street; so President Trump has to fight adverse economic opponents on multiple fronts…. and their purchased mercenary army we know as DC politicians.
No-one, ever, could take on all these interests. Think about it… The EU, Asia, World Bank, International Monetary Fund, China, Russia, U.S. Chamber of Commerce, Iran, U.S. Congress, Democrats, U.S. Senate, Wall Street, the Big Club, Lobbyists, Hollywood, Corporate Media (foreign and domestic), and the ankle-biters in Never Trump…. All of these financial interests are aligned against Main Street USA and against President Trump.