Wednesday, July 25, 2018

Trump gives $12 billion in relief for his own trade policies

So, Donald Trump is going to offer American farmers $12 billion in agricultural relief aid, to reimburse them for losses incurred due to retaliatory tariffs imposed on the US as a result of Trump's own unilateral tariffs. Duh!
Apparently, financing for the relief package will be handled through the USDA's Commodity Credit Corporation, and will therefore not require congressional approval. Which is just as well for Trump, because politicians of all political stripes are making no bones about their disgust with the way the trade file is being handled. "We have to do it", says Trump, meaning that he has to keep happy the farm states that voted him in, states like Kansas, Illinois and Iowa.
Democrats have been predictably vocal in their condemnation. But so have some Republicans: Senator Ben Sasse of Nebraska opined, "This trade war is cutting the legs out from under farmers and the White House's 'plan' is to spend $12m on gold crutches", and Senator Rand Paul of Kentucky tweeted, "Tariffs are taxes that hurt American consumers and producers. If tariffs punish farmers, the answer is not welfare for farmers - the answer is remove the tariffs".
Ouch! With friends like that...

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