Earlier today, President Donald Trump tweeted:
“Today I am making good on my promise to defend our Farmers & Ranchers from unjustified trade retaliation by foreign nations. I have authorized Secretary Perdue to implement the 2nd round of Market Facilitation Payments. Our economy is stronger than ever–we stand with our Farmers!”
Just so we are clear:
Our economy is NOT stronger than ever.
President Trump is wrecking the restored economy President Barack Obama handed him.
And the retaliation from China is not unjustified.
America hit first, and hit hard. Only a fool like Trump would expect China to not hit back.
Trump imposed tariffs on Chinese goods.
China imposed tariffs on American crops.
Americans now pay more for Chinese imports as China passed along the cost of the tariffs to American consumers.
China also stopped purchasing American soybeans as the tariffs made them more expensive than imports from other non-tariff-affected nations.
To help the American farmers stave-off bankruptcy, President Trump gave the farmers $12 billion of American taxpayer money.
Maybe it is just me, but that sure sounds like the sort of socialism so many Republicans howl about?
But America has a budget deficit of nearly $1 trillion this fiscal year thank to the disastrous Trump/Republican tax cuts which stripped revenue from the Treasury to give to the richest 1% and to corporations and did NOTHING to stimulate economic growth.
Maybe it is just me, but that sure sounds like the sort of redistribution of wealth so many Republicans howl about?
But the joke, already on us and unfunny, gets worse.
Guess who purchases the T-bills and T-bonds America uses to fund that trillion dollar annual deficit?
That’s right, the Chinese.
Adding insult to injury, as Trump’s policies have made America a less reliable borrower, and have driven-up the exchange rate on the dollar, the interest rates the Treasury has to pay to make these bonds attractive just keeps going up.
When that rate goes up, inflation happens, so the Federal Reserve raises interest rates on our mortgages, auto loans, and credit cards.
America now pays more for imports.
America’s exports rot in silos because they are too expensive.
President Trump uses taxpayer-borrowed money to bail-out farmers.
President Trump and the Treasury, on behalf of American taxpayers, borrows the money from the Chinese.
Inflation saps American incomes.
Higher interest rates sap American incomes even more.
Eventually, federal and state programs taxpayers rely on get slashed as a larger share of the budget goes to debt service.
EVERY step of the way, America and Americans lose.
The world’s highest-limit credit card, backed by the full faith and credit of the American taxpayer, is in the hands of the worst businessman in the world.
It is in the hands of a guy so unskilled he bankrupted casinos and ran every business venture he touched into the ground.
It is in the hands of a guy who would be penniless and homeless if not for the money launderers at Deutsche Bank needing someone as a front to help launder all the illegally obtained money from Putin and his Russian oligarchs.
EVERY day President Donald Trump plunders America’s coffers. Sometimes for himself. Sometimes for his family. Sometimes for his friends and donors. Sometimes for Putin, or the Saudis, or for Israel.
Donald Trump bankrupted every business he touched.
And guess what?
He promised to run America like one of his businesses.
So guess what happens next?