NOVEMBER 13, 2007

“I seek the social ownership of property, the abolition of the propertied class and the sole control of those who produce wealth. Communism is the goal.” -- Roger Baldwin, founder of the ACLU
COMMENTARY:   A nation that taxes its exports is doing nothing more than attempting to get the people of other nations to pay for the operations of its own government, but it does so at the expense of making its products more expensive in the international marketplace.  That's why some nations take the step of removing all taxes from the products they export.

In the US we tax things at all stages of a products manufacturing.  That means that from step to step the percentage of the price passed along that is due to taxes gets larger and larger.  Some years ago I read somewhere that in an automobile sitting on the showroom floor at a US car dealer the amount of the sticker price that was due to taxes was 60%.  On a car with a $30,000 sticker price that would mean that $18.000 of the sticker price was due to taxes.  The absolute accuracy of that statement is immaterial for our purposes, but it is probably fairly close.

Now, suppose we take the step of removing all taxes from the autos we produce that are sitting on our docks for export.  All of a sudden that $30,000 car would be selling in the international marketplace for $12,000.  At that price we could probably be selling Cadillacs to the Japanese for less than they could buy their own Toyotas, and it would mean no cut in wages for our workers and no cut in profits for our automakers.  Just imagine what removing all taxes from US exports would do for US based businesses, and for our workers.

For US citizens there would be absolutely no change in the prices we pay for autos and other US made products.  It would just mean a huge boost in our export sales.

BTW, the Constitution forbids taxing exports.  But that applies to finished goods, not to taxes previously imposed at every step along the manufacturing process.

ACLU decides no traditional Christmas public decorations in Ft Collins, CO, this year.  City knuckles under:

HUD decree bans, "any religious symbols or religious words associated with Christmas." in common areas of old folks homes:

Dems hire MoveOn.Org executive as fund raiser:

Music industry twists Congress' arm.  Gets Congress to introduce bill that would require colleges to turn over names of students that have downloaded music from internet, or lose the Pell Grants their students have, even the completely innocent students:

Liberals get it wrong when it comes to upward mobility (gasp):

Before anything else, hers is a passion for the acquisition of power:

UN plans to force US business spend money according to its global warming policies (maybe it's finally time to get out of the UN):

Why didn't Al Gore include this chart in his movie?:

We are capitalists:

Things you never knew - grapes/raisins toxic to dogs: