We really do export a lot here. And with the weak dollar, the shift there was dramatic and immediate. Our rates for containerized cargo are always more on the import side because of the trade deficit. We end up helping to pay to reposition the empty equipment back to Asia. An export rate has traditionally been significantly lower than an import rate as they try to attract that business -- simple supply & demand. But there's a reconfiguration going on now with this drastic increase in exports. The ships are full on their way out now. A lot of carriers won't even talk to you on the export side because they simply can't help.
The downside to that is what we export. If it were all finished products like cars, that would be great. But we send out a lot of lumber, waste paper, scrap metal as well. An interesting side note to that is the ships leave out full by weight but not by container slots.
It does come back to politics. You can have a global market where our workers produce what they're good at and what makes sense for a country at our level of development. Let a country like Guatemala produce the apparel -- it's where they are in their development and those are good jobs for their workers. But you have to decide who it makes sense to trade with. Who are your "friends" and who aren't. Clearly we let the profit side outweigh the other pieces. The same thing is true of who we buy the oil from.
I'd rather see us make the American worker strong and efficient than to protect them with high tariffs. It goes into corporate tax rates as well though. Look at what Ireland has done with their taxes on business -- their economy is booming. Right now they're a bright spot in Europe. You want to make America a good place to do business if you want to keep the jobs.
I don't know if any of that is a coherent thought. Probably more just ramblings. But there you go.
Steve
The downside to that is what we export. If it were all finished products like cars, that would be great. But we send out a lot of lumber, waste paper, scrap metal as well. An interesting side note to that is the ships leave out full by weight but not by container slots.
It does come back to politics. You can have a global market where our workers produce what they're good at and what makes sense for a country at our level of development. Let a country like Guatemala produce the apparel -- it's where they are in their development and those are good jobs for their workers. But you have to decide who it makes sense to trade with. Who are your "friends" and who aren't. Clearly we let the profit side outweigh the other pieces. The same thing is true of who we buy the oil from.
I'd rather see us make the American worker strong and efficient than to protect them with high tariffs. It goes into corporate tax rates as well though. Look at what Ireland has done with their taxes on business -- their economy is booming. Right now they're a bright spot in Europe. You want to make America a good place to do business if you want to keep the jobs.
I don't know if any of that is a coherent thought. Probably more just ramblings. But there you go.
Steve
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