Have you been following the U.S. presidential primaries? I don't recommend it. They are kind of awful.
However, last night's GOP debate did have a bright spot or two related to trade. After the usual bluster by one candidate, and some mangled nonsense from another, there was this from Marco Rubio:
RUBIO: But on this point, if I may add something on this point. We are all frustrated with what China is doing. I think we need to be very careful with tariffs, and here's why.
China doesn't pay the tariff, the buyer pays the tariff. If you send a tie or a shirt made in China into the United States and an American goes to buy it at the store and there's a tariff on it, it gets passed on in the price to price to the consumer.
It's as if he has actually studied economics!
But there was more. Here's Jeb Bush following-up:
BUSH: Here's -- apart from the -- apart from the higher prices on consumers and people are living paycheck to paycheck, apart from that, there will be retaliation.
...
BUSH: So they soybean sales from Iowa, entire soybean production goes -- the equivalent of it goes to China. Or how about Boeing right here within a mile? Do you think that the Chinese, if they had a 45 percent tariff imposed on all their imports wouldn't retaliate and start buying Airbus? Of course, they would. This would be devastating for the economy. ...
Now we see some international relations thrown in!
All very heartwarming, but most of the rest of the night was painful, and I urge you not to read the full transcript.
