Welcome friends to another economic
update a weekly show devoted to the economic dimensions of our lives jobs
incomes debts our own and those of our children.
I’m your host Richard Wolff been a professor of economics all my adult life
and I think that has prepared me and, I hope so, to offer you these economic
updates about what’s in the news. Well this week has been a flutter around the
topic of tariffs. The G7 met in Canada and before, during, and after, accusations
were flying, anger was shown, bitterness, recrimination, you betcha,
you saw it. I want to talk about what tariffs are and what’s going on here
first so we’re all on the same page what is it tariff it’s just a name for a
particular kind of tax. A tariff is the tax you put on something when it comes
into your country from somewhere else. The mere fact that it was produced
elsewhere incurs a tax which we the United States put on those commodities
that come into the country from outside, to make them more expensive for
Americans, who have to pay the price of the good, plus the tax on top of it. That’s all. Why our tariffs levied? Answer: industries all kinds egg recover all
manufacturing you name it try to get help from the government when they’re in
trouble with competitors from abroad when competitors in other countries can
produce goods more cheaply or at least sell them more cheaply here in the
United States it hurts American produces people producing here
and one of the things those producers could do of course is become more
efficient they could automate they could work harder they could find cheaper
materials and often they try those things but one of the things they’ve
always tried has been to manipulate and maneuver the government to give them
protection that’s why tariffs are called a kind of
protect because if you put a tariff on the goods
coming in they become more expensive and that allows producers inside the country
to sell their goods when they couldn’t before because their goods are not
subject to that tax please keep this in mind the next time you hear the
executives or the politicians paid by the executives of the companies that get
these favors from the United States government they will tell you how the
government is inefficient and we need to get the government off our backs and the
private sector is efficient and yeah it’s all very nice talk but they’re
spending big bucks getting the government to give them protection who
has protection in the United States now virtually every sector somehow I’m gonna
give you a few examples we protect trucks light trucks 25%
that’s right the tariffs in the United States makes it virtually impossible for
foreign truck producers to produce those trucks and send them here it also makes
the trucks more expensive to Americans why because the domestic producer has
the benefit of not having to pay a tax and can raise his price too up close to
what the foreigner has to suffer with because the foreigner has to pay the tax
in other words tariffs are a way of trying to solve your own economic
problems at the expense of people abroad and the problem is every country does
this every country mixes a variety of protections let me give you a second
example which was in the news dairy in the United States cost of a gallon of
milk in the United States is much cheaper than the cost of a gallon of
milk in Canada Canada has tariffs to protect their dairy to be able to charge
the much higher prices so they don’t have to compete with American goods is
that because Americans are more efficient in their dairy production not
at all what Americans have is another form of protection American farmers they
get subsidized by the government because another thing that corporations like to
do is get the government to give them some
these that’s how we handle corn farming in the United States that’s how we
handle wheat farming in the United States and corn and wheat is what we
give to the cows that make the milk so the milk is subsidized in the United
States which is why it’s cheap and too much of it is produced and that’s not
because the Canadians have done anything that’s because we have protected our
industries over the years different capitalist countries bargain with each
other to try to keep that kind of crazy system under control
every government tries to protect its enterprises with tariffs and subsidies
and quotas and a whole lot of other things that are the time to go into but
there’s nothing new here mr. Trump’s notion is protecting America America has
been protecting itself Just Ducky fine for a long time it uses the same things
other countries do what the United States wants to do now is renegotiate
the game to disadvantage everybody else and advantage the United States you find
it amazing that the other countries are upset and are retaliating what in the
world would you propose them to do and if we all play this nasty game we will
dissolve the International economy and believe me the risks and dangers of that
far exceed anything having to do with this but does mr. Trump care not a bit
he is pandering to the America first mentality bashing the immigrants now
bashing our trading partners looking like mr. tough guy while he helps the
industries that he’s protecting and the rest let the chips fall where they may
he hopes this will help him politically in the same way I want to talk to you
about Ireland where the government also behaved in a way like the tariff
maneuvers only horrible I’m talking about the remarkable events of the last
week when Ireland’s President Michael Higgins apologized to the tens of
thousands of women in Ireland forced to work over the last century in the
countries Magdalene laundries young women who got pregnant young women who
had learning disabilities young women who had even emotional problems were
regularly collected by the state often sent into those laundries where they
worked under lock and key were not paid anything were prevented from leaving
were not told they were allowed to leave etc etc thousands died after a life of
what is in effect forced labour the government helped recruit the women to
this place forcing them often to go when they ran away the government brought
them back and the government gave the churches the contracts for the laundry
which was profitable for the churches because they didn’t pay the people any
labor it is an awful story hats off to the Irish government for admitting it
and apologising although it is a case of way too little and way too late but it
indicates again that the very institutions telling you about how the
government is inefficient and the government is a problem is busily
utilizing the government for their own private profit all at the same time
beware the arguments about the private is better than the public they’re phony
90% of the time latest update on an old problem yep emissions testing it now
turns out that long after the scandal broke in 2015 around VW both the VW
company and in the latest headlines likewise Mercedes Benz and so on have
been continuing to pollute by using these same devices it’s extraordinary
nitrogen oxides are the problematic chemical that comes out of it and in the
latest study reported on by the Guardian in a wonderful piece of work
it showed that particularly in Great Britain but it’s the same
everywhere the the deaths the illnesses from the pollution that has been done
because of the car companies put their profits ahead of public health and
public safety continue to be enormous I would give you the numbers if we had
more time but the story in The Guardian is the one to look at if you are
interested the next update is not hats off for good news in this case from
senator Kirsten Gillibrand she’s a senator from New York State and she
announced this last week actually a little bit earlier in in the end of May
her quote Main Street employee ownership act here’s what she wants to do she says
there are thousands and she’s quite right about this thousands of small and
medium-sized businesses where the people who started and built the business are
retiring as they reach retirement age they don’t want to sell their company to
some big corporation that will butcher it up they don’t want to close the
industry because they know the people that they’ve hired over the years they
don’t want to move abroad they want to do something that keeps the jobs and the
communities that depend on those jobs healthy because that’s where they live
so guess what many of them are deciding they’d like to sell their business to
their own workers and then they discover that the workers are ready to do it and
all they need is the legal support and the financing that is necessary to make
such a transition from a capitalist enterprise which is what it was and what
it was built up as to a worker cooperative enterprise or at least a
worker owned enterprise which is where they want to go now to save the jobs to
save the communities that depend on them but they’ve been held back by many old
laws put into effect by corporations that could not face competition from
co-op enterprises precisely because for the simple law if workers
own and operate and run the business they do a much better job than if they
don’t it’s an old rule everybody kind of
understands it and it frightens big corporate capitalists
so they made rules to make it hard for worker coops to form to grow to finance
themselves and Kirsten Gillibrand is responding by passing a law at least
she’s proposed it to ease the restrictions and make it much easier for
worker coops to respond to what their workers need what the community needs
what the enterprise needs when the founders retire it’s a remarkable
important progressive move okay last thing I want to go back to what I
started with the tariffs this maneuver of the government to help some
industries the defense of the people who support mr. Trump and others in doing it
is a bizarre piece of manipulation the idea is all we’re going to protect the
American industries that get a tariff slapped on their foreign competitors and
of course one always says the foreign competitor is dumping the foreign
competitors doing some as if the rest of the world are sneaky Pete’s and we are
innocent victims if you take that seriously
then I will offer you a really good price on the Brooklyn Bridge let me go
back the argument in defense is if we protect the industries like for example
protecting the steel industry and the aluminum industry which the tariffs of
mr. Trump are designed to do well then they will hire more workers and then you
can portray this helping of those industries as really being about helping
the workers let me respond number one steel and aluminum production is highly
capital intensive it doesn’t use many more
and to increase production which is what they’ll do if they don’t have to face
competition from abroad and to raise their prices which they will do because
they don’t have to face competition from abroad the amount of extra jobs they
create in their industries is trivial it’s very small it’s not relevant point
number two is more important if you listen to what I just said one result of
tariffs is that domestic producers now no longer facing competition from
cheaper imports raise their prices steel and aluminum for example are going into
making cars car prices will go up in the United States Americans are having
trouble affording the cars they buy now they will buy fewer of them and that
will mean because the price has gone up there will be job losses in the
industries that are affected by the prices risen because of the tariffs any
honest economist will tell you we can’t tell you in advance whether the jobs
gained in the industries that are protected will be more or less than the
jobs lost in the industries negatively affected by the rising prices that
protected firms can impose honestly this has nothing to do with jobs will have no
significant impact on jobs that we can tell it is a way for mr. Trump and the
GOP to pander to certain industries by giving them a leg up which they couldn’t
have achieved by themselves inefficient government from the speech on the 4th of
July big business has been using government from day one before moving on I’m happy to announce
that we’ve changed the format of economic update we’re moving from a
one-hour show to a 30-minute show in response to what many of you have
suggested and asked us to do we want to be responsive and this is a way to focus
and deliver to you the kinds of quality reporting and interviewing that we’ve
tried very hard to build over the last six years I want to also to remind you
particularly those of you that listen to this as a radio program to visit us at
patreon.com, patreon, slash economic update where you can see the program as
a television program; also to subscribe to our youtube channels, and to know that
we maintain podcasts such as Puerto Rico forward that are also available to you
there now let me with great pleasure introduce my guest for today I’ve had
him on the program before some of you will remember his name is Bob Henley bob
is okay right yes absolutely and he’s a prize-winning journalist and broadcaster
it’s worked in a variety of places writes regularly for Salon magazine and
his work has appeared in The New York Times The Village Voice the Christian
Science Monitor and who have I forgotten well WBGO of the NPR jazz station in
Newark which is why I’m here today wonderful oK you’ve been writing
recently Bob about the housing crisis in this country and that’s what caught my
attention that’s what I want to talk to you about but first you put it in a big
context you use a wonderful phrase the unraveling of America as the setting for
them talking about how housing reflects and illustrates that what do you mean by
the unraveling again I’d say I’m 62 and since my own family when I was a kid
faced foreclosure when was 12 I have sensed that for working
people irrespective of who was in Washington the country has been
unraveling in terms of the political economy of it so that working people are
working longer and increasingly getting less of the collective wealth that they
create and so as a consequence I developed a series of WBGO the NPR jazz
station Newark we’re doing four different discrete stories looking at
aspects of this that look at these national issues of the prism of New
Jersey but are relevant to the broader conversation and so what we see is that
right now according to the United Way by the way which is no leftist front
organization okay they have been doing a surveys across
the country and they have they’ve created a character called Alice and
this is called asset limited income constrain but employed and they’re
looking to see around the country who the what the families are they’re having
trouble making it from paycheck to paycheck and so what they found is it
across the country these are all people that are employed exactly and so what
they’re seeing is in places like New Jersey 38 percent of the population is
either living below the poverty line or is in this Alice cohort where they
struggle for shelter every month in places like California it’s like 47 48
percent in Hawaii similar numbers and when you drill down on a micro basis to
specific zip codes it can be a majority of the families Richard are struggling
every single month to pay for their rent and this struggle is seen nowhere in the
corporate news media narrative okay and that narrative we’re all in a big
economic recovery how do you help us square the hoopla about being in
recovery since the crash of 2008 and what you’ve just told us that the United
Way has has figured out sure one of the things that we know is that in 2016 when
I was working for CBS news money watch I consulted with another I guess hardly a
Marxist front group the National Association of counties and they kept
track of the economic circumstance in 3069 American counties and they found
that only 7% of the counties across the country justice
country was going to decide who was going to be president for the next four
years had experienced an actual recovery as such and so the rest of the country
particularly might add in those two hundred counties that are now famous or
infamous depending on your persuasion in places like Ohio and Michigan those
places had not experienced a recovery in fact the unraveling continued and I’ll
tell you now with President Trump and continues to unravel in reality remember
President Trump effectively called out the phone enos of the unemployment
number that that was an on number because of all the exclusions and
Asterix related to it and he said hey focus on the labor force participation
rate and he managed to really kind of take away the argument that Clinton
could have about this economic rebound because he spoke directly to the
experience of enough American people that they decided to switch in two
hundred counties from Obama in 2008 and 2012 to vote for Trump with 70,000 votes
made all the difference well what we see now is when President Obama left the
labor force participation rate was sixty two point nine today as we speak at
sixty two point seven in other words there’s a million more idle people today
than when Donald Trump came into office and you won’t see that reflected because
the most important thing for the corporate news media is to deny people
their own history and sense at the moment because if they had a sense of
what was really going on they’d want radical change immediately so tell us
about housing tell us about what is it that makes that makes a reporter like
you speak about a housing crisis well I guess it’s something where we wanted to
undercover I got a grant basically to look at story say we’re not being
reported but we’re presenting themselves a little bit of shoe leather so in New
Jersey we know that we have this tremendous crunch with housing about I’d
say a number of years ago the Supreme Court a big landmark state case said
Mount Laurel decision every town has to make room for the poor and the working
class in terms of housing it just never happened so I started seeing that there
were all kinds of situations where people were living in a marginal housing
they were homeless and so I went down to an area
we’re sandy hit very hard in the like around Middletown queue port route 30 a
part of New Jersey in Monmouth County when I found there was that I came
across a couple in their 30s college graduates 31 and 32 who were living this
past winter in their car and this was what they were doing and I said so how
did this happen as we spoke with them and gave him an opportunity to give
voice to their struggle it turned out the both of these individuals their
families separately their nuclear families had lost their homes to
foreclosure and that that had started this unraveling and this is what we’re
finding is that you have a generation of young people saddled with some 1.4
trillion dollars in student debt and because of what happened with the last
meltdown 20 trillion dollars of household wealth is gone so you have
that parent of that parental home that could have been sanctuary in many cases
now is is no longer in the family so this is continuing to happen even though
we are changing it all the national stuff at the top about you know Donald
Trump foreign policy the underlying unraveling continues you know it’s a
remarkable thing for me is that it it reminds people of something we teach in
economics departments which is the instability of capitalism this every
four to seven year downturn has long-lasting consequences it’s not just
the unemployment and the collapse businesses right and all of that that
captains in the in the key opening months and even if years it’s the
decades of unraveling different parts of system and generational yes and so the
people who in the case of the young man in this Tim Johnson it was in 2001 that
his family’s economic fortunes declined his father was successful
african-american businessman owned a fleet of trucks he got pancreatic cancer
died within three months Tim was pulled back from college and the family had to
lose the home in a short sale so these things have consequences and the fact is
that President Obama and the Wall Street bankers in no way dealt with the
underlying body blow that is still a acting America today and I might say the
next recession Americans so-called recession it’s not good for these people
it never let up and it continues we’re seeing the wealth concentration like
this 1.5 trillion dollar tax cut so it’s almost like physics it’s like the wealth
concentration and income inequality is accelerating if anything else yes under
this tax cut it can’t do anything else the companies are all showing us but the
data that’s coming out of it that they are not using their reduced taxes to
hire anybody they’re buying back their stocks they’re paying our higher
salaries to the top executives they’re beefing up their dividends to their
shareholders in other words they’re making the rich richer harley-davidsons
instructive right here you have a motorcycle company out of Wisconsin I’m
sure there are a lot of Trump voters there he used that as the signature
company as being iconic during his campaign and in reality what’s happened
is they laid off I think their corporate tax rate went 35 percent to 21% they
rewarded the workforce by laying them off having a hundreds of millions of
dollars in a stock buyback in building a factory in Thailand so that’s the
formula and I think people are getting aware of it and the housing thing that’s
particularly difficult in New Jersey this 40,000 talked about late state
vulture capitalism 40,000 empty homes so this scarcity of people living in their
cars is occurring as because of the foreclosure system tens of thousands of
potentially serviceable homes are being permitted to rot in place you know it’s
always been in this country this phenomena that I once saw captured in a
cartoon when you had a group of homeless people sitting on the curb commenting to
one another as they looked across the street at the empty houses and
fantasizing what it might be night be like to live in that one or that one
but this juxtaposition of people lists homes and homeless people is a feature
of an economic system that really has lost the right to our loyalty anymore
but I think the penultimate expression of us here in New York City where you
have this push of global capital coming in creating a demand for luxury housing
with this booming homeless popular in many cases the greed and avarice
that’s driving this development is actually and I watched it happen as a
working journalist here working for the Village Voice over the years where the
the marginal housing stock the single resident occupancy the arrangement that
you might you know alright control all that’s under tremendous pressure because
the multi-billion dollar stakes and we’re seeing that squeeze out happened
here and it’s manifest in record homelessness are people moving about
there is there a pushback or are there people facing this housing crisis that
are trying from below to make change I will say in New Jersey that there’s a
grassroots movement for a foreclosure moratorium because particularly what’s
happened is if you are a victim of redlining already that is that you were
targeted for predatory loans before the meltdown
then you’re twice victimized because then they come back and try to enforce a
contract that should have been illegal to begin with and with a the election of
a Democratic governor Phil Murphy there’s some hope that they might pass
this moratorium to buy people a couple of years in many cases this is the kind
of thing that has to be a granular solution it’s hard to do centralized it
has to be local community decision to turn around and even occupy these homes
that are vacant and start turning them around it’s direct action applied at the
local level and people are beginning to do this yeah I think that you’re seeing
this but the problem is that people still are struggling in isolation and
that’s why it’s so important a program like this it gives people a sense that
they’re not alone and that this narrative does exist and it’s not just
that they individually aren’t making it in this fabulous system well Bob we come
to that point in all these interviews when I can say thank you very much for
what you have presented to us it’s a lot for us to chew on but I’m in a new
position which I’m happy to also say that in addition to thanking you to let
our audience know that this conversation is going to continue and it will be
available for you to participate in and listen to and think about very simply by
going to our patreon comm channel slash economic update patreon patr EO n da
komm slash economic update where we will continue to explore this issue of
housing and unraveling so I want to thank you all for being with us under
this new format I hope you find it useful and effective and I want to thank
truth out dot org that remarkable independent source of news and analysis
that has been a partner with us for a long time and to say not only thank you
to them but to all of you especially if you too can partner with us by sharing
what you’ve heard here by making others aware of these programs and what they
offer and I look forward to speaking with you again next week

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100 thoughts on “Economic Update: Tariffs In An Unraveling Economy”

  1. I can't wait to see the faces of Trump supporters who lose their jobs and get thrown out in the street due to the coming trade war.

  2. The biggest area of ignorance  in the world economy sector called energy continues. The only two viable energy sources at this moment, oil,gas, coal and nuclear. All  other ideas are negative energy in to get less energy out. Evidence Not one solar cell or windfarm has generated energy surplus which enables the next solar cell or windfarm to be produced. Same flawed thinking for fracking. Too much energy required to put into the operation versus what you get out. Same goes for electric cars. Only long term transporation solution high speed rail.

  3. Truly fair capitalistic operation that did not permit the Federal Reserve to back stop criminal activities would be permitted to reset quickly. Your guest is spot on.

  4. There will be another bust due to Trump giving tax holiday to corporates and increasing subsidies to defense instead of badly need capitol infusion to what is needed. This is the result of lobbyists controlling the system.

  5. What no one will say, is that every state will protect certain industries simply so it can buy products within its own boarders so it is not reliant on other countries for products to maintain its military control. Soldiers need food, weapons, clothing and transportation. Thus most all of these industries are protected. If they had to rely on other countries for these necessary things, other countries could cut them off, averting war.

  6. I'm so confused. I would think Richard would be 100% for tariffs. Which tariffs is Trump actually doing? I'm confused about Richard.

  7. John Adams:

    "All the perplexities, confusion and distress in America arise, not from defects of the Constitution or Confederation; not from any want of honor or virtue, as much as downright ignorance of the nature of coin, credit and circulation."

    Thomas Jefferson:

    "I believe that banking institutions are more dangerous to our liberties than standing armies. If the American people ever allow private banks to control the issue of their currency, first by inflation, then by deflation, the banks and corporations that will grow up around [the banks] will deprive the people of all property until their children wake-up homeless on the continent their fathers conquered. The issuing power should be taken from the banks and restored to the people, to whom it properly belongs."

  8. Trump is too dumb to figure out an appropriate tariff. He must be following what the major Zionists want. It's down fast from here. A masked economic depression 10 years running, hijacked bank interest, diligent investors unjustly forced to lose from the Federal Reserve unlawfully manipulating up the stock market which is now 4-8X overpriced. Large and mid-caps 4x overpriced, small caps 8X overpriced.

  9. Australia have 5% tariffs on imported cars , 10% import duty on imported goods . Why buying in Usa is cheaper

  10. Plus we have luxury car tax 33% on cars above 65k . Lambo huracan P580 is $390,000 list price in Australia

  11. Aggregate consumption of Americans will come down, regardless of what "system" is in place. The world has hit peak in conventional oil production and the non-conventional sources do not have the same energy profit (energy in the source less the energy expended to extract it) as conventional oil. This means every day there will be less energy in the aggregate for other activities than the day before. That means at least some will be poorer than they were the day before. The rich and powerful have decided to exempt themselves from this fate. But even if you decide to execute all of them, confiscate their wealth and redistribute it among the "people", it won't make a big difference to the "people".
    The sooner people accept the reality that the future will be poorer, materially speaking, the better. Looking for magical solutions will only make things worse, not better.

  12. Democracy At Work You could film two 30 min episodes at the same time if you only have the one day to film instead of one hour straight. Then release them on different days. Like one on Wed night. One on Saturday. I'm cool with an hour program you could basically just do a lecture. Just throwing ideas at you is all.

  13. I would like the shows to stay 1 hour long. 30 minutes content. 30 minutes delving deep into the content, economics lecture room style.

  14. LOL no thousands didn't die from forced labour. This isn't America. For most of the Twentieth century Ireland was extremely impoverished. Having done our own brexit from the hated english we were deprived of any inward investment. Our extremely right wing Catholic government (left wing hippies by US standards) believed in isolationist Ireland like Trump does. So there was no money and a load of single mothers. Simply ask Pence what his solution is and it will resemble workhouses or Magdalene laundries.
    In no way way were the Magdalene laundries "private industry". They weren't run for profit but for religitard reasons. To keep the society clean and pure in every way.
    As "fallen women" the choices available to those women were extremely limited and unpleasant.

  15. I certainly didn't ask for my favorite weekly analysis to give me 30 minutes less analysis. If Wolff is finding it too taxing to put this much content together every week, that's fine. At least be honest about it.

  16. Industries which are heavily invested in the existing structure, are at stake, in the minds of the various CEO's, when new externalities are introduced, like tariffs.
    The truly representative government soothes the irritation felt by our captains of industry by gently reminding them of the rising economy due to the defense of our workforce and deterrent to flooding our markets. This, if seen thru, will be a boon to Trump. Two years from now is the pay rising? If so, he's a shoe-in. None of this was impossible to Obama & his filabuster proof majority he walked in with. But he wanted rethug respect, instead.

  17. Tariffs level the field for American workers who earn many times the labor rate of asian employs. The people abroad who are the unfortunates, are the Manufactors who no longer can swamp our country with swarm labor

  18. Corporations have captured the regulators. Until integrity is a real function of law, not policy, we will ever slip on this slope. The owner class is always threatened by independence.The improvement is the only way for pay to go up. If cars cost more, buy fewer. The point is pay! Worker pay ! If these will raise one workers wage, I say do it. Tell the world, our work force is not under you !

  19. the idiots in south jersey are still overwhelmingly voting for trickle downers even though they are getting screwed by them…..yes im talking about the norcross cabal

  20. When you've lost nearly everything what kind of weapons can you afford to fight back with? When every waking hour requires you to labor and scavenge like a wild animal just to make rent, pay bills and y'know….eat. Politics is a luxury that is unaffordable. You need the internet just to keep up with good information, participating requires unpaid time that many cannot afford, and even if you have strong beliefs and opinions good luck getting the word out without a platform or backing. Don't get me wrong, grassroots movements can work but the more time passes, the more it seems to me that we are in the 11th hour and have waited too long to act in that as Prof. Wolff mentioned, it's like physics. When all the weight of means($) shifts to one side of the scale, is it any wonder more and more of our lesser influences are required to the point where it is (nearly) a physical impossibility to balance it again. Money (pardon the pun) trumps all. You could have the magic key to utopia but if you have no means to propagate the information and no one hears you, nothing happens. More and more I think Carlin was right in that Americans were sold gadgets, broadcast news, and FREE MONEY! (credit) so we were distracted or confused by the complex and shifting nature of the rules as they were stacked against us until now it might be too late. Despite that we are not a society to give up on ourselves or the humanity of people so on top of all that we give second chances, say maybe next time, or give the benefit of the doubt rather than doubting the benefit of the actions of these rich cocksuckers who don't give a fuck about us, at all. (to paraphrase George once again)

  21. The rest of the Western world should trade with each other and leave the USA be. Then America can just pour even more of their over production of milk down their own drains.

  22. 30 minutes?! What the fuck is this supposed to be? I came here for insights and analysis, not 2-minute long passing updates that skim over the details.

  23. Tariffs worked in the pass , and I know automation has changed efficiency. But American workers can not complete with labor willing too work for 3 dollars an hour. I'm sorry but if those tariffs only bring back a 100 jobs ,it's worth the effort . Shipping metals from around the world VS coming from Gary IN. Would help improve environmental issues that impact are oceans.

    As for metals being expensive for car companies. The moment a corporation starts to cry about resources getting to expensive, government steps in to subsidize the cost . Besides cars today are mostly made up of fiberglass . If anything we should have tariffs on synthetics.

    I'm no fan of Trump but the Democrats have done nothing but keep pushing these failed neoliberal policy.
    So I don't see any positive future for American citizens regardless who is in charge.

  24. yes I am not in favor of the shorter format at all as a patron I would rather have the program remain the same length

  25. Here in the SF Bay Area the number of homeless people actually grows in proportion to the size of the economy. More economic growth = more homeless people. Completely absurd!

  26. The goods made overseas are not necessarily of equal quality and reduces both ends to poverty e.g sweatshops in China and unemployed in U.S. The American companies go to China to exploit cheap labour and keep the profits high for shareholders and the pointy end of the pyramid. China wants to monopolize all lines of commerce. I disagree that tarriffs are necessarily bad.

  27. The republican cult want unfettered capitalism with 85% of business profits going to the top 10%. The democrats want unfettered capitalism too. environmental laws and consumer protections are the only things dems care about. Crap w The the disappearing middle class.

  28. 60 minutes and 30 minutes is good. I don't care as long as I get the Wolff intel. Bob H. said about everything a person needs to make an informed decision as to what to think and do next. His choice of words were direct, understandable and fully validated. The heat and intensity of this information being delivered on this channel by Wolff and his associates is starting to get hotter to the point that it cannot and will not be ignored. I sit and wonder, after digesting the depth of the discourse, how this information must be knocking on the doors of society and the halls of justice. This information really is the basis of how a proper society should be run and organized. It's not that hard to do. It just takes logic, common sense and empathy. At the end of the day its about service to others which in turn helps oneself. Our current system doesn't do this but hides behind things like charities and NGO type entities. Our current system is "two-faced" and from a psychological standpoint has catalyzed a great neurosis throughout society, government and business.

  29. I recently interviewed British economist and author Fred Harrison, whose claim to fame is that his book "Boom Bust: House Prices, Banking and the Depression of 2010" was published in 2005. Fred expressed serious concerns over the consequences of imposing tariffs on imports. We should all remember the results of the Haley-Smoot tariff of 1929.

    What Professor Wolff is discussing is the strategy everywhere of trying to secure protections from competition. Businesses do not want what Adam Smith would have called "a fair field with no favors." They want advantage and legal protections from too much competition.

    What Fred Harrison provides in his analysis is the fact that tariffs end up benefiting landed (i.e., rentier) interests most of all.

    You might find the interview with Fred Harrison offering a perspective that is neither Left nor Right. It is the latest "Smart Talk" interview hosted by the Henry George School of Social Science.

  30. Gosh I wish more people watched this, and could learn that it’s not battle between the left or right political party but a battle between corporations and society. They are buying the right through lobbying to all political parties throughout the world to suppress the masses and use them as nothing short of disposable business resources without any entitlements to achieve even the most basic human requirements for life.
    They use philanthropy to look good when usually they are not giving away their money, but, rather making decisions about how to use donor money, and so many of those donors are actually hard working people that are struggling to meet their own needs.
    We have a corruption index that ignores so many things that while may be legal (because the benefit the elite) are immoral and are used to reinforce this illusion that the wealthy care. If they cared they would pay decent wages, and they would not prevent the Tobin tax from being introduced and use that to replace the taxes paid by those that don’t even earn enough to live day to day.
    I really see little difference between the world today and the feudal system of before, except now the nobles deceive the serfs with the promise of trinkets if they work hard enough, instead of the god ordained them to be poor that was used to prevent rebellion then.

  31. "If one immediately knew the candle light to be fire; then the meal was cooked a long time ago."
    Thank you professor. Half hour or full hour, still economically informative as always.
    If humans knew the true state of affairs… Fantastic point.

  32. The tariffs wars mean nothing. It is job destruction that is the central issue. If you have no job, you have no income. If you have no income, you cannot buy anything and cannot pay the rent. If you are out on the street, living under a bridge or in a public shelter, why should you care anything about tariffs?

  33. when china started shipping cheap goods into the usa, we were faced with poorly made but much cheaper goods that looked like they were better than they were. stainless steel that rusts, butter soft tool steel, brittle weak plastics, and so on. These were apparantly subsidized, certainly made with slave labor, no worker safety, no environmental standards, and they also get to ship to the usa for cheap, so that you can buy an item for 77c from china, postpaid, where shipping it across the streeth would cost $3.50. Had we put tariffs on those goods to eat up the savings from the things we would not do, we would still have a manufacturing base. Wal mart, which made literally trillions selling this junk, sold a pair of tennis shoes for $10 in 2007. Today, they want 30 or more, in line with what you could buy usa shoes. Keds were made to last until the soles wore out. Today's shoes fall apart long before that. But our shoe industries no longer have those utilitarian no frills shoes.

  34. This is a good, simplistic explanation. Great for the layman. It covers the basics.
    America is a high-wage,,,, high-price economy. India, China, Brazil, Viet-Nam, et al have set a roof on wages in manufacturing. Manufacturing is the premier business in value-added industry.
    Our Bretton-Woods credit card forced other countries to undercut our prices if they wanted to accumulate reserves.
    At the same time, the Graham-Leach-Bliley act gave ALL of our savings to the banks to front-run everything that we buy.
    The banks, et al speculate in commodities, RE, etc. They buy it first (using your savings) and sell it to you with lots of markup.
    Europe, for their part, has become a raging socialist shithole. French GOV spends 57% of the gdp and has a very nice welfare system. France was the birthplace of communism.
    The West is competing against low-wage & low-price markets. Adding tariffs won't help the consumer.
    It just raises prices. Wages have been stagnant for 40 years. By raising prices, "they" just reduce consumption.
    The Smoot-Hawley tariffs reduced world commerce by 50%. Nobody won there.

  35. The tariffs because of how they are covered may not help jobs, but right now, the whole world is consuming too much stuff. We need higher taxes on everything. Things should be more expensive but higher quality.and recyclable.

  36. there is no fixing this runaway train. it has to crash. it will be blamed on trump. but bushies doubled the debt. obama did too. while all the time staying involved in killing and bombing mire stable small nations. don't blame the republicans. don't blame the democrats. they are both a party of self seeking world trouble makers. we are the ultimate consumer nation and we gave all our jobs away on the cheap with clinton. but everyone in both parties supported it. again. it has to crumble, i personally thought obama would trash it the way he carried on with his extravagant give aways……but it will happen on trumps shift.

  37. The working classes are in a position in production as a producer of their own subsistence and creator of surplus value. The particular arrangement of social production is as good as the material powers of human beings behind it. If we have uneven development between the combinations of these two elements in production then there is a social scenario that corresponds to how these elements are used in social production; too few people with access to the productive forces of society leads to increased competition between workers; in turn leads to less value of wages and less growth; too many workers involved in production leads to higher growth and higher wages and less competition among workers.

    Presently, there are 148 million workers employed in production and the balance of the 330 million employed outside of production, too few workers in production and society is split down the middle between the 01% and the 99%. The concentration of the means of production under the ownership of a single firm forms the basis of a new form of property ownership with exclusive rights to every advance connected to them. There is no connection of the detailed workers to the firm or its ownership of the means of production. The economic bond to the means of production for the working population that had existed in the past is entirely cut off. This transformation emerges from a situation where the means of production was once privately owned by independent producers of communities in a pre-capitalist era to a situation where the means of production are independent of the worker(s). A truer relationship of private property, work and the worker has vanished making the firm or corporation, i.e., capital the negation of private property when one understands the relationship between work and worker as defined in terms of the means of production that a class analysis of society of any integrity is based on this procedure.

    Under circumstances of uneven development there is a long arc of protracted progress that moves production from the original domestic economy is depleted of capital investment to bring into its primary social organization of production, i.e., the corporations, the world economy hinging on one nation’s capacity to produce.

  38. I find it amusing that we went from "tariffs are bad" to "let's get worker-owned co-ops." I certainly support the latter, but I think you'll find that the former will become necessary to maintain the new status quo in the long run.

  39. the churches play beneficiary to forced labor of women is priceless the pastors feast off the poor in wealth and goodness in life its priceless

  40. The lack of inequity in wage scales between countries in relation to tariffs was not mentioned. I find that curious. If we paid at a cost of living wage and adjusted tariffs to those countries importing here to reflect their lack of meeting their cost of living then true competition would be served.

  41. after a year of Richard wolf seminars it is clear that it should be illegal for corporations to hold large profits for the few the elites should be forced to pay their workers or forced to hire more workers with that money our government is evil and prospering greatly off the work of its people and they stand will all benifits to themselves and the rich while they debate trivial programs for the people cutting all forms of help to give more to the rich becuse there is no limits to the fourtuns they make i wish i could tell a pastor in christ if you want a million dollars build a school for every million you want in your selfish lifestyle that is an envy to kings save one soul for every one house you own and car and dollar creflo doollar

  42. Unfortunately, protectionism is causing society to split up.
    Trade wars effects working people as factories close and less are employed.
    When they get re-hired the pay will be less and the activity itself will be a mind numbing monotony.
    The workforce of the elite is a specialized workforce that are a world apart and far less in number to the jobs in the service sector, which covers , the greater part of GDP, and workers in the service sector are not revered as the other workers in more technical and scientific based jobs. The whole workforce is divided into two tiers and the upper floor is the social organization of the corporation the government nurtures into development, as to the reason for the trade war to begin with.

    Industry and manufacturing will not return to the US, the actual making of the product will remain in China for a number of reasons amenable to corporations. What the corporations will do, is assemble their product in America after the legal workday is politically reformed nationwide. Then the detailed worker will be in demand. So if I were to say there are 140 American million workers are directly impacted by the political reforms to make the conditions of the work day favorable to capital, the firing process is the trade war and the re-hiring process of the 140 million is a question of starvation or stagnation for a lifetime.

  43. Trump's dependence on tariff is a trend towards mercantilism… forced labor by Ireland = slavery …VW diesel pollutants will put the publick at risk to cancer….co-ops are Wolff's fav business model …yeah would be nice… aluminum and steel industry is highly automated …so increase in low cost aluminum and steel in the USA won't impact increase the employment numbers ….even if there is a bigger demand for aluminum. …Trump's tariffs will cause a decline in domestic economic demand …

  44. I disagree with the premise that American protectionism has been working just fine. We have a huge trade deficit as manufacturing has shifted outside of this country, especially beginning with the Clinton administration. Blue collar Americans have seen this shift clearly as they have been put out of work by that manufacturing shift. The Dems should be reaching out to Trump and agreeing with him and working with him to determine the best tariff policy that will incentivise bringing back those manufacturing jobs. But as it is, with the Dems silent or critical of the new tariffs, Trump only solidifies his support among those blue collar Trump voting former Democratic voting constituents. As that sentiment shift occurs, I think those blue collar voters may be more inclined to quietly support Trump's zero tolerance on immigration and less likely to listen to the Dems on the matter since those Dems don't seem to be listening to labor when it comes to the loss of manufacturing jobs.

  45. I hate when they talk about Canada's Milk ~275% tariff.. to protect our farmer from dumping, while the USA give SUBSIDIES to farmer..

  46. What I like to know if United states companies are taking advance of others why do we have such traded defects . Look at china they purchase $135 billion of stuff from us but we buy $530 Billion from them and they have way many more people then us. That to me is not fair trade. United states has several countries we run trade defects from.

  47. Things are bad in New Jersey, California, and Hawaii. When was the last time any of those states went republican? Yes progressive policies are a trap. No government is good. Yes the republicans suck, but the democrats are just worse.

    I was rather shocked by Mr. Wolff. I really liked his very sober analysis of trade wars/tarrifs and their effects. The thing is the more I watch Trump the more I come to realize that he is just playing a different game. He does not want a trade war. He wants to end a trade war, a trade war that everybody is fighting while pretending it does not exist. The only way to end it is to point out that it is actually taking place in the first place, and that seems to be what Trump is doing. I doubt he will be successful, but then again he brought North Korea to the table, and has kept most of his campaign promises so I have learned to not expect the same old same old from him.

  48. I would like these videos to be 3 hours long. Please stop listening to these instant gratification, no attention span, complainers.
    This was way too short to get enough usefull information. This is like watching game highlights, you know who won, but did you get enough information to describe what happened to someone else?

  49. There are almost no economists … except the few who include the federal national debt in their calculations…
    any who exclude the T bond debt are fakes…. the biggest drain on any naton state is debt…

    Why does a nation state acquire debt ? No good reaon… it only benefits the money printer …if that printer is a privately owned bank …debt ….debt that is paid by tax revenue …until that revenue is not enough… then desperate borrowing..(selling even more t bonds)…finally , dollar collapse or any curency colapses….

    The Fed is not federal… a lie. the biggest lie…net scammers are pocket change…. we let gvt borrow us into $21 trillion.. yeah , your gvt all the way from Tommy wilson in 1913 ! ! !
    In short , most economists are not economists… but hokey bullet point blabblers… pretending to demystify the 'too complicated' for us mere mortals to grasp

    Look up bill still on the fed…

    die falscher lends.. government spends
    has IRS extract.. pays loanshark back

  50. thank you so much, I feel these are among the most important conversations being had in the media today. How can we get the average american interested in Economics and articulate the pressing problems of what I see as a growing crony capitalist oligarchy? They are drowning in economic problems and don't understand it or try to. Perhaps they are so harried and stressed, uneducated and uninformed that they do not have time or attention to give to these issues. I would welcome any thoughts.

  51. Great speakers, life Wolff, led me out of capitalism; Randi, superstition; Carlin, nationalism; Dawkins, religion; and, Pavlis, anecdotal gardening!

  52. I’m not sure the China trade deficit can be fixed with out a trade war! Since they send way more to us then we send to them we might hurt but we should be able to crush them into submission! If I’m not viewing this correctly somebody please tell why ?

  53. If you want to reduce pollution, try a vegan diet, also helps with health. https://www.theguardian.com/environment/2018/may/31/avoiding-meat-and-dairy-is-single-biggest-way-to-reduce-your-impact-on-earth

  54. We forgot to form a good purpose for our economic system. Why are we here? What's our purpose? Property? That's not a good purpose. Harmony would be much better.

  55. How the hell does anyone own a home that starts at 400 thousand on the salieres they make? They will never own it they rent it. Thes same home 18 years ago sold for 79 thousand. You thought the Great Depression was bad just wait till you see the next.

  56. We are under central planning, like we criticized in the old USSR. How did that work out? Trump and other leaders decide which companies will win and lose. This is not a market economy.

  57. I feel that Trump is one step beyond mere "pandering populism": he is actually pandering classical imperialism, in which it is expected that the dependencies of the Empire (in this case for example Mexico or Europe) must have economies subservient to the metropolis (the USA in our case) and not in any way equal. The USA itself fought its independence war on this very issue, as have many other colonies since, with greater or lesser success. So Trump is trying to exact more imperial plus-value from US vassals, particularly those that are not needed to fight the 2nd Cold War against China (i.e. not much pressure is put on Japan, but it's put on Germany instead because the conflict with Russia is much less relevant and has actually been pacified recently).

    IMO this situation is particularly bad for Europe, because Europe does not anymore provide net value to the US Empire, much less if Russia is semi-aligned with Washington (and thus less aligned with China and with Germany, as it used to be the case). That explains both the demands of Trump of increased military expenditure by NATO members (i.e. tribute to the Imperial war machine) and the tariff war with the UE, in which this one is acting very shy because of internal division fed by internal reasons but also because of US interests.

    As colony, Europe is quite useless: it has very limited natural resources and has grown used in the last five centuries to be a net exporter, notably of manufactured products. It has been assigned an international role of market and manufacturer but neither of these roles are interesting for the Trumpist USA: being a market rather favors China than the USA, while being a manufacturer is perceived as direct competition with the USA. But what role can have Europe if it's not going to be market nor manufacturer? None whatsoever: it becomes a disposable piece of land.

    And that's exactly what happened to Yugoslavia 30 years ago. Beware!

  58. United States should pull all military and close all bases everywhere except on United States Territory’s and stop trading let’s see how the world deals without tens of trillions a year and stop selling arms to everyone. What would happen?

  59. Thanks for your insights on tariffs and debt. Very informative. It will be the greatest single tragedy that our own children, the lifeblood of our entire country, will become nothing more than indentured servants all of their adult lives, slaves to the banks who sold them useless loans, for non-existent jobs already outsourced to other countries. When the history books tell of how the central bankers colluded to rape to this entire country—and by extension the entire world—let the record show that they sold our entire future down the drain solely for corporate profit.

  60. We are living in a fantasy. If we piss on our Allies how long do you think the US dollar will remain the global reserve currency. Noone is going to continue to float our tremendous debt by buying treasury bonds from an openly hostile country, ie the US. Get ready for the next big crash followed by a nuclear-ized Germany and Japan. The proverbial cutting off your nose to spite your face.

  61. The irony is the poor Trumpsters’ cheap Chinese Walmart products won’t be so cheap anymore. Also if there were an even larger undocumented immigrant crackdown, lettuce will be $10/head and restaurants will charge $50/plate. Tariffs are a soft embargo.

  62. No company makes "light trucks" anymore. Have you been to an auto show recently? Even The Toyota Tacoma is no longer a "light truck". All trucks sold in the US now are twin-cab behemoths. How do I know? All I want is a small crew-cab truck with an normal sized bed. They don't make them anymore. Perhaps this "light-truck" tariff is why.

  63. High car prices will not just cost jobs in the auto industry. They will keep people from having a way to get to work.

  64. "……..the most important thing for the corporate news media is to deny people their own history and sense of the moment, because if they had a sense of what was really going on, they'd want radical change immediately." GOLDEN!!

  65. You shouldn't have a time length format. Just talk until you've said it all. Block it up if you have to but get it all out. Rogan isn't cutting down his show's length and he's not losing listeners.

  66. I'm 40 years old and am in the same position! Went to a corporate for-profit journalism school (which ended up going bankrupt), cannot for the life of me find work, let alone anything that pays more than poverty wages! I ended up having to move home, to a place I hate, with my tail tucked between my legs and have been under employed, my talents under appreciated and under utilized, and I am only making $16/hour!! HELP US…offer solutions, please! Many of us are dying out here, mentally and physically!!

  67. I really don't know what we're going to do when minds like Richard Wolff and Noam Chomsky leave us. We have a short window of time in which the information and logic needed to combat oligopoly and plutocracy is being clearly presented to us. We need to act on it. Now.

  68. Capitalists: 'Capitalism is great! The best ever! Socialism is bad!'

    Also capitalists: 'Hey government, we can capitalism good enough. Please help us with public money.'

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