America's economic mess and massive government borrowing (which temporarily props up our standard of living) will continue to worsen until we manufacture more in the United States.
We can only achieve this by forcing China to let the free markets set the value of their currency.
We should put temporary tariffs on all Chinese imports until their currency is freely traded on the same markets that control the value of the dollar, yen, and euro.
This tariff should start small and increase over time to allow American businesses to adjust, and it should be completely removed when the Chinese currency is freely traded and it's value is determined by free markets.
Low wages in China are not the main problem
My family owns a manufacturing plant, and China has 70 to 80% market share in my industry. The U.S. has the largest trade deficit with China, and most American manufacturing industries have suffocating Chinese competition.
If the labor in our plant was absolutely free, then the Chinese imports would still be considerably lower priced! The problem is their ridiculously undervalued currency and not their lower labor rate. Most American manufacturing is capital intensive and highly automated. Direct labor is just a piece of the overall manufacturing cost.
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