cheapybob

Buffett's Import Certificates Plan Could Pilot the Economy to a Safe Landing

I've read the WTO rules and it would not be a violation. Note that Buffet's idea doesn't limit the imports from any particular country or for any particular goods, it just limits the availability of certificates to those who exported and for the amounts of those exports. If you implemented the idea, you'd have the certificates expire in 6 months and trade them on the exchanges, and then have them sent electronically to the government as the goods came through customs.

A lower standard of living for the future has already been guaranteed by America's borrowing. The bigger the debt is allowed to become, the worse the fall will eventually be, and the longer the idiocy is allowed to persist, the bigger that debt gets.

Face it folks, we don't "trade" much, we just buy stuff with IOU's to PLUTO and beyond.

Buffett's Import Certificates Plan Could Pilot the Economy to a Safe Landing

The alternative is to keep doing what we are doing till the rest of the world simply REFUSES to lend us another nickel. Not to our people, our corporations, our munis, our states, OR LASTLY, our federal government. The Federal government is now the ONLY one left. How much longer will they continue to lend to it???

Buffet's plan is good because it lets the free market decide what imports are really needed, penalizes imports without tariffs instead of debasing/devaluing the dollar, and provides incentives to production and export of American made goods. The alternative is surely a complete collapse of the dollar, but as always, its a question of when. Without eliminating the trade deficit, I think we will soon find out WHEN.