And now Donald Trump wants to follow the Great Recession with Smoot-Hawley II.
Reed Smoot and Rep. Willis Hawley, who authored a destructive age of protectionism.
The utter stupidity of erecting trade barriers during a recession is well known (Smoot-Hawley, etc.).
The Smoot-Hawley tariff of June 1930 was the catalyst that got the whole process going.
WSJ: Arthur B. Laffer: Taxes, Depression, and Our Current Troubles
The Fed's policy, together with Smoot-Hawley, had turned the gold standard into a global-recession machine.
In the 1930s, the Smoot-Hawley tariff provoked tit-for-tat responses and a collapse of world trade.
Plenty of people argued against the Smoot-Hawley bill, which raised tariffs at the onset of the Depression.
That one alone would constitute a Smoot, a Hawley and a half a Perot in one fell swoop.
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The Depression was triggered by the Smoot-Hawley Tariff Act of 1929--30, which imposed enormous taxes on hundreds of imports.
It was such protectionism that led to the Smoot-Hawley Tariff Act of 1929--30, the precipitator of the Great Depression.
Those who had the ear of the politicians got protection, were able to make money out of Smoot Hawley.
Smoot Hawley made the bad slightly worse, not as I had previously thought, made the not too bad appalling.
Governments everywhere then tried to reduce imports through tariffs, with America kicking things off with the Smoot-Hawley act of 1930.
The essential finding is that no one has as yet been stupid enough to impose something like the Smoot Hawley tarrifs.
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The Smoot-Hawley Tariff, signed into law in June 1930, triggered a horrific trade war that contributed mightily to the Great Depression.
The villains of the Depression were the trade-killing, international-capital-flow-strangling Smoot-Hawley Tariff, an overly tight monetary policy and a catastrophic tax increase.
We learned this lesson with the Smoot-Hawley Tariff in the early 1930s, which led to a downward spiral of world trade.
Hoover Republicans, however, offered no credible alternatives, as they were still advocating Smoot-Hawley-type protectionism and raising taxes to balance the budget.
Think of the quotas as Smoot-Hawley coupled with a reverse Robin Hood.
The latter was caused by wrong-headed monetary and fiscal policy, combined with the Smoot-Hawley tariffs, and not by happenings on Wall Street.
Hoover signed the disastrous Smoot-Hawley Tariff in June 1930, which destroyed the global trading system and dried up the flow of international capital.
Huge federal and state tax increases in 1932 followed the initial decline in the economy thus doubling down on the impact of Smoot-Hawley.
WSJ: Arthur B. Laffer: Taxes, Depression, and Our Current Troubles
The Smoot-Hawley Tariff, and the retaliatory tariffs by U.S. trading partners that followed afterwards, reduced American exports and imports by more than half.
Recall that the Smoot-Hawley trade restrictions of 1930 turned a stock market panic into a multi-year Great Depression, broken only by World War II.
The group's board of directors includes former White House press secretary Robert Gibbs and top campaign officials such as Stephanie Cutter and Julianna Smoot.
CNN's Kelly Marshall Smoot and Tom Cohen contributed to this report.
But FDR worsened the financial collapse he inherited from Hoover by raising taxes, pursuing a tight money policy and failing to rescind the Smoot-Hawley trade tariffs.
If it becomes burdened with hundreds of extra special-interest provisions, as Smoot-Hawley was, and wins passage because of them as Smoot-Hawley did, Schumer-Somebody will retire the trophy.
Nobody will try to fight the recession by raising interest rates, or by closing the door to imports, as we did in 1930 with the Smoot-Hawley Tariff Act.
As soon as the U.S. made it clear that we would stop trashing the dollar and would not go for Smoot-Hawley kinds of trade sanctions, the crisis passed.
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