China's surplus

This is not by my thinking. It comes from one Jeffrey Sachs Professor of Economics of Columbia University.

We will in part, paraphrase what he had to say.

Apple manufactures its products in China. For this, let us say, Apple pays the Chinese company $100/-. It then sells it in America for $1,3000/-. The profit to Apple is 1300%. 

China does not get a cut of this ginormous profit, It is all Apple's.

Where then does China profit from the manufacture of the product. 

It is from the tax on the $100 Apple has to pay the Chinese company.

The Chinese have no choice in their historical experience but to save their money. So from the tax imposed on produced products, China has saved and saved and saved and saved and saved its money to the sum of some US$3 trillion dollars.

The tax levied by China is perfectly legal.

What logically Trump is best to do is to tell Apple and all US companies in China:

You sell your I-phone at $1,300/-.

This represents a profit of 1300%.

This is excessive.

Therefore we will tax you so that you sell your phone at $200/-

This represents a return of 100%.

This is surely more than enough

The question is this:

Will a US company submit to this kind of taxation 

and interference in its lawful commercial practice.

In fact, in US law, does Trump even have 

the right to think of doing such a thing.

Therefore, to solve his avarice for the money that China 

has saved from its modest taxation of the sale of 

its manufactured products, he has proposed

TARIFF WAR WITH CHINA.

Does this make any sense to you or anyone.

But it surely does to THE Donald.

The sad thing is that for this, he is coming across like:

A THUG.

As a people who have a 4000+ years of Civilization-history and Culture, is it any wonder, that THE Donald's anticipation that the Chinese will be overwhelmingly eager to have new talks to settle the imposition of tariffs on them, has been greeted with SILENCE.

After all, would you want to talk to a THUG who has tried to punched you in the pit of your stomache so as to settle his grievance against you?

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