Wall on Mexican border… concrete, or financial?

Wall on Mexican border… concrete, or financial?

Yes, we need a “wall” on our borders – all borders.

No, the “wall” should not be concrete; it should be a financial wall.

A concrete wall would be no solution at all – it would only create new tax burdens on American individuals and companies; and subsidize foreign individuals and companies, whether they be friend or foe.

A financial wall, on the other hand, would consist of fees and guarantees imposed on foreign visitors to our country.  A “day pass”, for example, would allow a foreign visitor unlimited crossings for one day; daily crossings at El Paso, Texas are 20,000 to 50,000, for example – this is a guess: the government website that provides this information is non-functional.  It would be issued to visitors who had valid identification cards issued by a US agency.  No such card, no admittance.  Its cost?  Two dollars… five… ten?  For longer visits, the cost would be adjusted proportionately.

Then there would be “personal bonds” that effectively guaranteed compliance with our customs and laws.  Any violation, and a foreigner would forfeit proportionately, all done according to due process – not according to jungle law.

Apart from these “fees and guarantees”, there should be import duties for goods and services.  These duties should be linked to excise taxes imposed on American providers of competing goods and services.  Without these “excise taxes”, import duties would give domestic producers instant subsidies equal to such import duties.  American consumers would be penalized by instant price increases for such products and services.  These excise taxes would operate to recover 95-100% of the subsidies realized by domestic producers.

With domestic “excise taxes”, domestic producers have no incentive to support import duties and the tax burden would be imposed on foreign competitors – not American consumers and taxpayers.

In early years of America, high import duties nearly caused South Carolina to secede from the union in 1832; and caused 13 southern states to secede in 1861.  Both (the political agitation of 1832 and slaughter of 1861-5) could have been prevented if excise taxes (5-7 percentage points less than import duties) had been imposed on domestic producers.

When American taxes are examined from the perspective given above, probably all internal taxes are unconstitutional, simply because they penalize American people and companies (making them less competitive in foreign markets) while they subsidize foreign competitors.

In short, a financial wall would be a small step toward the ultimate goal of imposing taxes on those who make them necessary.

Now, what should we do with the proceeds of these visitor and import taxes?

I suggest that half should be used to retire federal debt and the other half given to low-income taxpayers as, for example, a $100 credit (not deduction).  Start with the lowest earner and work up as proceeds come in.

We should be realistic, however.  I imagine it would be extremely difficult to enact this whole package at once.  If only visitor and import taxes were enacted, it would be good step in the right direction.

Pass it on.

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About redressone.wordpress.com

About the year 1968 I discovered the country was occupied by thieves, and that their main weapon of plunder was the Federal Reserve... and that as long as we used their paper currency and bank accounts, we financed our own destruction... unfortunately, I didn't have the patience to wait for someone else to do it... please read more: redressone.wordpress.com/about
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2 Responses to Wall on Mexican border… concrete, or financial?

  1. kevinkordes says:

    This is a rational, viable solution. So…why not propose this to the morons in Washington D.C.? Well, tactfully of course! Beware, their egos are quite fragile.

    • Thanks for your reply. I plan to make such a proposal, eventually. I’m still rather challenged when it comes to communication and travel, owing to the ‘judicial assassination’ my customers and I have to deal with. Before I make this proposal, I have several steps that have to be done prior to the proposal; sort of like processing a law suit: many steps, and they must be done in proper order.

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