Howestreet.com - the source for market opinions

ALWAYS CONSULT YOUR INVESTMENT PROFESSIONAL BEFORE MAKING ANY INVESTMENT DECISION

August 10, 2018 | Australian Government Has Simply Lost Its Mind & Violates International Law

Martin Armstrong

Martin Arthur Armstrong is the former chairman of Princeton Economics International Ltd. He is best known for his economic predictions based on the Economic Confidence Model, which he developed.

People who think that Trump alone embarked on protectionism, really need to look around the World. Australians have been blocked by Amazon from buying anything from their US site because the government has imposed effectively a tariff of 10% on anything an Australian may purchase under $1,000 from the internet overseas. The Australian government is violating international law demanding that anyone selling anything on the internet must collect a 10% tax from an Australian and pay it to the Australian government.

The Australian government has shifted a tax-collecting burden to the entire world. Amazon has now blocked Australians from buying from their sites outside of Australia. They correctly criticized Australia stating that delivery companies such as Australia Post should be made to collect the tax, not the stores. The Australian government is pretending this is to “protect” Australian companies. However, this applies to absolutely everything sent to Australia even if there is NO LOCAL competition.

We are looked at a naked greedy tariff. Simply said, Australia is really becoming the most anti-capitalist country in the West. The Australian dollar has been declining since 2011 and this hunt for taxes continues to expand with the most anti-free market laws in Western civilization. It is only a question of time before the USA turns and looks at the crazy laws coming from Australia and begins to retaliate.

There is absolutely no foundation in International Law that allows a country to impose obligations upon business in other countries and force them to collect taxes. The proper point to collect taxes is when goods are delivered to Australia – not that an Australian buys something overseas requires everyone in the world to collect Australian taxes for them. This is really just insane.

STAY INFORMED! Receive our Weekly Recap of thought provoking articles, podcasts, and radio delivered to your inbox for FREE! Sign up here for the HoweStreet.com Weekly Recap.

August 10th, 2018

Posted In: Armstrong Economics

Post a Comment:

Your email address will not be published. Required fields are marked *

All Comments are moderated before appearing on the site

*
*

This site uses Akismet to reduce spam. Learn how your comment data is processed.