Quote:
Originally Posted by sheltiedave
Here are the government figure for trade to/from Mexico since 1985. Trump has said that we are hemorrhaging money to Mexico in an exceedingly one sided NAFTA agreement that only benefits Mexico.
https://www.census.gov/foreign-trade/balance/c2010.html
in 2016, just over 40% of our export net was incorporated into goods that were then imported back into the US. Adjusting the trade figures using this margin corrector, we end up with the following trade balance...
Initial figures in millions
211,848.7 Exports
270,647.2 Imports
-58,798.6 Balance
Corrected Figures
211,848.7 Exports
(270,647.2 x 60%) = 162,388.32 Imports
+ 49,460.4 Balance
WOW, we have a +49.5 MILLION DOLLAR TRADE SURPLUS with Mexico! Trump lies. |
Hey Dave,
First I am sharp as a marble on my best days. Second, I am NO economist. But even so, I have to ask a few questions on this.
rounded off for simplicity -
$212 million for exports of which 40% will be used to purchase imports. 40% equals about $85M. Our net exports are $127M
Then the imports rounded off are $271M. Since I took the $85M out to buy imports subtract it from the cost of the imports. This gives a net cost of imports of $186M
$127M export - $186M import = -$59M net cash fllow.
Make any sense. If I am way off base or plain nuts, or have absolutely no idea what I am doing, my apologies. I am just trying to wrap my head around these numbers.
Mark