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Recent articles by Dave Hancock

  • Press Release | CPA Partners on Release of National Jobs Quality Index

    Washington. The Coalition for a Prosperous America (CPA) today announced the launch of a comprehensive new economic indicator, the US Private Sector Job Quality Index (JQI). CPA has partnered with Cornell University, the University of Missouri, and the Global Institute for Sustainable Prosperity (GISP) to unveil a new measure of America’s changing employment situation. The Index reveals that job quality in the U.S. has deteriorated substantially since 1990, and particularly since 2006. Read more
  • Anatomy of an economic debacle: How the Fed proposed bailing out Mexico to pass NAFTA

    Editors note: From the archives, this 2014 article shows two things. First the federal reserve bank is not apolitical and worked hard to pass NAFTA. Second, that the Mexican trade deficit is more currency related than many people think. Low tariffs make off shoring easier when foreign currencies devalue. The inside story of how the supposedly "above politics" bank lobbied -- and facilitated a currency and trade crisis Read more
  • More Than 600 U.S. Companies Sign Letter In Support Of Trump’s Tariffs

    Editors note: CPA helped put a letter together in favor of the tariffs, to counter a letter by multinational corporation‘s that oppose the tariffs last week. Over 600 American companies support President Donald Trump’s use of tariffs on China. The Daily Caller obtained a letter to be submitted during a public hearing by the Office of the  United States Trade Representative. Trump has threatened to slap China with new tariffs on $300 billion in Chinese imports. Read more
  • Trump is Right: Tariffs Are Not Raising Consumer Prices

    Editor’s note: Former WSJ reporter John Carney shows why the “tariffs are taxes on consumers” line is false. Donald Trump’s declaration that tariffs on $200 billion of Chinese goods would jump to 25 percent in May gave rise to a firestorm of claims that the import taxes hurt U.S. consumers. Read more
  • Press Release: CPA Endorses Rubio’s EQUITABLE Act as Safeguard for US Investors

    Legislation would block unaudited and state-influenced foreign companies from US capital markets Washington. The Coalition for a Prosperous America (CPA) today endorsed the introduction of the EQUITABLE Act (“Ensuring Quality Information and Transparency for Abroad-Based Listings on our Exchanges”). The bill, co-sponsored by Sens. Marco Rubio (R-FL), Bob Menendez (D-NJ), Tom Cotton (R-AR) and Kirsten Gillibrand (D-NY) would block certain companies based in China and Hong Kong from accessing US capital markets. Read more
  • The Best Tax Reform You Never Heard of

    Sales factor apportionment (SFA) is, in our view, the best way to tax all firms - domestic, multinational and foreign - fairly in an integrated world economy.
  • Press Release: Latest Treasury Report on Exchange Rates Overlooks Currency Misalignment

    Private foreign capital is weaponizing US dollar against domestic producers   Read more
  • Huawei’s Employee Bonus Program For Stealing Technology

    By Jeff Ferry, CPA Chief Economist On January 16th, a grand jury in the US District Court in Seattle, Washington indicted Chinese telecom equipment maker Huawei for theft of trade secrets and attempting to corruptly obstruct a civil lawsuit.  Read more
  • The ‘Madman’ Behind Trump’s Trade Theory

    Editors note: the establishment tries even harder to tear down Peter Navarro even as he has proven right. The economics establishment is in disarray trying to reclaim legitimacy. No one’s more careful about what they buy,” Peter Navarro told me recently. The director of the Office of Trade and Manufacturing Policy was explaining that he reads labels closely and avoids products made in China. “People need to be mindful of the high cost of low prices,” he said. In Navarro’s telling, those cheap flip-flops are supporting an authoritarian state, and that cut-rate washing machine might be mortgaging America’s future. [Annie Lowery | November 19, 2018 | The Atlantic] Read more
  • U.S. Plans More China Tariffs If Trump-Xi Meeting Fails, Sources Say

    Editor’s note: CPA believes that in 2019 the US will impose tariffs on all Chinese imports. The US-China skirmish now goes beyond trade and intellectual property theft to a great powers rivalry. It is unlikely that Trump and Xi will come to an agreement. The U.S. is preparing to announce by early December tariffs on all remaining Chinese imports if talks next month between presidents Donald Trump and Xi Jinping fail to ease the trade war, three people familiar with the matter said. [Jenny Leonard | October 30, 2018 | Bloomberg] Read more
  • How Trump Should Address Unfair Trade With China

    Editors note: CPA fully agrees that we must fix dollar overvaluation to fix the trade deficit. We disagree with our good friend Rob Scott on his assessment of tariffs, which are important for national security, to optimize the composition of trade and jobs and to fix foreign trade cheating. During the 2016 presidential campaign, Donald Trump cited my research prominently when making the case that unfair trade with China had grievously hurt workers in the United States. It wasn’t the first time my research had been referenced during a political campaign; Hillary Clinton cited it in a similar manner in 2007. But it was the first time my data informed a subsequent executive branch policy that I view with dismay: namely, the Trump administration’s heavy-handed approach to trade, which has involved imposing $250 billion worth of tariffs on Chinese goods. [Robert E. Scott | October 23, 2018 | NY Times] Read more
  • Dutchland Plastics opens factory in Canastota, expects to expand

    Editor’s note:  This factory is not going to China. Congratulations to Dutchland Plastics and Canastota NY. Canastota, N.Y. -- Dutchland Plastics has opened a factory in Canastota that the company says will create 42 new jobs. Read more
  • Treasury Spells Out New Rules on Foreign Deals Involving U.S. Technology

    Editor’s note: CPA supported the bill to strengthen controls on incoming foreign investment. The rules are now being written for implementation.  The Treasury-led interagency committee will now require foreign investors to alert it to all deals giving them access to critical technology across 27 industries—including semiconductors, telecommunications and defense—that the committee believes could threaten U.S. national security and technological superiority, according to Cfius officials. [ Kate O’Keeffe | Oct. 10, 2018 | WSJ ] Read more
  • Litigation teaches Chinese valsartan maker the downside of U.S. market

    Editors note: another case of dangerous pharmaceutical drugs coming in from China. Most active pharmaceutical ingredients come from China, having moved out of the USA. China’s Zhejiang Huahai Pharmaceutical for years enjoyed the upside of the U.S. pharmaceutical market, selling its valsartan API to drugmakers producing blood pressure meds for the market. Now it is seeing the downside, having its products banned by the FDA and facing litigation over the discovery of a suspected carcinogen in its API. [ Eric Palmer | Oct 9, 2018 | Fierce Pharma ] Read more
  • Family Farmers Encouraged by Progress on Trade, Expect Fair Trade Provisions, NFU Says

    FOR IMMEDIATE RELEASE WASHINGTON - In a break to what has been more than a year of feuding and tense negotiations, the U.S. has reached an agreement with Canada and Mexico on a new trade pact, the U.S.-Mexico-Canada Agreement (USMCA). Read more
  • How China Systematically Pries Technology From U.S. Companies

    Editor’s note: An excellent article outlining only a few of China’s horrible, terrible practices regarding tech theft and commercial espionage. DuPont Co. suspected its onetime partner in China was getting hold of its prized chemical technology, and spent more than a year fighting in arbitration trying to make it stop. [Lingling Wei and Bob Davis | September 25, 2018 | WSJ] Read more
  • New CPC rules to expel members who express support for bourgeois liberalization online

    Editor's note: Remember this article the next time you hear someone say China is a free trade country. Members of the Communist Party of China (CPC) will be expelled from the Party if they openly adhere to bourgeois liberalization online, according to the newly revised regulations on Party disciplinary action that will take effect in October. [ Cao Siqi Source | September 27, 2018 | Global Times] Read more
  • Turkey’s Problems Not Due to Trump’s Trade Policies

    By Jeff Ferry, CPA Research Director Turkey’s currency crisis is threatening the Turkish economy and there is a genuine risk that this could spill over into other emerging market economies with excessive foreign indebtedness. Read more
  • Press Release: CPA Tallies Jobs Created by Tariffs

    More than 11,100 Good Jobs Created Since February Washington. The Coalition for a Prosperous America (CPA), has determined that at least 11,100 new jobs have been created since February 1 as a result of the protective tariffs imposed on imported solar panels, washing machines, steel, and aluminum. The finding arises from the initial results of CPA’s “Tariff Job Creation Tracker” (TJCT), which monitors the jobs created as a result of the administration’s tariff actions. The tally is conservative because the numbers include only those positions where companies have publicly announced new or planned job counts. Read more
  • Sen. Graham says China is manipulating currency to avoid tariffs, plans legislation

    Editors note. The pressure to do something about currency misalignment will continue to grow. Senator Graham needs to pivot from a focus on only manipulation to the dollar overvaluation problem.Sen. Lindsey Graham (R-SC) on Monday alleged that China was devaluing its currency to avoid the pain of U.S. tariffs and said he planned to push legislation to combat the practice. [ August 6, 2018 | Inside US Trade] Read more