A lot of tariff talk, general, lot of tariff confusion, tariff hysteria. Then you would think general that the.
Good to see it. It is crazy. Yeah, I'm sorry.
I'm so excited about the tariffs and how Donald Trump is using them. He didn't go back just to his first term and how he used tariffs. He's going back to the eighteen hundreds. He's going back to the early eighteen hundreds. And we want to do Todays show. We got to go back in history.
Here we go.
Don't don't lose us, don't change the dial, don't go to FM, don't go over to someone else's podcast. We promise you this will be entertaining. It's stuff you need to know why. Because the state sponsored media, the investor class, the globalist the news outlets, the anti trumpers, the never.
Trumpers, the TDS sufferers.
The people that lied to you about everything over the last eight to ten years.
After the last age ten decades.
Are telling thank you, are telling you that tariffs are evil and that they're going to jack up prices. It's not that simple, and so we want to put some more historical context. Donder this, and I haven't heard at least on the easy to reach places to get some historical context and specifically general I had to do some a little light on the tariff topic.
Mind you.
I'm big on thank you, I'm big on revolutions. I love PSI. I love thinking about the conspiracies and the psyops and everything that we've done.
In Korean boy bands since since World War Two.
But we have to go back in time to understand how tariffs work and don't work. But first, general, did you know that? But let me ask you this, how did the United States government fund itself from day one up until basically World War one world War two?
That would be taxes on imports and exports, which are known as tariffs.
Yes, I mean there were periods of time that are tariffs. The way we had to we have taxes, you know, the federal government needs to tax has taxed somebody. The Constitution says no direct taxes on the people. So you could have excise taxes. You could tax tobacco, you could tax liquor if.
It was going out on something to some other country.
Also, well there were taxes here internally. You could have excise to excise taxes. Yeah.
Sure, But the.
Federal government, the federal government did what Donald Trump's doing, which is we're not going to tax our people anymore. We're going to because in the beginning we couldn't. We're going to tax other countries that want to sell their goods to our people.
Now keep in mind though that you know, whenever you raise prices for consumers, that is a form of a tax, and people pay taxes no matter how you slice it one way or the other.
It's a balance. And Reagan knew this. He balanced this. But you know, before we get our I don't want to jump forward one hundred and fifty years like this. But first you have to understand how this all happened. So then the first Industrial Revolution in England and Britain, you had textiles made with cotton and wool. Now listen, this is important. Demand surged because England colonial markets American India had more access to cotton and wool and also
access to more consumers. So the markets for both cotton and wool expanded and the market for buyers expanded. Hand spinning could keep up. It became a mechanized industry at factories in England. Eli Whitney's cotton Gin boosted raw cotton supply from the US South. That's what made the South a big economic force. And then the steam engine used abundant coal as a fuel. We ditched wood, we went to coal. Why not didn't hear the people talking about, you know, we needed to stay on wood. We're going
to go to coal. And then that engine, that steam engine was put on rails, trained tracks and onto ships. And that coal they had something called they found coke, coke for smelting, and it made iron cheaper and stronger. And what did you do with iron? You made bridges for commerce and rails for roadway locomotives. Why why England? Because England had both coal and iron iron ore on the island, and it had free labor slaves. So a lot of profits went right into the hands of the industrialist.
And then from there they took their money and they went out and became imperialist. They took their money and they went out they.
Said, we like this.
We can go get even cheaper raw goods in the United and the colonies of India and America and other places. And we have free labor, and now we have this technology, and boom. Britain became great Britain. Well, not so fast America. We fought for our independents. Britain was our trading partner, and the first thing we did, our very first Act of Congress was a terrrif act. Very first Act of Congress,
signed by George Washington, was to impose tariffs. We were going to tax the imports coming from Great Britain and France and Spain so that we could fund our government. And that's the way it was for one hundred and plus fifty years. We protected our merging American shipbuilding industry, so we carved out some exceptions to protect those because we needed help with that, but we were not going to be a colony to be exploited. Tariff revenue was
a success. We paid off our revolutionary word debt. We had enough money actually to beat the British again in eighteen twelve. Eventually, yes, we funded that through federal revenue, primarily tariffs, and economic nationalism was born. The trade off to tariffs general wasn't the stock market crashing. The trade off was smuggling. Smuggling was the problem. That was the biggest problem with tariffs today it's the stock market whatever.
But we had we taxed imported goods. Internally, we got a little greedy federal government said hey, let's tax whiskey. They didn't go so well, did it. No whiskey tax rebellion and informed us that internal taxes on the people and our whiskey was not to be tolerated. So it's politically unpopular. Taxes on the people were politically unpopular. Taxes on other countries politically popular and financially sound. Now we
had another great revenue source land. That's true as we continue to go west, Thanks Lewis and Clark Thomas Jefferson, land sales became the number two revenue generator for the federal government, and this money was used to fund the stronger military that we eventually had. And number three, we stayed out of wars for a century. We stayed out over a century in the eighteen hundreds, so our treasury was flush with cash. By eighteen thirty. We had a robust,
tariff driven system. We had frugal spending. Why who was the man in the White House in eighteen thirty, that's right, Andrew Jackson.
Yes, that's right.
He was the first populist. He was a limited government guide. He was a return to Jeffersonian democracy, frugal spending. The America's first conservative president. We had a budget surplus, no federal debt for the first time ever. But then Andrew Jackson, we need to keep making money, so we need to keep selling more of this land. But he's hearing that there are some people out west that don't want to sell their land. So he signed what's unfortunately the Indian
Removal Act. And as a result of those additional land sales from the dn Removal Act, we made even more money for the federal government. Still had no internal taxes. We had the Gold Rush, then we hit the Civil War, the introduction of the first income tax that was later declared unconstitutional, and then we get into the American Industrial Revolution, and this is where things get a little more interesting and very relevant to today. Stick around, catch up with
some history in the tariff world. I'm Brad Kaffel. That's the General. This is for the Defense of the American People. On six' TEN wtd In welcome back to for The
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Everything but tariffs are A tariffs have been a controversial topic In.
America it's one of the few one hundred years PLUS i think it's one of the few places where people can have differing people of goodwill can have an honest debate about.
This yas, yeah and tariffs ARE i refer to myself as as an aspiring, libertarian as a want to be a libertarian because this is one of the parts WHERE i do believe we need government intervention to Protect american, indus to Protect american.
JOBS i would disagree with, that but go, ahead all.
Right so as long as we're dealing with foreign competition that is not going to play, fairly that they're going to play by the same rules, THERE i. Agree that is WHY i believe our government needs to protect our industries like, steel. Auto we can go on and.
ON i would phrase it a little bit. Differently we need to protect free, trade not protect our. Industries our industries can protect themselves if we have free. Trade how will?
You, ever it's the non tariff barriers that are the next chapter of this.
Conversation, yes everyweens.
Understanding we can talk about tariffs in today's second part of our tariff. Show last show Is Trump's Terrific. Tariffs this show is The return of The American. Colonies and the first segment we just talked about how The United states very first law ever passed major piece of legislation On july, fourth seventeen eighty. Nine they exercise The congress exercised its. Discretion out of all the things they could,
do was to put on a tariff on. Imports why because The Industrial revolution was just kicking off In england and they were the beginning of globalism as their colonial empire. Expanded so The american we did two main things from seventeen eighty nine TO i would Say World war. One number one is we had tariffs to protect our baby
industries such as, steel, iron, steel cotton, farming. Wheat we needed some protection from them because The british could flood our economy with cheap goods that they basically stole from other countries through their imperialist. Ways, Right so you're raising, HERE i, Wrote but anyway they could flood. There they could flood our market because they had slave. Labor we did, too but they had slave, labor but they also had the ability to go to other markets other countries in the.
World i'm not sure The british had.
Slaves they they did until they. Didn't but there was slave labor in the very in the First Industrial, revolution in the lowlands Of, england where the textile industries moved a lot of goods into the stream of, commerce there was slave.
Labor that was it.
Was if it wasn't, total if it wasn't per se slave. Labor it was you had no exploit of, labor much like what you have In china right. Now and so the very first thing that Our congress did was to put up protective tariffs around The american, farmers The american textile, industry the, shipbuilding and then as, steel, rail steam engine ships all started to connect the, markets bringing new suppliers to new. Buyers then you started to see the seesaw.
Going back and.
Forth but we used tariffs to make sure that we were, independent that we could take we were self. Reliant the second thing we did was we stayed out of The european wars of the eighteen.
Hundreds very, helpful very.
Helpful and if you want to drain your, treasury go to, war go to, war Right, so which has been the name of the game for The United states essentially since nineteen forty. One so when when The Industrial revolution really kicked in here in THE, us we had expanded. Supply so we have the supply of goods was expanding because of The Industrial. Revolution we can make a lot more. Things prices dropped.
As production cost.
Dropped as production cost, dropped but you had in order to buy you had to have gold or gold back. Currency, well banks had these. Rules the federal government had rules that, currency all banknotes had to be backed by. Gold and then we had fractional reserve banking that allowed the banks to lend, out say ten dollars for every one dollar they had in reserve and. Gold but we still couldn't
our economy still couldn't keep. Up we still had we couldn't print more money into The american economy due to these gold reserve requirements and, there and you, know prices, fell profits. Fell american farmers, like, okay look we want to sell To european markets Like france And, germany but they had protective. Tariffs and out west they're, like we're finding. Silver let us use. Silver will increase our money supply by putting silver.
In it's a precious metal, too it's the precious.
Metal so you had this this and we've talked about, this and now it's all kind of coming. Together you want to expand the. Economy they want. Silver, well back, east The eastern bankers they had the. Gold they wanted. Gold they want a monopoly on. Gold eventually they got the monopoly on gold with the federal, reserve but the silver lost out and because of the demand for, silver basically being we're not going to be you're not going to be using. It people, thought reasonably and, rationally, well
there's not enough gold in. Them they're banks behind these here paper. Notes so they start to run to their local, bank their local savings and. Loan and yet bank. Failures and once the banks start to push, daisies then where they. Invested who relied on the banks were the. Railroads they start to push daisies and we had the first Big american depression called The panic of eighteen ninety, three one of the worst in history to this. Day and what
did we. Do we passed A Tariff act of eighteen ninety. Seven we put fifty percent tariffs on, imports and tariffs went back up to basically being fifty percent of federal. Revenue why because we favored domestic production and we needed we needed to help stabilize our. Economy everything was hunky dory until the unusual ascent to the presidency of One Woodrow. Wilson these progressives really screwed us. Up slash tear. Tfs why Globalism who was behind The wilson presidency is a
lot we could talk about. That tell you who really liked slashing tariffs were The. Europeans, yes, indeed The european bankers love Slashing america's.
Tariffs america's, cheffs not their. Own that's.
Right So Woodrow wilson gets into the presidency in nineteen twelve and they slash. Tariffs federal revenue. Drops we increase taxes on goods like liquor and. Tobacco american people don't like being. Taxed we started to tax, corporations hadn't done that. Before and then we start talking about an income tax amendment in nineteen, thirteen.
Just a little tiny and temporarily we're going to tax the.
Peoples put into The constitution general no direct taxes because for a thousand years before The American, revolution the number one cause of, rebellions volts and revolutions where the, peasants serfs and others saying you're taxing us too. Much taxes are no. Bueno tariffs are. Bueno all, right we are back for the defense of The american. People we have to you have to understand, tariffs and you have to
understand why there's this outrage about tariffs right. Now and it's not because of the stock market and it's not because of they're they're. Bad they're. Horrible they're going to drive up, prices the the outrages because they don't want The republicans to win in twenty twenty, six.
And they And Orange man bad. There they know.
That it's going to take some time to, reindustrialize re sure bring paychecks back to The United, states and it might take more than twenty four. Months it might take long than. That it's going to take this long to reverse this. Ship but before we get into, that got to understand. Tariffs tariffs funded the federal government up from the day one up Until World War, one along with excise, taxes sales, taxes and land. Sales as we went, west we had a hiccup in the eighteen nineties there was
a bank run that caused economic. Collapse the reason there was a bank run primarily is because out west they wanted to use silver for their, exchange their current for their. Currency the guys out east said, no and we had the abolishment of silver as a form of. Currency it
was only going to be gold. Now so the, people the people primarily west of The, mississippi were holding onto these certificates based banknotes that were supposed to be backed by, gold and there was a concern that there wasn't enough gold in them our banks to convert these here dollars into, gold that these basically these are pieces of paper. Worthless so you had a bank, run which caused all kinds of.
Problems you never want bank. Runs so The Federal reserve was created nineteen thirteen to prevent these bank runs, ostensibly but When Woodrow wilson came To When Woodrow wilson ascended to the, presidency not only did we did the progressives, GLOBALISTS i don't know who they were beholden, to but they weren't beholden to The american. People they, said you, know we're going to lower these, tariffs maybe even eliminate these tariffs that Benefitted. Europe we're going to tax The american.
People we now hold on that's. Unconstitutional oh, no, sorry nineteenth we passed the Sixteenth. Amendment did you not catch that in The New York Daily. News we can now tax your, income but we promise it's just going to be on the super. Rich it's just going to be short term and, yep and we're going to tax corporations they have too much money, anyway and, no we're not going to. Ward we're not going to The European. War he campaigned on that in nineteen, Sixteen we're not going to.
War and By april of nineteen, seventeen we have dough boys and the trenches.
In with both. Feeds so now.
The eastern bankers have. Created they finally got their, bank they got the central, bank and gold is the only currency that you could that was backing the. Banknotes this central bank to this day private mysterious controls the, economy has a monopoly on the money. Supply and coming out Of World War, one Those european nations repaid their war loans To american banker in.
Gold that pushed up the gold, reserves.
Allowing us to print even more. Money what, Happened, well you have a ton of money in the, system and The roaring, twenties at easy, credit you could buy a. Stock it got so the easy, money the lords of easy money made it so. Easy, general did you know that you could buy stock with just ten percent? Down you didn't have to just like a, house you're buying on the, margin buying on the. Margin so the introduced debt to The american. Consumer The american working class to
participate in this economic boom of The roaring. Twenties, well farmers out west never fully recovered because now we opened up The american economy to these lower, tariffs it drowned out The american. Farmers weat cotton, Corn they got crushed and it got to the point where the farmers were only paying interest on their farmlands until they couldn't and they lost the. Farms and you can go back and
find out what happened to those agricultural. Prices they went down because the market got flooded by foreign.
Wheat, well and then also remember, this as technology goes, forward you get more and more, production cheaper and. Cheaper that's, right that's.
Right so the farmers no longer they lost their, farms and then banks started to go belly, up and stocks tied to the bank's. Plummet the economy plummets run on the banks by the top, depositors and The fed couldn't put more money into the, economy meaning the pockets Of american consumers because it was tied to the gold. Standard so what was the. Answer The Smoot holly tariff of nineteen.
Thirty this is where tariffs get their bad. Name The Smoot Holly tariff of nineteen thirty raised tearf back up to fifty, percent which triggered retaliatory, tariffs which affected. Us, why because we were now in an international, economy retaliatory tariffs hurt and it triggered the global, depression The Great.
DEPRESSION i think that there's a lot of debate about what triggered the Global.
It was a contributing, factor but there's all. Kinds you, know there's a theory out there that The russians are during the revolution who had the gold backing The russian economy all put into train, cars melted, down made of, gold painted, black put on, wheels put on, tracks and shipped out Of, russia and most of it made its way to The United, states and that money entered the, economy and that's what also caused a big, boom those, BILLIONS i, mean The russian economy basically. Hit there's that
theory as. Well fun there's a movie out there about. That all kinds of things. Happened what cured this was War World war. Two FDR's New deal helped a little. Bit it was a band.
Aid it extended what would have been a recession into a.
Depression But Smoot holly got a bad name because they were trying to clean up the globalist mess that it existed. Beforehand and by the way THE fed was, created we were told to prevent this exact.
Thing and what have we had since THE? Fed that's.
Right, so And i'm not going to Say i'm not a. Point i'm not Ran paul Where i'm saying abolish THE. Fed but we certainly need The american people need to understand more about how this stuff. Works World war two put Every american to work full. Employment when you have in full, employment what happens, women, minorities teach, teenagers they're getting a. Paycheck what do they like to do with their? Paycheck they like to spend, it and they spend on.
Things now at the, time that was three hundred thousand, aircraft eighty eight thousand, tanks six five hundred. Chips But american steal And american auto Saved america's, ours actually saved the world's ours.
Well and also being the only major producer that left. Unbombed why because of the oceans between?
Us have the oceans gone? Anywhere they have?
Nods, right, so but they didn't have missiles that could reach us place we.
Don't we have tech to take we can protect us a lot. More then we're in much better shape militarily defensively than the neo cons and the warhawks want to make it out to.
Be that's.
True and government contracts skyrocketed After World war two defense. Contracts how did we pay For World War? Two, well we borrowed from The american. Public why we had a coalition Of americans Becoming, americans, individuals, families, businesses, schools, communities, Banks they all bought war, bonds all bought war. Bonds so if there's a specific need to raise a lot of money, fast you can do things like this war.
Bonds if you want to go to, war pitch it to the, people tell us how we're going to pay for, it and then let's. Go that's not happened Since World war. Two so coming out Of World war, Two europe has broke or occupied.
And i'm.
Sorry by the time we came out Of World war two and these countries started to repay The american banks that lent them the, money and The american, people we held seventy percent of the world's goal. Preserves THE us dollar became the world's currency for, trade and there's a big problem with, that which is what we're going to talk.
About after the break.
Final segment we are. Talking we're going to wrap up this tariff.
Talk it's been a terrific.
Show and if you're just joining, us go To we're On, Spotify Ron, Apple iTunes. Podcast you can just type in for The Defense Brad coffel KO F F E. L and it's very important to understand the history of how The United states government makes. Money first half of our, life our country's, life it was, tariffs exercise, taxes and land.
Sales somehow we survived.
It we did great second half and we stayed out of. Wars second half we drop, tariffs we go to. Wars durin the treasury, tax the people, borrow, borrow, borrow.
The heart letting becomes the rust. Belt, now.
When we get in After World war, two free markets were. Encouraged and this is where you get into your Own ran. Objectivism Alan greenspan was a huge fan Of Iron. RAN i think they were, friends and so it was free market.
Capitalism Milton, Friedman thomas Ol.
Yep free Market, okay free. Markets, well what do we do when we have to deal with the spread of. Communism we have to fight. It so we got to get our, boys get our young, women young, men get them on, ships get them in, jeeps get them in, planes and go fight communism wherever it. Is back, home we have the rise of we have the civil rights, movement the racial. TENSION lbj would like to it was convenient FOR lbj That Jack kennedy was killed in his home state and he just happened to have an extra
suit that. Day he called, back this has check me on, this BUT i just finished a book on The dallas, brothers and, WELL i won't go into THE jfk, stuff but quite convenient FOR lbj, that and he becomes, president wants to run for, reelection needs The southern, needs the minority vote all for The Civil Rights, act and the Great. Society so now we hemorrhage money In vietnam And Lyles cambodia, militarily we hemorrhage money as we inject socialism into our form of.
Government oh great, society as he called.
It AND i had conversations last night with some long term dear friends of mine a few years, older and you know they were around for, that AND i don't know enough about what was happening back. Then but you, know The Great society you could blame for fracturing households Of Black america and not White. America but be that as it. May we hemorrhage money In, asia we hemorrhage money here in THE us with The Great, society tariffs were already down to just two percent of federal revenue two.
Percent the first half of The United States epic, boom it was fifty sixty seventy percent of federal. Revenue we open The chinese market to global. Trade We nixon takes this off the gold, standard and so that The, persians The arab, world they're, like hold, on we're selling you all Are we're selling you barrels of barrels of, oil and you're giving us this pieces of paper actually cotton and. Linen and now you're telling us that these are not
as good as. Gold oh you're telling us they are as good as, gold but not, Really and so they're, like screw. You. Embargo there are other reasons for, that but, embargo oil prices take. Off we keep interest rates load to try to fuel the money. Supply inflation skyrockets because that's what happened when you print, money inflation, skyrockets the dollar, plunges gold soares because that's where you go in times of, turbulence and to try to get things leveled, up income
taxes get jacked. Up income taxes replaced tariffs as the number one funder of The United States. Treasury and then we start to find other things to, tax like the payroll to fund social. Security so here, here now we are At, reagan anti tariff free, Trader Ronald, reagan low. Taxes he couldn't handle the no tariffs. Anymore he heard From Harley davidson and put one hundred percent tariffs On japanese.
Motorcycles he heard from the steel industry and he put fifty percent tariffs On chinese steel, dumping slashed income tax and corporate, taxes and what.
Happened butonanza of revenue came into the federal.
Government, yeah, Right so the lesson the. Lesson And i'm is this an Over is this a? Simplification it? Is is it an? OVERSIMPLIFICATION i don't think. So but as long as you have other countries putting barriers up to our, goods then it's not a free. Market as long as you have other countries that have non tariff barriers and additional things like currency, manipulation subsidizing their, industries putting up ridiculous climate regulations that make it too expensive to get forward Into.
Germany australia saying that our beef is.
Poisonous, yeah as long as you have protective tariffs in other countries and you have protective non tariffs in other, countries there is no free. Trade and at this point in, time we need to tariff, Back we need to. Reciprocate we need to reinvest in Our american, economy AND i think we're going to need. To we have to have what history shows. Us reduce income, taxes reduce capital corporate income, taxes reduce capital gains, taxes stop spending money on ridiculous wars.
And ridiculous programs to fund.
Leftists, yes so slash your, spending reduce income, taxes reduce corporate, taxes reduce capital gains, taxes increase your, tariffs.
Cut, fraud waste and, abuse cut, froze.
And then you know, what if nothing else out of national, security make sure that our are our uh most important goods are made. Here SO i don't know who's against.
This anybody Against.
Trump, YEAH i think that the men and women who know better are not coming that are not coming out Against. Trump they're staying silent because they kind of know this is the way it. Is and the people that are Against trump And Peter navarro And Scott, Besson John, bannon, Yes Steve, bannon the people that are against them are either simply parroting what they're hearing FROM cnbc AND, Cnn and by the, Way i'm catching a little MORE cnn.
Clips it does appear as though they're trying to be a little more, balanced but they're They're they're banned for me for a long especially Under.
They're all pretending to not know that they not know That biden had been in.
Decline go and look at how did we fund our government and what were we doing militarily when we were at our. Best and then you're gonna have to understand the interplay of how interest rates, work how THE fed, works and non tariff trade. Barriers all these things eventually harm The american. Economy that giant sucking sound.
That Ross perot talked, about WHO.
I voted for twice in ninety two and ninety, Six why because of THIS i left The Republican party in six because of the endless foreign wars that were promised to Us Ross. Perot If Ross perot was around today and in his, prime he would be either The democrat Or republican, candidate because they've pretty much sure become a, uniparty and, he hands Down Ross pereou would be the
most popular guide in The United. States. Anyway thanks for, Listening share the, show talk to your kids about, this make sure they understand how this stuff, works and Make america great, again healthy, again and bring back common sense