Forum Post: The Most Brilliant Plan For Fair Trade Ever Devised.....Brought To You By Warren Buffett!
Posted 11 years ago on Nov. 28, 2011, 3:27 p.m. EST by puff6962
This content is user submitted and not an official statement
It's really rather simple, and the plan was put forth by Warren Buffett in 2003.
You simply require that imports match exports. You do this by issuing export certificates for each dollar of product that we ship oversees. Exporters can sell these certificates on an exchange to importers, who are then required to produce an amount of certificates equal to the value of goods they wish to import.
These certificates will be traded upon an exchange and a simple and equitable system would develop where exports would be strongly encouraged. Our currency will be strengthened. China will no longer be rewarded for manipulating its own currency. America will no longer be trading away it's birthright.
The certificate system would, effectively, be a variable tariff. When there was an excess of exports over imports, the certificates would be plentiful and cheap. When there was a great excess of imports over exports, their prices upon the exchange would rise precipitously. This would then raise the price of all eimports somewhat and would encourage domestic producers and our exports.
It is rather ingenious, and I wish that I could say it was my idea. But, it comes from the mind of Warren Buffett.
It was actually proposed as legislation in 2006, and could be again as soon as tomorrow.
Read the bill here:
Here's more about the plan:
and here is Buffett's original 2003 article: