Toro
Diamond Member
but.. wasn't alabama still AMERICA? you say that cheap shit will let people buy more (cheap) shit that is supposed to generate jobs. In practice, it's created the means to sell the cheap shit rather than the means to create American shit. This lowers the American standard of living. We don't owe mexico that.
What you are defending is the concept that trade destroys net jobs and wealth. If that were the case, why would New York trade with California? Why would New York City trade with Buffalo? Why would Manhattan trade with Queens? Why would the Upper East Side trade with Soho? Why would each of these jurisdictions not throw up trade barriers with all the others to "protect" jobs?
The reason is because trade increases specialization, which increases productivity, which is a critical key to a growing economy.
Do you honestly believe that America's standards of living would be higher if we didn't allow cheaper foreign cars in this country? The average price of a new car in this country is, what, $20,000. Would you say that America would be better off if we had banned all car imports? The average price of a car in this country would be much, much higher if we had done so, maybe $30,000 or $35,000. It would have been better for the couple hundred thousand auto workers but it would be much worse for the couple hundred millions of Americans.
Trade protectionism destroys wealth and protects a privileged industry that exists only because of political power, not because of economics. It exists at the expense of everyone else and is a tax on the incomes of every day people.