I grow vegetables; you are a carpenter. I want your service; you want my vegetables. We exchange money and we both feel like we came out ahead. I get that. Free exchange of money for goods and services is a good thing.
Global trade:
There is a peasant in China with a life expectancy of 40. He makes $1000 a year, with no benefits. He lives next to a hellaciously polluted river. He works in a dangerous factory manufacturing TVs. You, on the other hand, live in a nice American suburb. You lost your manufacturing job, and you are living on unemployment right now. But your standard of living isn't too bad -- you just bought this super cheap TV from China. It's amazing how they can sell this stuff so cheap and still stay in business!!!!
American workers are competing with people who have wretched lives. They work cheaper than we do. Which is why they have jobs and we do not. It's becuase we send our money overseas and we tell ourselves that this is making us rich. Hey! Look! I got a TV!
His life must have really sucked before if he took this crappy job.
But your standard of living isn't too bad -- you just bought this super cheap TV from China.
How is taking my TV away going to increase my standard of living?
American workers are competing with people who have wretched lives. They work cheaper than we do. Which is why they have jobs and we do not.
We don't have jobs? I know Obama is trying really hard, but we're not there yet.
It's becuase we send our money overseas and we tell ourselves that this is making us rich.
North Koreans and Cubans don't get to buy much, if any, foreign goods. Their standard of living must be better than ours.