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To: freebacon
Thus, when I buy a newspaper from a newsdealer for fifty cents, the newsdealer and I exchange two commodities: I give up fifty cents, and the newsdealer gives up the newspaper. Or if I work for a corporation, I exchange my labor services, in a mutually agreed way, for a monetary salary; here the corporation is represented by a manager (an agent) with the authority to hire.

Both parties undertake the exchange because each expects to gain from it. Also, each will repeat the exchange next time (or refuse to) because his expectation has proved correct (or incorrect) in the recent past. Trade, or exchange, is engaged in precisely because both parties benefit; if they did not expect to gain, they would not agree to the exchange.

This is not an example of international trade, not even interstate trade, this is nano-economics. Where is the government subsidizing the production of the newspaper, another government with a printing press? This doesn't matter? Then why do free traders defend their policies with talk of governemnt subsidies and exchange rates?
In addition, outsourcing grows global economies, and global markets, creating more opportunities for domestic industries. Protectionism doesn't protect wealth nor create it; It rations it out.
This more than anything smacks of socialism.
increase the productivity and wages of workers, thereby increasing their standard of living
It would certainly be nice to see this actually happen some day.
Government, in every society, is the only lawful system of coercion. Taxation is a coerced exchange, and the heavier the burden of taxation on production, the more likely it is that economic growth will falter and decline. Other forms of government coercion (e.g., price controls or restrictions that prevent new competitors from entering a market) hamper and cripple market exchanges, while others (prohibitions on deceptive practices, enforcement of contracts) can facilitate voluntary exchanges.
Since this is in bold, I assume it is a major point. If so, then why waste your time trying to eliminate a 4-5% tax when there is the 35% income tax, 100% gas tax, 9% sales tax? Aren't you overestimating the damage tariffs are doing to the economy?

One more point, you don't have the freedom to just bring anything into this country without it being inspected. And, it is certainly not coercive to charge a fee to offset the costs of inpection at the border.


7 posted on 03/09/2004 7:57:21 PM PST by sixmil
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To: sixmil
"This is not an example of international trade, not even interstate trade, this is nano-economics."

This was used in the article to contrast Free Trade in Capitalism and Socialism.

"This more than anything smacks of socialism. "

Protectionism doesn't protect wealth nor create it; It rations it out. ..Thats the part that smacks of socialism; Protectionism isn't Free Trade.


"It would certainly be nice to see this actually happen some day. "- in reference to the standard of living.

The U.S enjoys the highest standard of living in the world.

"Since this is in bold, I assume it is a major point. If so, then why waste your time trying to eliminate a 4-5% tax when there is the 35% income tax, 100% gas tax, 9% sales tax? Aren't you overestimating the damage tariffs are doing to the economy? "

This article is about Free Trade. Not the U.S's tax policies.
11 posted on 03/09/2004 9:53:46 PM PST by freebacon
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