Why Protectionism is bad

The Conscise Encyclopedia of Economics ^ ^ | Jagdish Bhagwati

[Rightwing Conspiratr1]

You're something else Willie. You spend your time in a conservative website quoting Marx (a known liar), and defending Lindbergh (a known Nazi). Your heroes are Henry Ford and Pat Buchanan, both renown antisemites, with Pat being America's best known Hitler apologist. Rock on Willie!

And yours is the rhetoric of a leftist. Why don't you play the race card while your at it?

[uncitizen]

I did read the article thru but not the 59 comments that came ahead of mine, except yours. Altho i wasn't aware of the names or acronyms of these various aid programs i am well aware that such things go on. This is not laissez-faire. I wouldn't call this free trade.

Maybe some protectionism is needed at this point because as you say our standard of living is going down so that everyone elses can go up and i don't want that to happen to America. We and our ancestors busted our butts to get to this point and i hate to see our politicians throw it all away to level the playing field for the "global community".

I believe it is up to those other countries to bring themselves up, as we did, thru sacrifice and hard work. If they take 3 hour siestas, they are where they deserve to be. If their political leaders usurp money for themselves that rightly belongs to the people, they are where they deserve to be.

[ServesURight]

This is a great thread. One of my classes is Economics, so this will be bookmarked.

FReecerely Yours,

[hedgetrimmer]

"And finally, we've got to get back control of our money. We are not going to escape tax serfdom with a flat tax. The tax serfdom which has the government dipping into our pockets claiming the first use of dollars that we make will not be ended by the flat tax. The privacy invading IRS will not be ended by the flat tax. The only way that we're going to end those things and restore ourselves to a real condition of freedom is to abolish the income tax and return to the original Constitution of this country. To have that tax was a mistake. And when people say, well, how are you going to fund the government, you fund the government the way they said they were going to fund it, tariffs, duties, excise taxes, sales taxes, all of these things are part of the agenda of restoring our capacity to meet moral responsibility while at the same time by returning to our first principles and understanding the relationship between our freedom and our respect for God, we will restore the sense of responsibility needed so that we will feel compelled to meet those responsibilities." ALAN KEYES IN IOWA; FEBRUARY 8, 1996;

http://www.pbs.org/newshour/bb/election/keyes_stump.html

[hedgetrimmer]

"Tariffs make foreigners share burden of US government. The income tax should be replaced [by] taxes on things we buy and that we pay only when we decide to buy them. By restoring tariffs and duties to their proper role we will also make foreign populations who benefit from access to the US market share the burden of supporting the governmental system that guarantees its existence." Source: HUMAN EVENTS: The National Conservative Weekly (Apr 17, 1998)

***

So maybe the globalist "free traders" hate tariffs because it forces other countries to help pay for the stability and guarantees a free United States gives to the world.

Maybe they hate tariffs because it forces them to pay, instead of forcing the "rich countries" to pay the "least developed countries". Forcing us to pay them through USAID and the Millenium Challenge to name a few, gives them control over us, and they like that.

[Luis Gonzalez]

Playing the race card?

Obviously, neither you nor Willie could actually refute what I wrote, so you came after me.

So telling...

[neutrino]

You know, I've been criticizing the free traitors rather a lot. Today, I did something about it. I redirected my investment portfolio to profit from the ongoing decline of the dollar, the destruction of our economy, and the upcoming devastation caused by burgeoning trade deficits and loss of our industrial base.

You'll be glad to know that it's working out nicely. Do keep up the good work! You'll destroy America, of course - but, in the meantime, I'm making money. Thanks!

[Gunslingr3]

You are still squirming.
Are you against protectionist tariffs?

I don't mind you fleshing out a yes or no, but I'm interested in knowing whether you are for or against them. You still haven't said.

[Toddsterpatriot]

I redirected my investment portfolio to profit from the ongoing decline of the dollar, the destruction of our economy, and the upcoming devastation caused by burgeoning trade deficits and loss of our industrial base.

I've noticed the dollar has strengthened over the last 2 years. Still making money with this strategy?

[neutrino]

Still making money with this strategy?

Bunches of it. And I look forward to making lots more.

[Toddsterpatriot]

Bunches of it. And I look forward to making lots more.

That's great!! Since you would have lost money betting against the dollar, what winning strategies have you been using?

[1rudeboy]

I second your question. I'm curious to see what investment strategy over the past two years or so, given the parameters stated above, resulted in such great success.

[PSYCHO-FREEP]

Yep.....

Protectionism worked wonders for Russia all through the '50's, '60's and '70's.

Think of the benefits that the government appointed "retailers" gleaned as people lined up for several city blocks to get their daily rations...

[neutrino]

I second your question. I'm curious to see what investment strategy over the past two years or so, given the parameters stated above, resulted in such great success.

Simple enough. I bet against the dollar.

Vanguard Precious Metals Fund

Vanguard Energy Fund

Brandywine Fund

There were some individual securities as well. I use a 50/40/10 allocation ratio, with 50% in stocks (see above), 40% in bonds/CDs/treasuries, and 10% in cash and cash equivalents.

The Brandywine Fund gives me some participation in the general stock market. The Energy Fund participates in the gas/natural gas market. The Precious Metals Fund follows the implied strategy.

I've lightened up in Brandywine, and am presently looking to increase my position with the Energy fund.

You might wish to investigate a similar strategy for yourselves.

[hedgetrimmer]

Think of the benefits that the government appointed "retailers" gleaned as people lined up for several city blocks to get their daily rations...

Fully supported by the "free traders" who embrace the communist system(NOT Constiutionally legal tariff system) you describe because they get "cheap labor" from it.

[Toddsterpatriot]

Simple enough. I bet against the dollar.

Technically, you didn't bet against the dollar, you bet on commodities. If you were betting against the dollar you would be shorting the dollar by going long a different currency.

You might wish to investigate a similar strategy for yourselves.

I've done very well with a few foreign ETFs. EWJ(Japan) and EWY(South Korea) have done very well the last few years. Also ING(Netherlands), the bank/insurance company has done very well. If the dollar weakens, their foreign denominated earnings will be worth more.