It is the "free trade" herein defended by some by hurling invective and insults at "protectionists," by demanding that we "protectionists" take a course in Econ 101.
Well, I went back and re-read the entire chapter on "comparative advantage" and at the end Professor Paul Samuelson says "all Ricardian bets are off" if wage differentials are too great and if one country's currency ends up at the wrong level. Comparative advantage retains its "vital social relevance" only when exchange rates, prices, and wages are appropriate.
The Davos World's "rules-based free trade" is not about economics, it's about redistribution of wealth. IMO it is a Marxist revolution from the top down and our corporations are the useful idiots who will be stripped of all their investments in Red China and elsewhere and placed on a slow boat back to America. It's what commies and com-symps do.
The author is a professional and an expert.
But I nevertheless ask about "our" transnational corporations kowtowing to the WTO. I wonder about those "national leaders" cornering CEO's and getting commitments to pour investments, etc. into this country or that country.
I wonder about the attendees; i.e., our New Democrat Third Way progressives and their internationalist comrades and their hatred of laissez faire capitalism. They have a commitment to "rules-based" trade, their rules. They accept the free market as the only way to wealth but once we arrive there then what?
See ndol.org. They want to replace our social contract with a new one for the world. The new one will no doubt include "human rights" and not inalienable rights. Human rights are government granted rights.
The author, et al. are experts and maybe transnational corporations funded the economic forum to create a "world united in the pursuit of mass consumption and popular entertainment" but I swear I don't think they control it any longer.
I bet that there is not one attendee other than businessmen who does not feeeeeeeel that communism can be made to work this time -- it just takes rules and useful idiots just like Lenin said.
One day they'll knock on the businessmen's protective bubble and ask, "Hey, you guys got any rope for sale?"
You are more right than you know.
Well, I went back and re-read the entire chapter on "comparative advantage" and at the end Professor Paul Samuelson says "all Ricardian bets are off" if wage differentials are too great and if one country's currency ends up at the wrong level. Comparative advantage retains its "vital social relevance" only when exchange rates, prices, and wages are appropriate.
I believe this is now echoed by Lester C. Thurow of MIT's economics dept.
The Davos World's "rules-based free trade" is not about economics, it's about redistribution of wealth. IMO it is a Marxist revolution from the top down and our corporations are the useful idiots who will be stripped of all their investments in Red China and elsewhere and placed on a slow boat back to America. It's what commies and com-symps do.
Excellent analysis!