Shaking Up Trade Theory

[imported_Condor]

Originally posted by: ntdz
You can only benefit from globalization. There might be downsides like less goods produced here, but it frees us up to produce goods we specialize in and produce BETTER than other countries. We let China make all their little garbage goods so we don't have to and can make better ones instead. It's Econ 101, trade only helps both countries involved, ALWAYS.

Oh, forgot to mention, the author of the text for Econ 101 is WRONG! After about 15 hours of ECON, I figured out that economics is so complex with so many variables that everyone is simply guessing! No one really knows!

 

[Centinel]

Last time I checked this country's economy was service-based. It's called progression....we went from agrarian in the 18th-19th century, to industrial in the 20th century, and now Information/Services in the 21st century.

All this talk of outsourcing, but noone bothers to mention all the FDI (Foreign Direct Investment) that comes into this country. Hell, there are FIVE foreign auto manufacturers in my state alone....that's alot of jobs and money.

Also, the 'white collar' jobs everyone harps on are call center, tech support, or low-level coding jobs.

Also, outsourcing costs a great deal of money.....as wages rise in China and India, the cost/benefit ratio of outsourcing will dry up. It already is to some extent.

Another point: all this doom and gloom reporting is based of the recent recession....of COURSE its going to look bad, we were in a recession.

Finally, the fact remains that the days of getting 30 bucks an our on an assembly line are over. I'm sorry, but that's just rediculous. You want higher pay? get an education.

 

[robertk2012]

It wont solve all the ills and never will because there is always room to improve. That is what has made the U.S. great...that continous improvement. Destruction of old ways for new and better ways. I would like you to name one major problem facing our society that would not be improved by having those who faced the problem better educated. Instead of spending more money on low cost housing or blocking goods from china why not spend the money on education. Oh and there is a cost everytime we try to keep cheep imports from coming in...thats one thing economists are certain off. Its what you do with those savings that makes all thie difference. Just like in your own life when you get a little extra money and you blow it the next day you did nothing to improve your life long term but instead if you invest it or use it to increase your skill then what has happened to your long term prospects.

lol and how can you compare quanities of land and quanities of people to education. Just makes no sense.......And sorry but you are the one that is nuts......and its probably people like you that will make it hard to solve any problems.

Originally posted by: LordMagnusKain

These are all symptoms of a greater problem which the only solution is improved education.

are you nuts? this is like saying that all of our problems are because we don't have enough land, or because we don't have enough people.

the fact is that a well trained work force will add to the productivity of society, but it won't solve all our social ills, nothing will, we?re human and life isn?t utopian

 

[IronMentality]

Originally posted by: Engineer

Originally posted by: ntdz

Originally posted by: dmcowen674

Originally posted by: GrGr
Topic Title: Shaking Up Trade Theory
Topic Summary: For decades economists have insisted that the U.S. wins from globalization. Now they're not so sure

Awwww come on GrGr, the RRR FLL's say it's a great thing that the U.S. has no Mnyfacturing capability of it's own. You heard them, all those petty jobs are beneath them.

yeah, we have no manufactoring capability, thats why our economy is nearly triple the size of the next biggest country, and we export the most goods of any country (including china).

We still import 50% more than we export.

Also, nearly 1/3 of our GDP is built upon those cheap imports.

75% of products made in the USA are still consumed directly by Americans.

 

[IronMentality]

Originally posted by: Engineer

Originally posted by: ntdz

Originally posted by: dmcowen674

Originally posted by: GrGr
Topic Title: Shaking Up Trade Theory
Topic Summary: For decades economists have insisted that the U.S. wins from globalization. Now they're not so sure

Awwww come on GrGr, the RRR FLL's say it's a great thing that the U.S. has no Mnyfacturing capability of it's own. You heard them, all those petty jobs are beneath them.

yeah, we have no manufactoring capability, thats why our economy is nearly triple the size of the next biggest country, and we export the most goods of any country (including china).

We still import 50% more than we export.

Also, nearly 1/3 of our GDP is built upon those cheap imports.

By the way, as far as your signature -- you should become a Republican. You can invest in stocks that pay off dividends and keep 85% of the money now, as well as more of your capital gains revenues from investing in our economic engine. The best wealth creator there is -- investing with a steady job.

 

[piasabird]

Personally I see the European Union as an Evil Empire. It seems the EU has a primary goal to thwart the US Economy.

 

[lozina]

Originally posted by: ntdz
...but it frees us up to produce goods we specialize in and produce BETTER than other countries.

... like hamburgers ?

 

[Centinel]

Originally posted by: lozina

Originally posted by: ntdz
...but it frees us up to produce goods we specialize in and produce BETTER than other countries.

... like hamburgers ?

Exactly....the entire US economy is supported by our amazing hamburger manufacturing process.

I'm still trying to figure out what me and all of my coworkers are doing exactly.

 

[Kibbo]

you don't have to produce anything better than anyone else for the benefits of trade to flow your way.

Comparative advantage flows from the opportunity costs of producing one good over another within your own country.

For instance, other countries may be better at high-capital, low education manufacturing then they are at high-education industries.

You are probably better than them at both. But you are better at the high-education industries than you are at the manufacturing. So, people in manufacturing are "wasted" labour, because they could be better used elsewhere.