Friday , July 10 2020
Home / Tag Archives: International Trade

Tag Archives: International Trade

USMCA Is a Net Move AWAY From Free Trade

The reduction of trade barriers among the USMCA’s parties will strengthen U.S., Mexican and Canadian supply chains, returning manufacturing jobs to North America from China. Even before the Covid-19 pandemic exposed how North America had become too dependent on China for medical equipment and drugs, Beijing’s campaign of intimidation and censorship was already hurting international companies. So write H.R. McMaster and Pablo Tortolero in “The North American Trade...

Read More »

The “Trump Economy” Before Covid-19

In the cover feature of the Summer issue of Regulation, I review the American economy and the economic performance of the Trump administration before Covid-19 hit. I review the evidence on unemployment, GDP growth, wages, stock prices, regulation, trade, public finance, etc. Nine figures illustrate my evaluation. A short excerpt on only one of the topics covered: In the spring of 2016, then-candidate Trump told WashingtonPost reporters Bob Woodward and Robert Costa,...

Read More »

A liberal world trading system: Who says no?

NBA fans occasionally come up with fanciful trade proposals—say Trae Young for Zion Williamson—and then ask, “Who says no?” The basic idea is that if your trade proposal is clever enough then neither side will say no. Commenters occasionally tell me that the US must get tough with China, because that country is trying to make the world a more illiberal place. I actually don’t think China cares very much how liberal other places are, but I do agree that the Chinese...

Read More »

Adam Smith: Myths and Realities

Myth: Adam Smith argued that the welfare gains from free trade among nations were limited to countries’ exploitation of their production cost advantages. The Reality Behind the Myth: Adam Smith is heralded today for his incisive argument for free international trade, unfettered by tariffs and quotas that curbed imports and “bounties” (subsidies) that promoted exports. For two centuries prior to the publication of The Wealth of Nations (1776), advanced countries had...

Read More »

Whitehouse Is Right and Cruz is Wrong

The United States Joins OPEC. What does it tell you about Republican sincerity when supposedly “free market” Republicans are out supporting a cartel, and lose it when the cartel breaks and prices go down for consumers? As long as it’s fossil fuel interests, nothing else matters. https://houstonchronicle.com/news/article/Ted-Cruz-to-Saudi-Arabia-You-re-supposed-to-15184721.php So tweeted Democratic Senator Sheldon Whitehouse of Rhode Island on April 7. And how did...

Read More »

The Stark COVID Contrast Between Government and Free People

Economists rarely get to run field experiments for the whole economy. And thank goodness for that, because field experiments can be very damaging. But the coronavirus that every American has been dealing with for the last month has given us as close to a field experiment as we’re ever likely to get. In particular, we have seen how government reacts with a heavy hand that often makes things worse, and how private individuals and businesses have moved nimbly to fight...

Read More »

Despite Trump’s Best Efforts?

“Despite Trump’s Best Efforts, Economic Freedom Declined in the U.S. Last Year.” So reads the headline of an article on pjmedia.com on March 17 by Tyler O’Neil. Despite? As regular readers of my posts know, I NEVER blame a writer for a headline if I don’t know that the writer supplied the headline. In this case, though, it doesn’t matter because here’s how Tyler O’Neil starts his article: Despite President Donald Trump’s best efforts, economic freedom in the U.S....

Read More »

Coronavirus and the free trade narrative

I am less optimistic than Pierre Lemieux: the epidemic shows the benefits of economic growth and international trade. By strangling Chinese growth (“deepening economic damage,” says the Wall Street Journal of yesterday) and perhaps also, if it becomes a pandemic, economic growth in other countries, and by slowing down international trade, the coronavirus will give a hand to the autarkic and zero-sum-game vision of the US administration. No need for a trade war if a...

Read More »

Three Cheers for the Coronavirus

I don’t propose to cheer for the death, financial loss, or other impairment of anybody (sorry if I weep less for rulers), but I do find a silver lining in three benefits of the current Covid-19 epidemic or pandemic. These benefits are not net benefits and certainly not net benefits for everybody: only public goods, by definition, provide net benefits to everybody. First, the epidemic illustrates the benefits of free speech, even for a tyrant such as president Xi...

Read More »

Cass’s Cause

Oren Cass believes conservatives have blundered by outsourcing GOP economic policymaking to libertarian “fundamentalists” who see the free market as an end unto itself, rather than as a means for improving quality of life to strengthen families and communities. The former domestic policy director on Mitt Romney’s 2012 presidential campaign quit his job as a senior fellow at the Manhattan Institute to launch a new group called American Compass that aims to reorient...

Read More »