Political Demagoguery On Trade: Donald Trump Edition

Add Donald Trump to the list of political candidates who falsely condemn international trade as a zero-sum game instead of speaking the truth about trade’s benefits.

Trump on Ford Motor Company’s plans to build plants in Mexico:

“Let me give you the bad news: every car, every truck and every part manufactured in this plant that comes across the border, we’re going to charge you a $35 tax—OK?—and that tax is going to be paid simultaneously with the transaction.”

And Trump on Oreo cookies:

“I love Oreos. I will never eat them again. Nabisco closes the plant in Chicago and they are moving the plant to Mexico. Why?”

Sheldon Richman eviscerates Trump’s naive nativism:

The purpose of production is not job-creation; it’s consumption. If Americans find foreign-made cars a better value than American cars, so be it. To the extent they save money, they have more discretionary income with which to buy other things or to save and invest. For those who (needlessly) worry about jobs, this new ability to buy and save ought to be comforting. If Americans’ direct auto-making talents aren’t valued in the marketplace, Americans will make other things that consumers (here and abroad) will want. That’s the law of comparative advantage in action. (Again, this assumes no government distortions, such as those created by subsidies, taxes, occupational licensing, zoning, central banking, intellectual property, and other special-interest political mischief.)

Replace “cars” with “cookies” above and you still have the same thing.

So my question for Mr. Trump: how come you insist on stealing American country club jobs and shipping them to Europe?

Advertisements

Tags: , , ,

One Response to “Political Demagoguery On Trade: Donald Trump Edition”

  1. Donald Trump Vs. Free Markets | The Blog For Truth, Justice, & The Josh Way Says:

    […] I’ve posted previously, Trump rejects free trade. Along with attacking Mexican imports, Trump wants to make imports from China effectively […]

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s


%d bloggers like this: