This goes on free market...
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Cato.org: We Need Sincere Free Trade
Yet Swedish farmers along with others in the European Union enjoy a comfortable lifestyle, at the expense of poor countries in Eastern Europe, Africa and Latin America. That's because of the EU's Common Agricultural Policy (CAP), which is designed to protect European farmers from competitors in the developing world and elsewhere. (And America plays a similar game.)
The CAP uses quotas and tariffs of several hundred per cent to effectively block the importation of foreign foodstuffs. The result is a huge surplus of foodstuffs piling up around Europe that must be either used or destroyed. So the EU dumps the stuff in poor countries with the help of export subsidies, further undermining the livelihood of competitors abroad.
The EU's protectionism isn't unique; most rich countries have similar systems. And the barriers to imports are especially cruel to developing countries. Western duties (i.e., taxes) on manufactured goods are 30% above the global average. The tariffs are not uniform but rise in proportion to how processed the product is. Partially processed products face, on average, 20% higher tariffs than raw resources. Finished products face almost 50% higher tariffs. To put it simply, developing countries can export fruits, but not the jam they make from those fruits.
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Reaganomics will not work. US has a debt based economy that has created an asymmetry between Chinese and American workers. Americans would need to lose 14/15 of buying power due to the US monetary policy and personal debt of americans, where US exported inflation to China for years, so Americans could compete in the globalized job market. Currently Reagonomics trickle down would go to China.



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