Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

A Neoclassical Hole in Neoclassical Free Trade
Post-Autistic Economics Review ^ | 2 August 2004 | Ian Fletcher

Posted on 08/12/2004 10:07:01 AM PDT by rmlew

click here to read article


Navigation: use the links below to view more comments.
first 1-2021-4041-6061-72 next last
This is one of the few concise attacks on free-trade comprehensible to the non-economist.
1 posted on 08/12/2004 10:07:07 AM PDT by rmlew
[ Post Reply | Private Reply | View Replies]

To: Willie Green; Cacique; Clemenza; Dutchy

Ping


2 posted on 08/12/2004 10:08:11 AM PDT by rmlew (Peaceniks and isolationists are objectively pro-Terrorist)
[ Post Reply | Private Reply | To 1 | View Replies]

To: rmlew
People are better off with less freedom when they would use that freedom to hurt themselves.

Oh for God's sake! What a moronic statement.

3 posted on 08/12/2004 10:23:50 AM PDT by elbucko (A Feral Republican)
[ Post Reply | Private Reply | To 1 | View Replies]

To: rmlew
I think Ian thinks too much, his brain must hurt. The last time I saw him we had a discussion about Iraq and he was totally against it. Since then, I barely pay any attention to anything he has to say.



4 posted on 08/12/2004 10:29:11 AM PDT by Cacique (quos Deus vult perdere, prius dementat)
[ Post Reply | Private Reply | To 2 | View Replies]

To: elbucko

The answer, obvious enough once one thinks about it in the way implied by our experiment, is this:
People are better off with less freedom when they would use that freedom to hurt themselves.


Yes. Also this argument assumes that gdp growth is zero.

And we work more hours that most coutnries.--> Not decadent.


5 posted on 08/12/2004 10:29:15 AM PDT by fooman (Get real with Kim Jung Mentally Ill about proliferation)
[ Post Reply | Private Reply | To 3 | View Replies]

To: elbucko
The empirical facts are pretty much what our thought experiment would suggest: the USA maintains for now the world’s highest level of consumption, but is running a huge trade deficit and is the world’s largest debtor and biggest borrower.

The author left out that the US is also the worlds largest producer. I don't condone the level of deficit the US is running now, but it is the price we have to pay for the 8 years of the Clinton Administration ignoring terrorism.

6 posted on 08/12/2004 10:29:59 AM PDT by elbucko (A Feral Republican)
[ Post Reply | Private Reply | To 3 | View Replies]

To: fooman

11+ Trillion economy growing at 3.5% to 4% plus 45 trillion in net worth ---

Which has never been higher.


7 posted on 08/12/2004 10:32:05 AM PDT by fooman (Get real with Kim Jung Mentally Ill about proliferation)
[ Post Reply | Private Reply | To 5 | View Replies]

To: elbucko

I would rather go back to bilateral trade, instead of the WTO.

That would mean severe restrictions on China, which not allow too much concentration of treasuries and strict enforcement of our intellectual property rights.

Also need to reduce regs in this counry, including making all states right to work states.


8 posted on 08/12/2004 10:38:02 AM PDT by fooman (Get real with Kim Jung Mentally Ill about proliferation)
[ Post Reply | Private Reply | To 6 | View Replies]

To: elbucko
"I don't condone the level of deficit the US is running now, but it is the price we have to pay for the 8 years of the Clinton Administration"

Oh for God's sake! What a moronic statement.

9 posted on 08/12/2004 10:41:02 AM PDT by jpsb (Nominated 1994 "Worst writer on the net")
[ Post Reply | Private Reply | To 6 | View Replies]

To: Cacique
I think Ian thinks too much, his brain must hurt. The last time I saw him we had a discussion about Iraq.....

You actually know this guy? This stuff is bizarre! The restraint of freedom for the collective good is socialism. The restraint of freedom for the individual good is slavery. However, laws restraining criminal behavior is neither. Doesn't he get the difference?

Oh yes! He's an engineer. Well so am I, at least that's what my diploma says, BSME. I never used it, by the time I graduated, I was in commercial real estate. I learned that engineers do not understand business, unless they succeed at one.

10 posted on 08/12/2004 10:42:33 AM PDT by elbucko (A Feral Republican)
[ Post Reply | Private Reply | To 4 | View Replies]

To: fooman
I would rather go back to bilateral trade, instead of the WTO.

I agree for reasons in the disparities of living standards and human rights. GATT is not a level playing field for producer or consumer. It was a nice try, but the rest of the world, China, etc., that is exploitive of their own people, need to catch up with the "Moral Capitalism" of the US. I know that sound like an oxymoron, but that is what America strives for.

11 posted on 08/12/2004 10:54:17 AM PDT by elbucko (A Feral Republican)
[ Post Reply | Private Reply | To 8 | View Replies]

To: rmlew

the answer is not to reduce freedom but to promote thift, prudence, and long-term planning... and reduce the tax-based "safety net" for those who squander their resources and live beyond their means.


12 posted on 08/12/2004 10:57:17 AM PDT by King Prout ("Thou has been found guilty and convicted of malum zambonifactum most foul... REPENT!)
[ Post Reply | Private Reply | To 1 | View Replies]

To: rmlew

While it's necesarily limited in scope, this is a nice rebuttal to some aspects of modern free-trade theology.


13 posted on 08/12/2004 11:09:45 AM PDT by nosofar ("I'm not above the Law. I am the Law!" - Judge Dredd)
[ Post Reply | Private Reply | To 1 | View Replies]

To: rmlew
...but because America’s ability to assume debt and sell assets can postpone this collapse for years, it may not be the smooth correction that neoclassical models imply.

This is a false assumption. When Japan was buying up LA real estate in the late '80's, everyone was in a panic. I thought it was great. The Japanese had to pay property taxes on over appraised property. These assets are also immovable. The Japanese could not put a downtown LA building on a ship and float it to Tokyo. So the above theory that to assume debt and sell assets will only forestall collapse is unfounded. When the Japanese economic bubble (that the author seems to favor) tanked, commercial real estate in LA tanked with it. The Japanese sold the bldgs. back to US buyers at fire sale prices. American buyers made a bundle while the Japanese paid the taxes. All and all, in the whole deal, the US made money and the Japanese lost a shipload of Yen.

What the author describes as a desirable economic model is "Mercantilism" and an authoritarian society.

No,thanks. I prefer being free to hurt or benefit myself. The beauty mathematics not-with-standing.

14 posted on 08/12/2004 11:11:22 AM PDT by elbucko (A Feral Republican)
[ Post Reply | Private Reply | To 1 | View Replies]

To: rmlew

Socialist thinking at its best (which is not very good).

I guess this is why we are forced to participate in Social Security.

Does he ever think that the individuals (whichever society they are in) that save, are the ones that deserve to end up owning the most property?


15 posted on 08/12/2004 11:14:10 AM PDT by chipengineer
[ Post Reply | Private Reply | To 1 | View Replies]

To: jpsb
Oh for God's sake! What a moronic statement.

...;^)

16 posted on 08/12/2004 11:19:55 AM PDT by elbucko (A Feral Republican)
[ Post Reply | Private Reply | To 9 | View Replies]

To: elbucko
People are better off with less freedom when they would use that freedom to hurt themselves.

Oh for God's sake! What a moronic statement.

It's a simple statement of fact. (In the same vein, you could say people would be thinner with less food if they would use that food to make themselves fatter.) I assume the real issue for you is who decides (and how) what 'better off' means. If so, you're confusing the statement of a simple fact with a statement as to how it should be acted upon.

17 posted on 08/12/2004 11:21:01 AM PDT by nosofar ("I'm not above the Law. I am the Law!" - Judge Dredd)
[ Post Reply | Private Reply | To 3 | View Replies]

To: rmlew
Interesting in that it brings up something I have been wondering about.

Our industrial capacity is declining. Most of the products bought and sold in this country are not made here. In the recent past we have made up for this in "services" and banking. Now that is starting to be done cheaper in other places with less overhead.

Since we are a post industrial economy, and soon to sliding into a post commercial one, what is next?
18 posted on 08/12/2004 11:21:47 AM PDT by redgolum
[ Post Reply | Private Reply | To 1 | View Replies]

To: rmlew
This is one of the few concise attacks on free-trade comprehensible to the non-economist.

Concise?

On my planet that word has a different meaning than where you're from.

19 posted on 08/12/2004 11:24:04 AM PDT by Repairman Jack
[ Post Reply | Private Reply | To 1 | View Replies]

To: elbucko
Yes, I met him through Ron (rmlew) at one of our Young Republican meetings in NYC. At the time he was editor of David Horowitz's Frontpage Magazine. He was a bit saner then. Well, at least it seemed that way.

I am sure that a long unpaid vacation in some country ruled by a dictatorship will cure him of his delusions.



20 posted on 08/12/2004 11:24:44 AM PDT by Cacique (quos Deus vult perdere, prius dementat)
[ Post Reply | Private Reply | To 10 | View Replies]


Navigation: use the links below to view more comments.
first 1-2021-4041-6061-72 next last

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson