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

To: Alberta's Child
As is often the case, a tariff ends up simply protecting a domestic industry that is too outdated or lazy to compete on its own.

But even in this example the tariff produced a beneficial out come. A more efficient system. Again another win for tariffs!

149 posted on 03/20/2016 5:55:15 PM PDT by central_va (I won't be reconstructed and I do not give a damn.)
[ Post Reply | Private Reply | To 147 | View Replies ]


To: central_va
Baloney. For one thing, the tariff was overturned in every international trade court that issued a ruling on the dispute. The U.S. ended up paying most of the tariff back to Canada, and in exchange the Canadian government changed the way they charged lumber producers for cutting timber on public lands (this was the basis of the U.S. tariff).

More importantly ... One of the important things that happened as a result of that tariff was that Canadian lumber producers began buying mills here in the U.S. -- to give themselves some flexibility to deal with these trade disputes in the future. Canadian lumber companies owned 2 mills in the U.S. in the early 2000s, and own more than 40 right now.

Like I said ... protecting a domestic industry that is too outdated or lazy to compete on its own isn't going to change the basic laws of economics.

150 posted on 03/20/2016 6:01:19 PM PDT by Alberta's Child ("Sometimes I feel like I've been tied to the whipping post.")
[ Post Reply | Private Reply | To 149 | View Replies ]

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