Posted Friday, June 14, 2019 1:19 PM | Contributed by eightdotthree
Since the U.S.-China trade war kicked off last year, Beijing has imposed retaliatory tariffs on American-made rides and ride parts twice, hiking the tax to a little over 25%. S&S Worldwide, one of the largest of the more than two dozen ride manufacturers in the U.S., are among the companies losing business.
Read more from NPR.
The idea that you can not participate in the global economy, or have a singular advantage in it, is a myth, and no amount of flag waving or chest thumping will ever change that. There's not a reputable economist anywhere that thinks these tariff's are a good idea, or that anyone other than American companies and consumers pay for them.
What else can be done about the Chinese theft of US intellectual property?
That question is irrelevant because it's not a significant source of trade imbalance. Developing economies always have an advantage because of lower labor costs, made worse by the sheer size of China. Then we make it worse by propping up incumbent industry instead of pursuing new opportunities. See renewable energy, where China will also own us.
Again, emerging economies have some inherent advantages, but the trade deficit is also self-inflicted. Tariffs make it worse because consumers and companies pay the price.
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