Trade Wars

Do imports really hurt the American Economy?
95% of the people used to work on farms. Now it's 2%. Yes, there were periods of wrenching dislocations and plenty of individuals who were hurt. But does anyone really think it would be best to go back to 95% of the population spending their days in strenuous back breaking labor in the fields?
 
Most of the manufacturing jobs we lost were due to mechanization and improving productivity, not lost to other countries, for all of the political pronouncements to the contrary. The unions had a heyday in the aftermath of WWII when most of the world's manufacturing had been destroyed - except ours. But that couldn't be expected to last. We even paid to help everyone else rebuild theirs while ours started to rust away.
 
It's always easy to point to the individual people hurt by a process ... they're always there. But what do the poor do when prices for essentials start skyrocketing because of punative tariff taxes. How much steel does it take to make a car, a refrigerator or a washing machine. Those prices will be going up if either Trump or Clinton has their way. Prices go up, fewer bought, lower production and lost jobs. They just aren't as obvious or concentrated as the ones we can directly point to.
 
Neither one of the candidates have been honest with us. They both pandered to fears and scare tactics and outright lies. In the end the election isn't about who most people wanted in the Oval Office, it's who they fear the most moving in.

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Hayek Vs Keynes

Just ran across links to a couple of my favorite economics videos.

A little background … Hayek was a free market economist of the Austrian school and Keynes an interventionist. Their biggest argument was about the causes of business cycles and of the Depression in particular. So without further ado, here you go …

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