The US so far has walked out of TTP and TTIP which would have brought respective tariffs to near-zero because they want to "win" not a free trade deal.
No, the US has walked away from those deals because they want a fair deal. A deal which does not include conditions in which manufacturers are rewarded for moving plants overseas
. Both TTP and TTIP would have included those conditions and hence were not tolerable.
Care to ellaborate? And, please, no BS about Romanian salaries this time around.
That's not bullshit, that's economics. If you don't understand how they work, go grab a book. Economics in One Lesson by Henry Hazlitt is a good way to start educating yourself.
In your mind, what is the point of trade? Is it to benefit from comparative advantages (e.g. highly skilled labour, cheap labour, economies of scale etc)? Or is it only acceptable where comparative advantages are reduced to nought? That is to say, trade is only fair if Apple produces iPhones in countries where it would cost the same to produce an iPhone as it does in the US? If the latter, what is the point of trade at all? Both those countries should just produce their own versions of iPhones and shut down trade completely to benefit from saving shipping costs. So...what is it?
From the point of view of an individual company, of course this all works out. That's why the owners of the large corporations, aka the 1%, have reaped more
than the net benefit of globalization. From a nation's point of view, it's a failure, because people's living conditions worsen. Globalization, as in free trade with poorer countries, is they key driver in income and wealth inequality. Completely free trade only makes sense among nations with comparable levels of prosperity.
Trading between Japan and the US or Germany and the US, all tariffs are a waste and holding back everyone involved. Trading between China and the US, tariffs can make the difference between huge numbers of people in America being able to take care of their families. Yes, there will be a net benefit to the US GDP. But if it's only the rich benefiting from it, what good is that to most Americans?
Globalization is a one way street putting money from poor and middle class peoples' pockets into rich peoples' pockets. The left, meanwhile, has no other cure than taxing the rich for the benefit they are reaping and re-distributing it via government handouts. What a ridiculous cycle. People want to live off their hands' work, not off government handouts.
As an aside, there is only one "would be" participant to the TTP: the US. The rest of the participants have joined that agreement. It's a thing; it exists without the US. Those countries will trade among each other under TTP terms regardless.
Wonderful, and the people of Japan will probably pay a price for that decision.
Last edited by aviationaware
on Mon Jun 11, 2018 4:07 pm, edited 1 time in total.