LawnGuyLandSparky said:
Until is was farmed out, it was quite permanent, wouldn't you say?
Key word being ‘was’.
I mean, Ford didn't move Detroit from State to State, did they?
Not yet but there is not a US made car that is 100% made in the US. They may not have moved the plant but they have outsourced lots of components.
I'm curious why someone would advocate trade restrictions against a foreign competitor who has the advantage of utilizing cheap labor from an area with a lower cost of, and standard of living, while at the same time decry an entity such as a local school district or municipality or even state from passing legislation that protect's it's local residents from that very same threat?
Local school districts don’t pass PW laws.
That's just spin and it is not at all the “very same threat”, this issue is quite a bit more complex than that. I am not advocating trade restrictions, I am advocating fair trade; there is a difference.
1) Unlike every other currency in the world where the value of their currency is dictated by the open market, the Chinese government sets the value of their Yaun, they can do this because they are under valuing.
Up until July of 2005 the Chinese government pegged the Yaun (Chinese dollar) to a fixed value that was lower value than the US dollar. The intent was to make the dollar go much further in China than they Yaun would go in the US, which means we would buy more goods from them then they would buy from us.
While the Yaun is no longer pegged, its is still set within a fixed percentage range of the US dollar and is still basically undervalued, and one result is we still have a major trade deficit.
2) China has restrictive trade practices in mainland China, which include a wide array of barriers to foreign goods and services, often aimed at protecting state-owned enterprises. These practices include high tariffs, lack of transparency, requiring firms to obtain special permission to import goods, inconsistent application of laws and regulations, and leveraging technology from foreign firms in return for market access. Mainland China's accession to World Trade Organization is meant to help address these barriers, but so far it has yielded little other than using a percentage to peg the Yaun.
3) So why do we put up with the inequities of out current trade agreements? Because our government spends more money each year then we collect in taxes. To make up the difference we just sell Treasury Bonds, and China is only to happy to buy them from us. Currently it is estimated that China owns more than $1,000,000,000,000 (12- Zeros…as in Trillion) dollars in US is T-bonds. If we pass a law they don’t like, they just threaten or even act on selling off large chunks of it which in turn screws up our dollar value.
As for the philosophical, political, and socioeconomic aspect of this discussion, I don't believe that "free trade" or "free market" is the equivilant to fair. Freedom, in it's absolute sense, doesn't necessarily equate to fair and in fact, is more closely associated to anarchy.
Yes, but its is a controlled anarchy.