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" we don't live in aggregate; we live as individuals. If the U.S. economy grows 1% because of the efficiency of the international labor pool, but no individual'
by pravinva 9y ago
" we don't live in aggregate; we live as individuals. If the U.S. economy grows 1% because of the efficiency of the international labor pool, but no individual's income grows 1% (except coincidentally); it doesn't help the individual who loses his/her job - their economy contracted 100%. "
This is superficial reasoning. Bastiat taught economists to look beyond this obvious job loss. Protectionism causes MORE job losses than free trade. The number of jobs in an economy are a function of aggregate demand and impacted by fiscal and monetary policy-trade doesn't change it one bit. Trade changes the _nature_ of the jobs, not the number. So the right thing is to allow freedom to trade.