3 ms·
Yes. They are insulated by EU trade tariffs on goods external to the EU. Combine that with the most efficient factories in the EU. They get to provide things th
by throwaway13337 9y ago
Yes. They are insulated by EU trade tariffs on goods external to the EU. Combine that with the most efficient factories in the EU. They get to provide things that can still beat China after considering the tariffs.
In other words, trade barriers strengthened the middle class.
- deleted 9y ago[deleted]
- posguy 9y agoSeems like a net good, I'd rather a strong middle class due to decent trade policies than a "free" market causing severe wealth stratification with the bulk of the populace being poor.
- comicjk 9y agoTariffs on the EU strengthened manufacturing employment in Germany, but many other EU countries don't seem to have much manufacturing and are poorer than Germany, yet still pay those tariffs. That's consistent with the idea that tariffs provide substantial help to a lucky few while levying costs on everyone else.
- throwaway13337 9y agoBut there is manufacturing in those countries too. Those poorer countries are more able to compete with Germany than with China. Cheaper goods are nice but aren't as useful to people without jobs.