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Don't forget that there are gains to trade. It's not just redistributive; more people are making more stuff (aka creating wealth). The pie gets bigger. The risk
by barrkel 9y ago
Don't forget that there are gains to trade. It's not just redistributive; more people are making more stuff (aka creating wealth). The pie gets bigger. The risk is that some people's slice gets smaller, even in absolute terms.
Poor people who are still employed also gain from globalization, because their inputs become cheaper.
Above all, too high a rate of change is what causes dislocation and destroys lives, when large segments of the population are left without valuable skills.
- tormeh 9y agoYes, but shrinking the pie means that finite resources such as housing (land) becomes cheaper. Even if my piece of pie gets smaller in absolute terms I might still be better off than before because the price of housing and domestic services have gone down.