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> International trade is a zero sum game. What do you mean by this? And How does it relate to your broader point?
by j88439h84 8y ago
> International trade is a zero sum game.
What do you mean by this? And How does it relate to your broader point?
- ggm 8y agoInternational trade demands that both sides exchange value. If you are made to buy in US dollars, you wind up having to spend them. The place you spend them is in the USA. So, stopping people in China from selling you things stops Chinese investors having US dollars to invest in spending for US goods and services and financial investment. Also, it's well understood that if you beggar your neighbour by making the goods he makes and the goods you make, you can't exchange your goods for his goods: international trade really does work better when you let both sides maximise their value into the trade. Simply taking their raw goods or blockading their cheaper products just doesn't work. So trade is not adversarial. It's mutual. By definition. Across one financial year, one presidential term, one tax reconciliation, for one company? Sure you can exploit an assymetrical relationship. You are just 'shitting in the nest' for everyone else. What do you think the Chinese do with all the US dollars they earn? Burn them?
- SamReidHughes 8y agoThe confusion was that you were not using the term "zero-sum game" correctly. It's the exact opposite.