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Some counterarguments: > it is better for a country to have a diverse manufacturing base A country can exist and be wealthy without diverse manufacturing base
by ivan_gammel 2y ago
Some counterarguments:
> it is better for a country to have a diverse manufacturing base
A country can exist and be wealthy without diverse manufacturing base.
> a net positive balance of trade
A country can have stable and growing economy with negative balance of trade, as long as certain conditions are met. In short, this country may offer something else to compensate trade deficit, i.e. there can be a price tag on military and political power.
- jillyboel 2y ago> i.e. there can be a price tag on military and political power And what about services the US provides? Google and Microsoft are some of the biggest companies and bring a ton of money to the US, but this doesn't seem to be included in the calculation because they don't sell physical goods.
- ivan_gammel 2y ago> bring a ton of money to the US Are they? Or do they keep their profits overseas?
- jillyboel 2y agoJust ask all the techbros on HN who earn shitloads more than what's possible in other countries
- ivan_gammel 2y agoAccording to Economist: Trade deficit in physical goods: $1.2T Total services exports, including finance and IT: $1.1T Trade surplus in services: $295B (just 25% of what is needed)
- charlie90 2y ago>A country can exist and be wealthy without diverse manufacturing base. This theory has yet to be tested in a peer war.