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"because all the money has gone into casino economy not capacity building" Executives won't build on-shore capacity when they'll just get undercut by off-shore
by giantg2 9mo ago
"because all the money has gone into casino economy not capacity building"
Executives won't build on-shore capacity when they'll just get undercut by off-shore shops. It's less risky to just outsource.
- criddell 9mo agoIsn't that one reason for tariffs? VW, BMW, Mercedes, Toyota, Honda, Subaru, Nissan, and Kia all have some US or Canadian factories.
- alistairSH 9mo agoYes, in theory. But, there are at least three problems with that... 1. Tariffs are frequently not targeted/precise enough, so come with lots of side effects. 2. Other countries retaliate, leading to trade wars and economic disruptions in both places. 3. Lower prices are usually better for local consumers - it leaves them with more money to buy other stuff. And tariffs do the opposite, as they are rarely 100% absorbed by the manufacturer.
- giantg2 9mo agoYeah, tariffs can be one part of it, especially things like anti-dumping. But there is no tariff for outsourcing virtual work. The US outsources something like 300k jobs per year, and tariffs won't fix that.
- deleted 9mo ago[deleted]