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Because the tools are somewhat comparable, you seem to have been tricked into conflating "protectionism" (which has some stabilising virtues, especially in the
by ezst 2mo ago
Because the tools are somewhat comparable, you seem to have been tricked into conflating "protectionism" (which has some stabilising virtues, especially in the area of agriculture, arms, heavy industries, resources extraction) and "dumping" (which is an aggressive act). There is also something to be said about the scale of it. And of the validity of a world view where "every trick is allowed, everything is for grabs, and let the biggest be the winner, and the winner take it all".
- tancop 2mo agowhen those tricks benefit the average person in the end whats wrong with them? subsidy wars give you extra manufacturing capacity that stays there even if the market collapses. economists call it overbuilding like its something wrong but i think "investment above market level" is a lot more accurate. if everyone price dumps equally, nobody wins and the fight can go on forever. that fight is good for consumers (lower prices), good for producers (higher demand with the same margins), neutral for states and very bad for commercial lenders who deserve it because their business is pure rent extraction. and it will push the industry forward in a permanent way through higher R&D investment.