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US automakers are already unable to compete globally even within the ever shrinking ICE share. Protectionism makes industries weak and uncompetitive, ultimatel
by epistasis 2mo ago
US automakers are already unable to compete globally even within the ever shrinking ICE share.
Protectionism makes industries weak and uncompetitive, ultimately hurting the economy of the nation doing the protectionism. The proper strategy to become competitive is to provide a small amount of protectionism so that the industry does not die, but to ruthlessly cull underperforming companies so that only the strongest survive. The continual bailouts of companies, keeping old and incompetent executives at the helm, has destroyed the US car industry.
Capitalism requires killing the underperforming companies. Until we let that happen, or at a minimum cull leadership and boards, nothing will get better. The rot is at the top.
- cineticdaffodil 2mo agoThe rot is that a empire selling security can subsidize any economic policy indefinitely and is completely decoupled from anything resembling a free market forever.
- epistasis 2mo agoI would quibble with the "forever" there. Eventually empires have bad leaders, and Trump is showing how a bad leader can disassemble an economic empire in just a few short years. One can do tremendous damage from the inside, especially when the populace has been cowed by broad misinformation and the checks and balances have been removed by single party rule.