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Free Trade is amazing when it works. But it doesn't in many cases. Even with those solar panels: China has put many western manufacturers out of business by sel
by wolvoleo 2mo ago
Free Trade is amazing when it works. But it doesn't in many cases. Even with those solar panels: China has put many western manufacturers out of business by selling them under cost price with government support. It's cool for the consumer but it's an artificial trick that actually reduces the free market viability.
They did this with a reason. Either to raise prices later or to create a dependency. Even if you don't pay directly you pay for it in other ways like geopolitical power.
- neeiicirjdj 2mo agoIf only western governments invested in saving the planet, then the Chinese would have had some competition. Their monopoly doesn’t seem like a Chinese governance problem and nor does it seem like an issue with the free market. The panels are sold above cost price.. unlike a lot of AI tokens
- pennomi 2mo agoVirtually free, clean, decentralized energy is a far greater advantage than any of those disadvantages. It’s a strategic failure for the US to pass up on China’s solar overproduction and subsidization. As the saying goes, don’t interrupt your enemy when they are making a mistake.
- stubish 2mo agoSelling under our cost price. Not selling under their cost price. China can destroy western manufactures even while making a profit.
- robocat 2mo agoOh no - those bastards started selling something cheaper than we can. The irony of China beating us at capitalism
- jiehong 2mo agoSolar panels and batteries aren’t something you use up daily and have to buy constantly. So, if by creating a dependency you mean they hope you buy again in 20 years, sure, but it’s not petrol style dependency, and those batteries and panels can be recycled locally instead of sent back to China.
- tancop 2mo agoThe answer to that is not punitive tariffs or quotas that just make it more expensive for consumers. States should either raise tariffs a little bit and use the money to fund domestic production, or put a requirement that large foreign exporters have to build X capacity here that can be nationalized in a crisis. Or start an international price war with subsidies of their own.