Quote (dro94 @ Jun 3 2018 03:16pm)
Having a trade deficit is necessarily bad, this isn't autarky. Individuals have a trade deficit with the local supermarket because they provide goods at a cheaper cost (not exclusively price) than if we produced it ourselves. If you think your country can provide a higher quality or lower cost product or service than China then make it, or lobby your government to invest in those markets.
It's also pretty important to mention that the US has such a large trade deficit because its citizens are wealthy enough to consume enough products that cannot be produced by domestic firms alone. You could make a case that a large trade deficit is a risk to the value of the dollar, but as the reserve currency of the world it's not going anywhere for a long time.
No it's not and your analysis is correct except it's missing the other side of the coin which is that those markets severely limit our companies. China has very high entry barriers for US businesses that make it very difficult for our companies to be competitive there.
Every time i go to the mall i see tons of Asians snatching up American products. They love the iPhones, they love the name brands that America has to offer. Why do you think so many of them come to the US and snatch up these products. If China wasn't so restrictive and didn't protect it's industries i doubt we'd be having the trade war talks.
edit: I'm actually heading back to eastern Europe in a few weeks and it's annoying how many requests i got for iPhones. Everyone and their mom wants me to buy them an iPhone. They tell me they don't want to buy there because there's so many Chinese knockoffs that are absolute trash.
Quote (thesnipa @ Jun 7 2018 07:55am)
America, creates copyright system thats massively abused by people stealing credit from others when they had zero to do with the original product. (see windshield wipers, fidget spinners, the lightbulb, etc)
China, seeing that many American goods are easy to make at equal or lower quality and only hold market share in America due to brand name laws, knocks them off.
America, "YOU'RE NOT FOLLOWING THE RULES THAT WE CREATED WHEN YOU WERE STILL ALL FARMERS, THIS IS OUR GAME AND WE'RE THE CHAMP 200 TIMES RUNNING PLUS THE REFEREES."
This whole idea of copyright infringement is silly. we created a system that was meant to work inside of our borders, we have zero right to worldwide exclusive control. mainly because countless products were stolen or adapted from overseas equivalents and copyrighted here. it happens thousands of times a year, overseas product/process gets developed and someone patents it here. then we cry about knockoff Nikes, that someone bought for 10$, knowing they are knockoffs.
It's silly when we're discussing things like windshield wipers and fidget spinner but not so silly when we are talking about biomedical tech or things like semiconductors. I feel like you're purposefully focusing on the simplicities and not giving enough attention to actual intellectual property. Investors in the US invest in some of these research companies precisely because there is a high profit incentive. If you don't protect that incentive by destroying the rights to intellectual property you will actually see a decline in investment in those fields. I might invest in some small cap drug company because i think i can get 500% ROI. I wouldn't invest if i knew that even though they do develop a very good drug, some other companies will be able to produce that drug w/o incurring any of the costs. So what happens then? Well i wouldn't invest in the small cap bios, investment would drop all across this sector and less development would happen over time which is a net negative.
This post was edited by ofthevoid on Jun 26 2018 10:59am