Economics

"China Doesn't Kill American Jobs, Politicians Do"

"If politicians want to know why lower-skilled laborers struggle to find employment, they need to look past imports from China and Mexican immigration and look at their own policies that are making it more and more expensive for businesses to hire people in this country."

Link courtesy of a comment by JK Brown.

Related: "Globalization isn't killing factory jobs. Trade is actually why manufacturing is up 40%."


"Waste and debt"

I had noticed this, too, but Professor Peter Gordon puts it far better than I would have:

But we now live in another world. Whether it is Clinton, Trump, Sanders or Obama, they are fond of discovering (and championing) free lunches (trade protectionism, free college, banning immigration, overtime for everyone, free child care, energy independence, etc., etc., etc.).

The locals in my part of the world are not to be undone. Friend Brad H. notes that the Los Angeles Economic Development Corporation has discovered the best deal yet: Raise the sales tax by one-half cent and "put billions back into the economy". How does that really work? There are no opportunity costs. In fact, costs are benefits. Spending is a benefit.

Related: Tyler Cowen's post, "What is the opportunity cost of additional government borrowing?"

Opportunity cost remains an underrated idea in economics.

Amen to that.