February 17, 2017
NO ONE ACCUSES DONALD OF UNDERSTANDING ECONOMICS:
The Bizarro World of Mercantilism (DON BOUDREAUX, FEBRUARY 15, 2017, Cafe Hayek)
To the extent that currency manipulation is real and works as advertised, it makes the exports of countries that practice it artificially inexpensive for foreigners to buy. That is, currency manipulation transfers wealth from the citizens of countries that practice it to the citizens of countries fortunate enough to buy the manipulators' subsidized exports.And yet it is the governments whose citizens are on the receiving end of these transfers who fussily try to prevent these transfers, while the governments whose citizens are taxed to fund the transfers stubbornly carry on with them.
Posted by Orrin Judd at February 17, 2017 5:47 AM