January 18, 2019

HOW TO GET BOTH SOVEREIGNTY AND ECONOMY:

One Way to Do Brexit: Unilateral Free Trade (KEVIN D. WILLIAMSON, January 18, 2019, National Review)

The United Kingdom has the power to write its own trade accord with the European Union -- a trade accord consisting of two words: "Yes, please."

The born-again mercantilists and daft neo-nationalists fundamentally misunderstand trade: The benefits of trade are the imports; the exports are the cost. Contemporary trade skeptics -- and American nationalist-populists in the Donald Trump mode are not least among them -- get it backward. They hear about "trade deficits" and, misunderstanding that term -- it is an intentionally misleading one, after all -- believe that our trading partners are somehow getting over on us. Difficult as it is to believe in the particular -- that you've been victimized by your new Mercedes -- it somehow feels plausible as an abstraction: They get $50 billion, and we get only $30 billion. Of course, they get only $30 billion worth of actual goods and services, while we get $50 billion worth.

Unilateral free trade may sound like a radical idea, but other countries have had pretty good luck with it, including one that may be of interest to the English: England. 

Posted by at January 18, 2019 11:41 AM

  

« ALL COMEDY IS CONSERVATIVE: | Main | ANDY'S NERVOUS AND THE LIGHTS ARE BRIGHT: »