Just because Trump likes to hurt US consumers doesn't mean we need to follow in his footsteps.
Canada should unilaterally drop all tariffs and subsidies.
- Thread starter White_Unifier
- Start date
Just because Trump likes to hurt US consumers doesn't mean we need to follow in his footsteps.
Look it up. When they negotiate trade deals, they're essentially just asking the other state to reciprocate and then leaving it up to it to decide. In the end, tariffs hurt the tariffing country too. Why shoot ourselves in the foot just because the US does so?
Read up on relative advantage. Even if the US tariffed the hell out of Canada and Canada unilaterally dropped all trade carriers, the market would still adapt with Canadian producers focusing on their relative advantage. It's a basic law of economics.
I'm not saying the transition would be painless, but we would come out the other end economically more efficient.
To protect inefficient industries at consumers' expense.
Again, how is it that Hong Kong, Singapore, and Bed Zealand have succeeded with less access to resources than Canada does?
Don't confuse free trade with regulation. Free trade does not mean US producers could ignore Canadian regulations and so their milk would need to still meet the same stabdard as Canadian milk.
As for US subsidies, they don't come out of thin air. They come at the expense of other US industries paying the taxes to subsidize it. Besides, milk is high in cholesterol. If the US taxpayer wants to subsidize the milk Canadians consume, thank them. As per the law of comparative advantage, Canada would just shift to products we can produce more efficiently.
If you look at Canada's climate, the US clearly has an advantage in most produce. Let them do what they do best and us do what we do best. Basic economics.
Reporting assholes in the Trump administration calling Canada a bully is not the same as the media saying it. Most members of the US media seem to think that Trump's management of foreign policy has been disastrous. But you are right about the ally bit. The next time the US gets itself into some ridiculous foreign entanglement I doubt that it will get much outside support.
Given that Hong Kong and Singapore don't resemble Canada geographically or demographically in any way they might not be as wealthy as you think. Both Hong Kong and Singapore lack open space and are incredibly expensive to live in. And BTW Hong Kong is part of China.
The US may have been a somewhat reliable trading partner until recently.
Remember that Trump ran on protectionism and was elected on protectionism. In other worse, he is in,fact acting on his mandate. This means too that Trump is less of a problem than his voter base. It's also nit a right or left issue. We could gave run into a similar problem with Sanders. Between Trump and Sanders, the US today has a large protectionist base and it won't likely just disaappear because we get rid if Trump.
The USA of today is not the USA if the past. It's still an important trading partner for us, but it is also debt-gießen and no longer represents the sane fraction of the world's wealth or GWP as it used to. Untethering ourselves from the US and unilaterally dropping all trade barriers would be painful at first, but it would also name us more resistant to growing US protectionism later on.
The US is not as reliable and predictable as it used to be and wants to close in on itself.
We could always start gruadually. For example, declare Montreal, Toronto, Vancouver, and Halifax Free Economic Zones and start from there. Once they'll face adapted, then add more municipatities and provinces until Canada becomes a Free Economic Zone.
There is a difference between Trump and almost every other prominent politician in the US and that is that Trump has no sense of honour or decency. I doubt very much if any other president would so flagrantly break long standing treaties.
Yes there is a difference, Trump doesn’t care about the media , and Trump isn’t a spineless waffle .
That would generally go without saying if Singapore and Hong Kong have any natural resources AT ALL. Canada's population density might be 10 people per square mile while these places have literally hundreds if not thousands per square mile. Just consider the ACTUAL cost of delivering a letter to Old Crow in the Yukon or the cost of delivering health care to Nunavut! Canada is likely the most expensive country in the world to maintain.
One other thing you can pretty well bet the farm on. Trump has a hell of lot better idea how these trade negotiations are going to conclude than what Pretty Boy does!