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The reason the world largely went away from high tariffs are many. In the first place they're redistribution scheme from consumers to industries that have the political influence to lobby for tariffs. Secondly they make the domestic industry lazy and increasingly noncompetitive (not just in pricing, also in R&D and market fit). After some years of this, the foreign competition will be so far ahead that they're able to out-compete the domestic industry while producing in-country (see Japanese/German car makers in the US).

Regarding cars specifically, which group do you think is bigger: car buyers that would get a $20,000 gift from the Chinese taxpayer (and likely spend those savings in the domestic economy) or people employed in car manufacturing?



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