United States | News & Politics

7214 readers

411 users here now

founded 4 years ago

MODERATORS

[email protected]

376

President Biden announces a series of tariffs on green energy products from China. (lemmy.ml)

submitted 6 months ago by [email protected] to c/[email protected]

201 comments fedilink hide all child comments

you are viewing a single comment's thread
view the rest of the comments

[–] [email protected] 5 points 6 months ago (1 children)

Doesn't China subsidize what they export on top of having cheap labor? In that case a free market argument cannot really be made. The innovation in the US or elsewhere would have to be extreme shifts to compete.

[–] [email protected] 8 points 6 months ago (1 children)

Idea of free market is that it's better than a manage market. If there's room for innovation, the free market will find it. Central planning leads to being risk adverse and exploiting inefficiencies to soak up government money. So if free market is your religion, you shouldn't be bothered that China tries to plan their production instead. Cheap labour also doesn't hold since the USA has historically been happy to have their companies contract labour from cheaper countries. So if you're losing due to Chinese salaries, just hire Chinese people.

Also, China doesn't subsidise any of these exports. Then they'd lose money, and they're exporting to earn money. They subsidise R&D and domestic sales of things that'll make domestic companies more productive and competitive.