Boeing, etc and Int Trade

[Mayhemxpc]

Oh, this is going to be fun! Especially the effort to keep this relevant to the forum...

Yes, everyone is right. All posters have valid points. In no particular order...

1. Some EAA topic generate lots of interest and participation. These are generally shut down by the moderator, and often for good reason.

2. Free trade is especially important to aircraft owners, operators, and even builders. (If my wife ever lets me, I intend on building an Italian kit plane. The One week Wonder last year sparked my interest and fueled my fantasy that I really could build something.) At a higher level, it is nice to say "if it ain't Boeing, I ain't going" but for that to work, Boeing needs to be able to be competitive in foreign markets.

3. Free trade is best at the national economic level. It forces all players to become more competitive. It also increases the economic health of all participants, making them more likely to buy higher priced American products, if such products have a higher level of quality to justify the price (Mercedes vs Chevrolet...Sorry, Boeing vs Tupolev)

4. Yes, it can really hurt individual businesses and even sectors. No business has a right to success. It can only expect fair competition in that market, and the competition changes. Companies need to adapt. Become better, more efficient, or find new markets and products. Workers need to have other skills than making buggy whips. (Warping wings/hand carved propellers?) Some business will suffer but free trade is best for the economy as a whole.

5. That said...there are limited circumstances where tariffs are necessary as a temporary measure. One is where for national interests you are trying to discourage use of that product. That doesn't work well. It is just a legitimate justification. The other is where a it is determined that a particular business sector is necessary for national economic development or for national security reasons. (Rocket engines?) A government can impose tariffs as a protectionary measure for the time it takes to get that business sector up and running and then remove them as soon as possible. (Yes, I am aware that it takes a Reagan to actually remove a tax once imposed.) When those conditions apply and when they can be removed is a debate for another day -- and may never be resolved to ANYONE's satisfaction.

6. It really isn't that complicated at a macro level. But...taking an analogy from war, Clausewitz wrote that war is really very simple, but in war even the simplest thing is very hard. Kind of like aerodynamics.