Of the seven acknowledged trading theories: Autarchy, Mercantilism, Protectionism, Strategic Trade, Fair Trade, Free Trade and Balanced Trade; I favor Balanced Trade, wherein imbalances are auto-corrected by adjusting interest rates or currency value.
I wonder how that would work with China ? Before they bought up massive amounts of our debt they were out adjusting the value of the dollar ! WTO and complaining did no good ! When you have a country like China that adjusts the currency value at will there is no such thing as balanced trade with them. Now they own so much of our debt that we got to play their game. I don't believe there ever was a "free trade" in the first place.
Of the seven acknowledged
Of the seven acknowledged trading theories: Autarchy, Mercantilism, Protectionism, Strategic Trade, Fair Trade, Free Trade and Balanced Trade; I favor Balanced Trade, wherein imbalances are auto-corrected by adjusting interest rates or currency value.
I wonder how that would work
I wonder how that would work with China ? Before they bought up massive amounts of our debt they were out adjusting the value of the dollar ! WTO and complaining did no good ! When you have a country like China that adjusts the currency value at will there is no such thing as balanced trade with them. Now they own so much of our debt that we got to play their game. I don't believe there ever was a "free trade" in the first place.