The New Socialism of Fools: Fresh at Project Syndicate

865ab31780a2a03c54c80c29efa21b86 landscapeLarge jpg 387×290 pixels

Project Syndicate: The New Socialism of Fools by J. Bradford DeLong https://www.project-syndicate.org/commentary/anti-globalization-socialism-of-fools-by-j--bradford-delong-2017-08: BERKELEY – According to mainstream economic theory, globalization tends to “lift all boats,” and has little effect on the broad distribution of incomes. But “globalization” is not the same as the elimination of tariffs and other import barriers that confer rent-seeking advantages to politically influential domestic producers. As Harvard University economist Dani Rodrik frequently points out, economic theory predicts that removing tariffs and non-tariff barriers does produce net gains; but it also results in large redistributions, wherein eliminating smaller barriers yields larger redistributions relative to the net gains. Globalization, for our purposes, is different. It should be understood as a process in which the world becomes increasingly interconnected through technological advances that drive down transportation and communication costs...Read MOAR at Project Syndicate

Comments