Democracy tends towards protectionism when those harmed by free trade are numerous enough to count. But democracy also demands cheap goods. No one has yet squared that circle.
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Samizdata quote of the day – an unsquared circleDemocracy tends towards protectionism when those harmed by free trade are numerous enough to count. But democracy also demands cheap goods. No one has yet squared that circle. 1 comment to Samizdata quote of the day – an unsquared circleLeave a Reply |
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The opposite explanation is often used to explain protection of the sugar industry in the US. The concentrated benefits to the industry make them more motivated than the vast majority that are harmed but only mildly by higher prices.