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Politics : Impeach George W. Bush -- Ignore unavailable to you. Want to Upgrade?

To: JBTFD who wrote (81557)	6/6/2007 9:27:00 PM
From: TimF	Respond to of 93284

Higher tariffs and duties are unlikely to get rid of offshoring, but such trade barriers are very damaging to the economy as a whole. They insulate local industries from competition, forcing consumers to pay higher prices, and often lower quality, they reduce the pressure to innovate and cause less efficient allocation of limited resources. Import barriers hurt both the would be importers and the would be exporters. They do this directly, and also indirectly. Examples of the indirect effects include 1 - If you won't let another countries goods come in, then they often won't let yours in, and 2 - If you don't import goods from very poor countries there will be more of a push to send them foreign aid. Or in other words you send them money for nothing, instead of for their goods.