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To: Cary Salsberg who wrote (2866)10/21/1997 5:23:00 PM
From: sawgrass  Respond to of 10921
 
Free trade does one thing and only one thing. It affords those that can use labor and capital most effeciently to compete internationally in order to gain marketshare and maximize long term profits. Taxes and tarrifs are mechanisms used by governing bodies to dilute the comparative advantage that one may have over another. In the short run ,political intervention can affect maximization of wealth, however inthe long run capital will flow to the most effecient.


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