Comments on: Sit back and enjoy the Kabuki trade show Thu, 21 Jul 2016 07:57:19 +0000 hourly 1 By: Casper Thu, 17 Sep 2009 08:23:29 +0000 James, you say the right things and will most probably become the Governor of Alaska soon, but I beg to differ. The US doesn’t sell sick chickens to China. Just because you are a large creditor, doesn’t mean that I have to market and buy your poor products. The time is now for ultra conservative protectionist policies, a tit-for-tat uprising, an enchilada, and I am a big lefty.

Paul and Andrew have good points – the long of the short, though, while not fully ignoring subsidies and tariffs, purchase power parity, interest and dividend rate parity and exchange rate parity generally equalises the true value of trade Worldwide.

By: Andrew Szamosszegi Wed, 16 Sep 2009 14:46:05 +0000 One can debate the merits of the decision to impose tariffs on consumer tires from China. But the United States is definitely within its rights under WTO rules. As part of its negotiations to join the WTO, China agreed to be subject to special safeguards for a limited period of time. Other U.S. industries have sought relief under this provision, but President Bush declined to provide relief to any of them. While this provision does not require trade to be unfair, industries (or workers) experiencing a surge may prefer a special safeguard to an unfair trade investigation, because the latter is more expensive and more time consuming, and has a higher burden of proof. On the other hand, the discipline imposed by the safeguard duties disappear after three years, whereas some unfair trade remedies have been known to persist for a decade or more.

By: Paul V Rosa Tue, 15 Sep 2009 19:08:30 +0000 The International Herald Tribune last night noted that the exported chicken meat and auto-parts nearly equals the value of the imported tires in question. It’s a pity there isn’t a similar balance in all other exports- imports between the US and China. Is there perhaps a correlation between the balance of trade deficit of something like 4 to 1 that is so very like the disparity of population between the two countries – China’s being about four times larger than that of the US?

But Kabuki is a Japanese theatrical form. The Chinese have their traditional Opera and that is very energetic, flamboyant and even violent. Lots of demons, evil spirits heroes and lords as I recall.

Perhaps you should use Noh (Japanese also) as your metaphor. It is much more subtle and supported by players shrouded in black who aid the visible characters on stage but are not intended to be seen themselves.

That’s what’s really going on, isn’t it, in all these trade negotiations? And no one can deny that the Chinese government will have enormous influence on our economic policy. They ultimately bale out those – who bail out those – who bale out those….. etc.

Perhaps in the not too distant future we will have to settle accounts with human beings themselves. China may have to send us about 500 million people? I can’t imagine they wouldn’t like to.