Message from @Mr. Nessel

Discord ID: 694163037745184809


2020-03-30 12:30:06 UTC  

Japan had a comparative disadvantage in car manufacturing prior to insituting tariffs

2020-03-30 12:30:43 UTC  

Under free trade conditions they just would've been stuck with the immediate gratification of importing cheaper foreign cars

2020-03-30 12:31:02 UTC  

"The other part is that there is no inherent difference between nations in how well they can potentially manufacture something"

2020-03-30 12:31:07 UTC  

You sure?

2020-03-30 12:31:45 UTC  

I'm sure at least in a geopgraphic sense. I know Africans aren't going to make processors and whatnot

2020-03-30 12:32:10 UTC  

It's different in the primary sector

2020-03-30 12:32:37 UTC  

So what about minimum wage laws? Country A has them at 15Y and country B has the minimum wage at 5Y

2020-03-30 12:32:59 UTC  

Both countries produce cars and jobs making cars are all minimum wage

2020-03-30 12:33:09 UTC  

cetrius paribus which one is better?

2020-03-30 12:33:16 UTC  

I don't like minimum wage laws because they don't actually adress the issue of oversupply of labour

2020-03-30 12:33:30 UTC  

not relevant

2020-03-30 12:33:40 UTC  

"oversupply of labour"

2020-03-30 12:33:42 UTC  

No such thing

2020-03-30 12:34:25 UTC  

People making better wages off of the car industry is better. I'm aware that it'll make cars marginally more expensive

2020-03-30 12:35:06 UTC  

And yes there is oversupply of labour

2020-03-30 12:35:21 UTC  

That's a subjective term your using

2020-03-30 12:35:32 UTC  

not relevant

2020-03-30 12:35:51 UTC  

Though it's a subjective category I think it's fair to say there are too many low wage/low skill workers

2020-03-30 12:35:51 UTC  

so we have established some countries produce goods cheaper than others

2020-03-30 12:35:58 UTC  

so the theory is correct

2020-03-30 12:36:05 UTC  

In the moment

2020-03-30 12:36:22 UTC  

It doesn't tell you about peotential output

2020-03-30 12:36:48 UTC  

What the fuck does that have to do with anything now

2020-03-30 12:37:13 UTC  

It really isn't complicated

2020-03-30 12:37:40 UTC  

The point is output per input not just output

2020-03-30 12:37:51 UTC  

opportunity cost

2020-03-30 12:37:59 UTC  

It's all opportunity cost

2020-03-30 12:38:15 UTC  

country A produces more Y with less Z than B

2020-03-30 12:38:23 UTC  

so it makes sense for them to make it

2020-03-30 12:38:47 UTC  

Yeah in a given moment

2020-03-30 12:38:48 UTC  

apply this to two commodities

2020-03-30 12:39:28 UTC  

then you can have to countries, one can produce both goods better but its about what you are producing at the expense of

2020-03-30 12:39:51 UTC  

I'm not sure you understand the logical law

2020-03-30 12:40:11 UTC  

A factory doesn't take inherently more Z to produce B depending on which country it's in

2020-03-30 12:40:20 UTC  

That's entirely variable

2020-03-30 12:40:25 UTC  

WHAT

2020-03-30 12:41:31 UTC  

Industrial techniques and the like advance over time as long as you have an industry to begin with

2020-03-30 12:42:51 UTC  

It's so simple, do countries produce goods at differing opportunity costs? Yes or no?

2020-03-30 12:45:25 UTC  

Mate I think you should stop digging yourself a hole here

2020-03-30 12:45:33 UTC  

Just watch this