>if I can manufacture in Japan and recover my overhead there then I
>can lower my price in the U. S. up to 40% and still be making a profit.
Then the Japanese consumer is paying more for things so that the
American consumer can pay less, in effect Japan is sending a gift
to America. Well, that very nice of them but it's not a recipe to
enrich Japan or impoverish America.
>the American manufacturer finds himself blocked out of the
Another foolish move by the Japanese, this time it harms both
nations. The worst thing we could do is repeat their mistake.
>no guarentee the prices will remain low as soon as American competion
In real world economics nothing has a guarantee, but if they
increase prices then they have lost their only advantage in the
marketplace. Historically American capitalism has been very
good at filling vacuums in the free market and in exploiting
the weak points in trading partners.
John K Clark email@example.com
This archive was generated by hypermail 2b30 : Sat May 11 2002 - 17:44:31 MDT