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Molson_Hart's profile
Molson Hart
Molson Hart
Molson Hart
@Molson_Hart

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Molson Hart

@Molson_Hart

CEO at http://amazon.com/viahart . CEO at http://edisonlf.com . I tweet about business, e-commerce, supply chain, health, law, & infrastructure

Austin, TX
Joined July 2015

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    1. Molson Hart‏ @Molson_Hart 16 Oct 2019
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      Molson Hart Retweeted Molson Hart

      Does this strategy work for B? Or does this backfire in some way that I did not see? This is the strategy major manufacturing nations (Japan, Germany, US, China) took to develop. Maybe instead of free trade, we should be aiming for reciprocal trade.https://twitter.com/Molson_Hart/status/1184674911920492545 …

      Molson Hart added,

      Molson Hart @Molson_Hart
      A little thought experiment on fair trade: Suppose there are two countries, A and B. A has a competitive advantage at making a. B has a competitive advantage at making b. Neither has any tariffs, so A makes its own a and buys b from B. B makes its own b and buys a from A.
      Show this thread
      3 replies 0 retweets 1 like
    2. David Short‏ @davidgshort 17 Oct 2019
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      Replying to @Molson_Hart

      Economic theory (and I believe experimental data) show comparative advantage rather than absolute advantage drives trade. Countries will make the thing that’s cheapest for them to make, and through trade the whole economy still gets more output https://en.m.wikipedia.org/wiki/Comparative_advantage …

      1 reply 0 retweets 0 likes
    3. Molson Hart‏ @Molson_Hart 17 Oct 2019
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      Replying to @davidgshort

      I don't think what you said and what I said contradict, no?

      1 reply 0 retweets 0 likes
    4. David Short‏ @davidgshort 17 Oct 2019
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      Replying to @Molson_Hart

      The country who makes the good cheapest is not the only one who makes it. Other countries will still make it even if more expensively in absolute terms because it’s still the most efficient thing they can make. Not sure if you’re getting the comparative vs absolute distinction?

      1 reply 0 retweets 0 likes
    5. Molson Hart‏ @Molson_Hart 17 Oct 2019
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      Replying to @davidgshort

      I wasn't, thanks. What are some good examples of this? I can only think of numerous counter examples to the idea that countries make what they can make most efficiently, not what they make most efficiently relative to others.

      3 replies 0 retweets 0 likes
      Molson Hart‏ @Molson_Hart 17 Oct 2019
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      Replying to @Molson_Hart @davidgshort

      Maybe it's true in the short run after an economic shock? But in the long run, I'm just not buying it.

      6:37 AM - 17 Oct 2019
      0 replies 0 retweets 0 likes

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