The USA and China both used import substitution as part of their rise. The USA didnt just employ protectionism externally, for the first 200years of its existence it employed light INTERNA interregional protectionism and to a much heavier extent semi-fragmented capital markets with variability in monetary policy. It worked great for us.
Ah well, Douglas Irwin has shown that it was not protectionism that "worked" for the U.S.A - and I believe him more than you. As for China, I wonder why import substitution did not work for decades under Mao.
If your were to review that counter arguments to his work, I doubt you would believe him. This is because his work is defeatable with an ease rarely found. He essentially says that it was all internal dynamics that generated the USA's success, but the USA's internal dynamics WERE THEMSELVES TRADE ILLIBERAL!!!!!!!!!!!!!! And that 100% verifiably true. I can prove that the way I can the sky is blue. IT HAD INTERNAT CAPITAL CONTROLS!! Just the like China has had internal local trade protectionism and internal semi-fragmented capital markets, Xi et al are trying to change this, but its worked great for them, lets hope they fail...
The greatest compliment that I can pay this article is that it should be framed for posterity.
It is incredibly brilliant.
The USA and China both used import substitution as part of their rise. The USA didnt just employ protectionism externally, for the first 200years of its existence it employed light INTERNA interregional protectionism and to a much heavier extent semi-fragmented capital markets with variability in monetary policy. It worked great for us.
Ah well, Douglas Irwin has shown that it was not protectionism that "worked" for the U.S.A - and I believe him more than you. As for China, I wonder why import substitution did not work for decades under Mao.
If your were to review that counter arguments to his work, I doubt you would believe him. This is because his work is defeatable with an ease rarely found. He essentially says that it was all internal dynamics that generated the USA's success, but the USA's internal dynamics WERE THEMSELVES TRADE ILLIBERAL!!!!!!!!!!!!!! And that 100% verifiably true. I can prove that the way I can the sky is blue. IT HAD INTERNAT CAPITAL CONTROLS!! Just the like China has had internal local trade protectionism and internal semi-fragmented capital markets, Xi et al are trying to change this, but its worked great for them, lets hope they fail...