

Newly built car will be used for critical testing








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RE: Say what you want
By Regs on 5/28/2009 10:28:37 PM , Rating: 2
You're right, it's called comparative advantage. We export goods we are efficient in making, and import goods that would cost us more to make. International trade allows a nation to produce goods in which it has a cost advantage and then trade them for imported goods in which it has a cost disadvantage.

So either way you look at it we're kind of screwing ourselves. If we want to start spending more money on items that we are less efficient producing than importing or increasing our opportunity costs to a point where we can no longer afford the human capital, expenses, and capital to wage war on countries that attack us, then it defeats the purpose.

We also know gasoline is the cheaper alternative , for now. How many in this nation are going to sacrifice their standard of living for a more expensive alternative? Ok -ok I’ll try to keep this more on a macro scale.

Politicians and economists alike make decisions, policies and theories on the basis of ceteris paribus, all things remaining equal. We know all things can't possibly remain equal or unchanged, but making predictions with those added variables are impossible and we also know it's inevitable that some predictions fail. Though we live with it knowing that we rather be approximately right than dead wrong.

Let’s take North Korea for an example. With their rate of poverty, malnourishment, and a population of 24 million (40th rank in the world) you'd think they couldn't possibly be the 4 largest military in the world. Though the fact is they devote 16 percent of their output for their military while the USA only uses 3.4 percent (remember our GDP larger). What on earth are we importing from North Korea that could sustain such a beast? The same beast that tested a underground nuclear warhead not too long ago?

Just something to think about...


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