Relay-Version: version B 2.10 5/3/83; site utzoo.UUCP Posting-Version: version B 2.10.1 6/24/83; site ubc-cs.UUCP Path: utzoo!utcsrgv!sask!alberta!ubc-vision!ubc-cs!acton From: acton@ubc-cs.UUCP (Donald Acton) Newsgroups: can.politics Subject: Re: Eastern Myopia (steel prices) Message-ID: <906@ubc-cs.UUCP> Date: Thu, 20-Dec-84 23:45:16 EST Article-I.D.: ubc-cs.906 Posted: Thu Dec 20 23:45:16 1984 Date-Received: Fri, 21-Dec-84 06:45:01 EST References: <854@ubc-cs.UUCP> <653@watcgl.UUCP> <874@ubc-cs.UUCP> <10346@watmath.UUCP><1284@dciem.UUCP> Reply-To: acton@ubc-cs.UUCP (Donald Acton) Organization: UBC Department of Computer Science, Vancouver, B.C., Canada Lines: 24 Summary: In article <1284@dciem.UUCP> mmt@dciem.UUCP (Martin Taylor) writes: > >If Canadian steel is so overpriced, why do the Americans have to resort >to various mechanisms to prevent it competing with their steel? American steel must be even more overpriced then Canadian steel is. Both Canada and the US place restrictions on imported steel, thus if the steel industries were truly competitive they would not need protection. As an example consider the Canadian forest industry which must compete on the world markets without the "benefit" of protectionist tactics. According to articles in the Vancouver Sun last night the Canadian forest industry is producing in record amounts, they are doing it (in BC anyway) with 20% fewer people and they are selling these products at break even prices. Why don't the steel and auto industries adopt these sort of practices instead of screaming for quotas and restrictions that result in the average person needlessly subsidizing these industries. Arthur Laffer (Ph.D. economics, author of the Laffer curve and according to George Bush advocate of voodoo economics) estimates that the average North American car is overpriced by $2000 due to restrictive trade practices. Merry Christmas everyone, and see you in the new year. Donald Acton