> Is there not opportunity cost in both directions?
Yes, but there are more working age people outside the US than inside the US, and they’re willing to work for less than people in the US.
> At some point someone needs to have a reason to trade with us right?
We trade plenty of goods, and we trade more services than goods. The people that produce services tend to be college educated, which is negatively correlated with conservatism.
> Specializing only works when line goes up forever.
I’m not sure what you mean by this. If you want cheaper and better quality goods and services, then you need specialization. Every country had some competitive advantage, whether it’s natural resources or specific human capital. When an economic downturn happens, it’s not like that competitive advantage suddenly moves abroad. If it’s cheaper to make things in China, it’s still going to be cheaper during a recession. Raising tariffs on China _maybe_ means companies move manufacturing elsewhere, or _maybe_ means they just pass on costs to consumers. I’m willing to bet money it’s the latter.
Yes, but there are more working age people outside the US than inside the US, and they’re willing to work for less than people in the US.
> At some point someone needs to have a reason to trade with us right?
We trade plenty of goods, and we trade more services than goods. The people that produce services tend to be college educated, which is negatively correlated with conservatism.
> Specializing only works when line goes up forever.
I’m not sure what you mean by this. If you want cheaper and better quality goods and services, then you need specialization. Every country had some competitive advantage, whether it’s natural resources or specific human capital. When an economic downturn happens, it’s not like that competitive advantage suddenly moves abroad. If it’s cheaper to make things in China, it’s still going to be cheaper during a recession. Raising tariffs on China _maybe_ means companies move manufacturing elsewhere, or _maybe_ means they just pass on costs to consumers. I’m willing to bet money it’s the latter.