Monday, September 21, 2015

The True Cost Of "Free Trade": $Everything

Don't tell anyone, it's a secret. 

This just in:
BBG: Sept. 21, 2015
U.S. Trade Deficit With China Widens To $1 Billion Per Day

"Those who criticize free trade don't understand how it works. The Chinese specialize in all of the things we used to do. Like working..."

Death Cross: China Trade Deficit ($Millions) with U.S. Employment:
Trade data from:
Labor Force Participation Rate from FRED

The question that never gets asked: What is the real cost of trade with China with respect to lost wages and economic multiplier effects? We know it's not $.80/hour...