Hacker News new | past | comments | ask | show | jobs | submit login

>will likely disproportionately affect the poor and middle-class

...in China, while improving emloyment in manufacturing in USA.

Currently you have an imbalance in America's economy, where the poor and middle-class get goods from China, and the poor and middle-class in manufacturing[1] in China get the monetary reward.

Used to be that, due to local manufacturing of the goods, the same poor-and-middle-class americans would be earning back the money spent on the goods[1] by their neighbors, in effect exchanging with each other (and with local capitalists). However due to the current trade costs imbalance, a lot of the money flows out of american's pockets, but not back to them.

Will there be a price increase right around the change? Sure. But it will make local manufacturing more cost-effective, in effect spurring local employment in both production and related services, and thus looping the money expended on the goods[1] back in to the neighbor's pockets.

It's a win-win for the voters in USA.

[1] and related services, like engineering, transportation, worker catering & care, etc.




Guidelines | FAQ | Lists | API | Security | Legal | Apply to YC | Contact

Search: