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Manufacturing is still critical to the economy United States. Clyde Prestowitz, says it's time to start realizing the positive spillovers that manufacturing creates... Read more  

Events & Activities

Stephen Olson at Chinese Development Institute Conference

 

 Clyde Prestowitz giving presentation to CDI...

 

Steve Olson teaching trade negotiations at the Mekong Institute...

 

Stephen Olson to speak at upcoming workshop organized by the International Institute for Trade and Development on 

"Economics of GMS Agricultural trade in goods and services towards the world market"

Chiangmai, Thailand Sep 8-12.

(06/28/10) Betrayal of American Prosperity Reviewed on Benzinga.com

The Free Trade Myth
Steven Schuster

The Betrayal of American Prosperity by Clyde Prestowitz - Reviewed.

As a product of Temple Univ. Business School I was indoctrinated into the holy gospel of free market economics. Then I was sent out into the world to spread the message. We studied various economic models, like The Theory of Comparative Advantage.

The Theory of Comparative Advantage developed by the 19th century English economist David Ricardo, works likes this: In the 19th century, there is England and Portugal. Portugal makes good wine, having an ideal climate for growing grapes. England produces good textiles. England produces excellent wool, and has advanced manufacturing. If you have free trade between England and Portugal, getting rid of all tariffs, Portugal will sell England excellent wine at a good price, and England will sell Portugal textiles. Portugal has a comparative advantage in wine, and England in textiles. So it makes little sense for England to produce wine or Portugal textiles. Both countries will prosper from the free trade.


Click Here to read the entire review at benzinga.com.

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Latest Publications


The Betrayal of American Prosperity.


The Trans-Paific Partnership and Japan.


Making the Mexian Miracle.


Industrial Policy and Rebalancing in the US and China.


The Evolving Role of China in International Institutions.

 

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