Donald J. Boudreaux
Protectionist Angst Is ‘Made in America’ — So Are Lots of Other Things
Over the years, I — like all defenders of free trade — have had countless conversations with protectionists who are tenacious in searching for weaknesses in the case for free […]
Regime Uncertainty and Market Uncertainty
The Great Depression formally began in August 1929, two months before Black Tuesday. Initially, the economic downturn that began late that Summer gave no signs that it was the start […]
‘Twin Deficits’: A Tale of Fiscal Folly, Not Trade Failure
No notion in economics is responsible for more misunderstanding and misguided government policies than that of the “balance of trade” (or “balance of payments”). Rightly ridiculed in 1776 by Adam […]
Are Americans Worse Off Since NAFTA? The Data Say No
What do the following three dates have in common with each other? 1975. January 1, 1994. December 11, 2001. Think for a moment. Give up? Each of those three dates […]
America’s Trade ‘Deficit’ Is a Ringing Endorsement
As noted in my previous column, foreign holdings of US dollars are classified as foreign holdings of US assets and, thus, contribute to US trade deficits. But as I argued, […]
Rethinking Trade Deficits: Foreign Dollar Holdings Are Really US Exports
Donald Trump believes that US trade deficits are evidence that Americans are being “ripped off” by foreign countries. He’s not alone. Fear and loathing of US trade deficits are bipartisan […]
What, Exactly, Are Negative Externalities?
Economics textbooks feature a coherent theory of how markets can allocate scarce resources in ways that achieve what is plausibly described as maximum possible human satisfaction.
Dynamia, Not Stagnatia
Consider the fictional little country of Dynamia. Although, strictly speaking, this place is a product of my imagination, my imagination here sticks closely to essential facts of reality. Dynamia is […]
The Problem With Retaliatory Protectionism
A familiar excuse for protective tariffs and other trade restrictions goes like this: It would be all well and good for our government to follow a policy of free trade […]
Protectionism and the Fallacy of Composition
Early on in my introductory economics course I warn my students always to beware of various logical fallacies, none of which is more prone to sow confusion than the fallacy […]
