Why Trade Is Not a Zero-Sum Game
HTML-код
- Опубликовано: 4 окт 2024
- Trade brings many benefits, says Douglas Irwin of Dartmouth College; it lowers prices and increases variety, among other things. Irwin, who is also author of “Free Trade Under Fire” (2014, Princeton University Press), was interviewed at “Trade Issues Today,” a conference at Columbia University in September 2016. The conference was sponsored by the Chazen Institute for Global Business, the School of International and Public Affairs, the Center for Global Governance, and the Deepak and Neera Raj Center on India Economic Policies, Columbia University.
After a nightmarish 2022, shell-shocked investors have losses to recoup and plenty to ponder, as an inflation report and a raft of other data did little to change expectations that the Federal Reserve would likely continue hiking interest rates even if the economy slows down, Which means more red ink for portfolios for the first quarter of the year 2023. How can I profit from the current volatile market, I'm still at a crossroads deciding if to liquidate my $250k bond/stock portfolio.
Focus on two key objectives. First, stay protected by learning when to sell stocks to cut losses and capture profits. Second, prepare to profit when the market turns around.
I'm sure the idea of a Investment Adviser might sound controversial to a few, but a new study by investo-pedia found out that demand for Asset-Managers sky-rocketed by over 41.8% since the last year and based on firsthand encounter I can say for certain their skillsets are topnotch. I've raised over $580k within 18months from an initially stagnant portfolio worth $150K which was devoid of dividend stocks.
@@mariahhayes5089 Please can you leave the info of your investment advisor here? I’m in dire need for one.
@@mayacho4910 My consultant is 'MARTHA ALONSO HARA", She has since provided entry and exit points on the securities I focus on. You can look her up online if you care for supervision. I basically follow her trade pattern and haven’t regretted doing so.
Stick with a good company by either not selling when it’s going lower and/or buying more at that time.
On the average most agree with these statements but the problem arises at the individual level - the factory worker in Ohio gets fired and now earns nothing but the West Coast investor's stock goes up in price because the product is now being produced in some emerging market with cheaper labour and imported back into the US. The average of the two shows that "Americans" did better by this arrangement (and this is what Dr Irwin says) but at the individual level the impacts are dramatic. Since NAFTA, the midwest has been hollowed out and yet our stock markets have never been stronger and the ultra wealthy stock owners have never had it so good. The fired worker can not afford the cheaper imported good but the stock owner can afford two or three....
@rocketdock11 but thats not true... a company doesnt sell products only in a country... microsoft wouldnt suffer if their american sales dropped... because china or india is on the rise and they can sell there... not to mention that most products are actually produced in areas where people cannot afford them...
@rocketdock11 what you described though is a zero sum game, and the fired worker is still unemployed. at best he has to reeducate himself, or work for some menial job... in any case, he will spend money he probably doesnt have for education, or/and he will have less consuming power... meaning he wont be able to afford some stuff... not to mention that these kinds of circles tend to forget the consuming power in general... i mean sure you can keep producing stuff, but if the average pay check doesnt increase accordingly it means nothing, since most people wont be able to afford to buy said new stuff... the real problem with money getting in the hands of the few, is not the inequality or w/e... its that one person can only consume this much... you can be bill gates for all i care, you can live the dream or w/e, but still you can only consume "that" much... and its not like you can keep investing in the real economy... most of the people with the billions or hundreds of millions, invest in the market or w/e... that kind of money takes a lot of time to roll back to the real economy...
Sal Guod ain't capitalism a bitch. You've neglected to consider all the foreign workers the American worker caused to lose their jobs.
@@neildahlgaard-sigsworth3819 He acknowleged that trade was a net positive globally. But, for an individual or even a country, it might very well be a net negative.
Imagine aliens from outer space outperforming humans in every aspect. How can trading with them be a positive for us?
It'd be cool if there was a system where workers had a stake in their workplace (there is, it's called a worker co-op and they should make up the majority of the economy)
It is a zero sum game in terms of most measurable economic indicators...
You're missing the point. Would you be more or less productive if you had to do everything yourself?
its only zero sum game with the very people you trade with, but not with market overall
Imports affect local jobs
Trades can be more sustainable if displace workers can be retrained and support for displaced workers. So far "free trade" is costly to the lower middle class. The political situation is unfavorable and hostile to "free trade" for the sole benefit of the mercatile class. It have come to Jan 6 for people to understand how fragile the system is.
Jan 6th was a nothingburger. What are you even talking about? The war in the Ukraine is more suggestive of how fragile the system is.
There is a huge difference between trade and LIFE. It's true, "trade" by its very definition, is not zero sum. You can not exchange something if both parties don't have something to give. It's not trade we're talking about, ITS LIFE, ITS THE WORLD. It is matter itself, and matter, on this planet, is finite. This is especially true for species, and materials. Can everyone on earth have steak and lobster? Can everyone have hardwood floors and two story houses? Of course not. The world is zero sum, trade is exactly that. You can wipe all species out, and trade can still continue..
You do know that scarcity is one of the tenants of a market economy right. You mentioned steaks and wood floors or some shit, but forgot to mention that not everyone values that. It's the reason we trade in the first place.
They have to be thankful to Adam Smith for creating a myth that never seems to die. Trading apples for oranges means gaining oranges, but it also means losing apples. Yes, you didn't have the lovely oranges before, but now you have less delicious apples. While the apples may have less subjective value for you, they have lots of value for the person who gave the oranges to you. The best possible scenario is an even trade, where the apples are exactly worth the oranges.
There are no win-win-situation in 2-player games, there never have been and there never will be, because in economy money is all what counts. Money is the measure of success, not happiness about oranges. You can't open a bank account and save your happiness for bad times and, even worse, you can't sell your happiness to someone either.
Economy - like a balance sheet - is a zero-sum game. Since something can't be created out of nothing, some factor always has to give. Ideally both partners gain as much in return as they have given up, which we call a fair trade. Arguably the only additional benefit is happiness, but it doesn't show in a balance sheet, and it certainly doesn't matter tomorrow anymore.
That's what they call "indifference" in economics. It doesn't matter what you do because it makes no difference in your balance sheet. You can make the trade if you want or leave it and hope for a better opportunity to screw someone.
ruclips.net/video/AtK_YsVInw8/видео.htmlm50s
Couldn't have said it any better.
@rocketdock11 The emotion is the only thing that is real my friend.
@rocketdock11 lol life must be miserable when your not numb...
Just like the stock market it is a positive sum game, but it tries to act like a zero sum game.
Stock market can become negative sum game. If the company buyback stock below ipo price. Then its negative sum game 😅😅
Adam Smith was such a clown
😂😂😂😂 true