Via Dan Drezner, we learn that protectionism has returned to the steel industry. This should surprise no one; remember that in the Bush Administration’s first term, the steel industry sought–and got–tariffs placed on imported steel that it swore would only be necessary for a short while until the industry was able to recover from tough times. The industry asked the Administration to forget that it habitually sought tariffs for over 30 years prior to its request and the Administration readily agreed. And now, despite the industry’s promises that it would not have to ask for any more favors from the U.S. government, here we are, with the industry asking for the most blatant form of protectionism possible.
You’d almost think that we were talking about candlemakers here.
Moe Lane
Steve Maley
Dan McLaughlin
Neil Stevens
Daniel Horowitz
If it weren't so sad, it'd be funny...
mikefisk (Diary) Saturday, January 3rd at 3:38PM EST (link)…I lived in Cleveland when the last set of tariffs went into place on imported steel, and the local media went nuts because it saved LTV and Republic Steel, and the roughly 500 employees that worked at those two mills. About a year later, GM, citing the high costs of steel, laid over a thousand people off from the Lorraine Assembly Plant.
Here we have a clear-cut case of protectionism costing more jobs than it “saved”, and even still it’s ignored. (By the point GM was winding down Lorraine, the media was already into blaming Bush for the hardships.) Hopefully somebody is able to point this out to the people running things, although I highly doubt it will ever happen.
“Once within the maw of Leviathan, degree of digestion is irrelevant.” – Michael Fisk
9.25, -4.77