President Trump's chief anti-trade adviser, Peter Navarro, appeared on the FOX News show, Sunday Morning Futures with Maria Bartiromo this morning. He once again displayed his basic ignorance of a concept that should be understood by anyone who has completed a freshman economics 101 course.
Even Paul Krugman and Greg Mankiw are sound on the concept in their textbooks.
I am referring to the basic economic concept of comparative advantage. Navarro acts as though there is no such principle. Specifically, he displayed this ignorance to Bartiromo by hailing the Trump Administration absurd efforts to reclaim the entire supply chain. What an idiot. Why would you want to reclaim the entire supply chain? That does nothing but shrink the U.S. economy when you don't have outsiders produce products that will free up the more highly skilled American workers to produce more complex goods.
That out of the way, Navarro told top Trump cheerleader (late middle age category), Money Honey, that he would have "potentially market moving news" tomorrow morning on North American trade negotiations.
Uh, that should be anti-trade, pro-economic suffocation negotiations.
-RW
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