As a people become affluent, the often CEASE to be productive on their own and either hire outsiders to do sweat-producing labor or buy their food and fiber from other peoples. That’s largely what took Spain from an economic powerhouse to a relatively impoverished, 2nd world nation in a bit under 2 centuries. It’s why TODAY, Kuwait has more Koreans and Chinese living there than native Kuwaitis, which is a recipe for eventual disaster for Kuwait. There’s a VAST difference between a couple of million “strangers” and 40 or 50 million of them, regardless of the numbers of native-born in any given country.
? What? These economies aren’t becoming less productive, their growth rates are either as good or higher than ours.
This “sweat producing labor”, or industrialization, is how Human capital is transmitted. It’s how people reach Western lifestyles in their own way overtime. China’s experience, with its newly minted 300 million middle class, shows this to be true.
This is something the Left frequently gets wrong about it, you shouldn’t repeat their error. If the Left wasn’t wrong, all of those Chinese people would still be poor.
No… you got it backwards. Small economies can’t possibly produce everything they need for themselves; so they outsource. They bet explicitly on Free market forces.
Re-export, and re-manufacture. I don’t think you’re very familiar with these things, and you should seek to be, to know what’s going on. To know why Free Markets are successful.
BS. I notice that you simply ignored my Spanish example. Spain WAS an economic powerhouse. As Spain’s wealth grew from exploitation of the New World, it’s people STOPPED making things for themselves and started “outsourcing” its manufacturing–PAYING for those things with their new-found gold and silver. In just a couple of centuries, Spain had no gold OR manufacturing and was no longer an economic powerhouse. They’d done most of their outsourcing to France and England who replaced them.
You simply CANNOT get away with comparing a 330 million person economy with a 15-25 million person economy. The two operate in entirely different dynamics.
Because it isn’t true: Spain wasn’t accepting diddly squat at home other than Gold.
They became poor because empires don’t pay for themselves, they overextended their forces.
War abroad, war in the Netherlands, war with Portugal, losing the Armada to a War with Britian, who gain naval supremacy. Iran is becoming poor for the same reason today, exporting war.
Spain was in the throes of Mercantilism; it wasn’t accepting any goods not made within its empire, and the “new World” wasn’t their manufacturing source, it was where they got resources, the same as Britain.
Your entire point, was that foreigners wreck havoc on natives… if that were true, it should be far more evident on smaller countries, who are far more vulnerable to even slight demographic shifts.
Not necessarily “more susceptible” when they’ve always paid close attention to WHO they allowed to settle in Switzerland…for that matter, also in Singapore. I remember when the Singapore coast guard turned back dozens of shiploads of Vietnamese and Cambodian refugees trying to land there and make their way to the U.S.
You’re wrong about Spain, too, by the way. Spain’s furniture manufacturers virtually disappeared once they started getting vast amounts of gold and silver from the New World. They started buying BRITISH-made furniture, instead, because it was more ornate, sturdier and considered more desirable by CONSUMERS. As a result, Spain acquired a lot of expensive, British-made furniture and Britain got a lot of Spanish gold and silver.
Who was it that claimed Spain was an example of the “free market?” Certainly not I. Spain did what Singapore, Kuwait, Dubai and other small economies are doing right now…OUTSOURCING their labor and spending their wealth to pay for it.