Hacker News Reader

So you’re saying a state like Venezuela should always keep being a raw materials exporter and an importer of goods with added value because jumpstarting or maintaining an industry is bad for global free trade?

View on HN

What does Venezuela has to do with the EU?

Economics basics. Support your own industry to maintain a viable industry. Why should India or Australia buy French rolling stock if they themselves won’t deploy it? At that point, close shop.

Argentina supported its domestic auto industry for over 30 years and succeeded in nothing but wasting a ton of money and inconveniencing everyone who wanted a decent car. Import substitution is a great way to pay off your political allies but it’s terroble for all the people who have to pay higher prices for lower quality goods as a result.

https://en.wikipedia.org/wiki/Import_substitution_industrial...

I’ve seen photos of Earth from space; I didn’t see any borders.

The EU is an arbitrary distinction.

Cool story. Irrelevant, but a cool story.

Reply on news.ycombinator.com