US Seeks to Curb Textile Imports form China

After the expiration of regulations limiting global garment import quota from China produced a surge of new garments. Their production is up over 1000% and they are producing more cotton shirts pants and blouses. Now the American manufacturing trade action coalition is begging the US government to stop this infusion of new clothing. This move would be completely legal because in 2001, when China when it entered the world trade association, China agreed to this action being taken against them. The question keeps coming to my mind, should the US get out of the textile market and let someone who can produce these items at a lower price take over the market?

1 comment:

Dr. Tufte said...

-1 on Rex's post for spelling errors.

This is a no-brainer. Who is your friend: 1) a Chinese person who wants to increase your consumer surplus, or 2) an American who wants to convert some of your consumer surplus into their producer surplus?