Saturday, April 18, 2009

Green, mean and anti-capitalist

What Ayn Rand said is so true that " Within every category of goods and
services offered on a free market, it is the purveyor of the best
product at the cheapest price who wins the greatest financial rewards
in that field-not automatically nor immediately nor by fiat.."(Capitalism: The Unknown Ideal).
Green Trade Wars
Forbes Magazine dated April 27, 2009

While the world has had its eye on tariffs and quotas, another trade
war has been simmering, over dumping. This month, U.S. Steel and other
American manufacturers filed suit against China, alleging the dumping
of $2.6 billion worth of welded and seamless steel pipes...

What makes this fight different is that steelmakers have a curious
ally: the environmental crowd. Steel is a polluting industry, slurping
up lots of coal for smelting and spitting carbon dioxide into the
atmosphere. If the U.S. puts a cost on domestic CO2 (in the form of a
tax or an expensive emission permit), and if China doesn't impose a
similar burden on its smokestacks, then Chinese steel companies have
an unfair advantage. The enviros propose to make the contest fair by
imposing a pollution equalization tax at the border. This tariff idea
gets a loud "amen" from the U.S. steel industry.