Aleksander Hansen
Well-Known Member
Discalimer: I am not a citizen of the US, so I do not vote for either party; this is just an objective observation and is not politically motivated.
Sen. Dick Durbin (D-IL) frequently complains about Americas trade deficit.
[even though the trade deficit, unlike the budget deficit, is virtually meaningless].
Interestingly, Senator Derbin appeared on CNN's "Face the Nation" a few weeks ago. There he complained about the fact that, Presidential hopeful, Mitt Romney has a Swiss bank account.
Note that the Senator sits on The Committees of: Appropriations; Foreign Relations; and Judiciary.
Question:
The Senator commits a major economic fallacy. What is the fallacy?
Answer
As professor Don Boudreaux aptly put it,
"Are you aware that when Mr. Romney and other citizens invest abroad they put downward pressure on America’s trade deficit?
If you are aware of this fact, have you suddenly changed your mind about the alleged ills of America’s trade deficit? And will you, from here on in, therefore stop demagoguing that statistic for your political gain?
If instead you’re not aware of this fact, don’t you think you should immediately stop legislating on matters of trade – matters about which your ignorance of trade deficits renders you utterly incompetent even to pronounce upon?"
May I recommend that the senator enrolls in the FRM or CFA? Come to think about it, most members of either chamber probably should...
BT would get a boost of new customers, and the forum would be flooded with questions that make a Miss Universe contestant seem razor sharp.
Sen. Dick Durbin (D-IL) frequently complains about Americas trade deficit.
[even though the trade deficit, unlike the budget deficit, is virtually meaningless].
Interestingly, Senator Derbin appeared on CNN's "Face the Nation" a few weeks ago. There he complained about the fact that, Presidential hopeful, Mitt Romney has a Swiss bank account.
Note that the Senator sits on The Committees of: Appropriations; Foreign Relations; and Judiciary.
Question:
The Senator commits a major economic fallacy. What is the fallacy?
Answer
As professor Don Boudreaux aptly put it,
"Are you aware that when Mr. Romney and other citizens invest abroad they put downward pressure on America’s trade deficit?
If you are aware of this fact, have you suddenly changed your mind about the alleged ills of America’s trade deficit? And will you, from here on in, therefore stop demagoguing that statistic for your political gain?
If instead you’re not aware of this fact, don’t you think you should immediately stop legislating on matters of trade – matters about which your ignorance of trade deficits renders you utterly incompetent even to pronounce upon?"
May I recommend that the senator enrolls in the FRM or CFA? Come to think about it, most members of either chamber probably should...
BT would get a boost of new customers, and the forum would be flooded with questions that make a Miss Universe contestant seem razor sharp.
