Re: your views on globalization

To Richard:
You wrote:

>
> If Portugal can make wine more efficiently than Britain, and if Portugal 
>exports wine, accruing a profit to the Portuguese economy, then ~that~ is what 
>'comparative advantage' is about.

> If MacDonalds leases land in Guatemala, raises cattle there, and is able to 
>sell cheaper hamburgers in Detroit, the benefit goes not to Guatemala but to 
>MacDonalds.  This is what globalization is about, what is intended to be 
>about, and it has nothing to do with the principle of comparative advantage"

You do not seem to see, That MacDonald raises cattle in Guatemala for the ONLY 
reason, that Guatemals DOES have comparative advantages for such a venture.
Under my proposals, they would be encouraged to do so, provided,they manage the 
leased land carfully (no overgrazing) and pay not only decent wages, but also a 
negotiated % of their profit to their cowboys, in other words BOTH sides would 
reap benefits.

> You then go on:.
> "What makes you think they (my proposals) have any reasonable chance?  They 
>would amount to a frontal assault on the whole capitalist system."

Quite on the contrary, they would only REFORM capitalism, thus using it for the 
benefit of mankind, instead of for the wealthiest 5%.
Their chance for being adopted might not be brilliant, but similar viepoints 
have been expressed lately by a great many people worldwide, even by economists 
from.the World Bank.

Regards           Paul

>
> sorry,
> rkm
> http://cyberjournal.org
>
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