Comment by eric-burel
6 hours ago
If you are an European, regulation also has the benefit to induce soft protectionism from countries that are less keen on consumer and environment protection. This is the heart of the debate about Mercorsur, as it creates an unfair competition by lowering regulation (in theory european regulation applies but in practice it's harder to verify), and also an internal debate in France related to some pesticide that other European countries can use. Some argue that we should allow the pesticide, some that we should stop importing products that are exposed to it.
Why not just have a single regulation, that products must be clearly labeled by their country of origin, and let consumers decide the rest?
Maybe because people don't have unlimited amount of time to keep up-to-date on all data and research on toxicity, negative health effects, safety, etc on tens of thousands of products from a couple hundred countries.
Any product could apply for regulatory approval in the country where it is being sold. If the product does not get regulatory approval, it could be sold in a special shop, so customers are aware that they are taking a risk. That lets customers choose for themselves whether they want to take the risk.
Using the same idea, are you personally for legalizing all drugs as well or not requiring doctors to be licensed? Because I think there are lots of things forbidden/regulated across the world, mostly because people do not to make (or are not able to make due to lack of information) the best decisions for them, and then society suffers as a whole.
Me personally, if I have to choose between food 10% cheaper that will give 1 in 1000 people a cancer, or eating something more local/boring I prefer the latter, even if I would never buy it myself.
I already stated in this thread that I'm in favor of smart regulation, not zero regulation. For example, instead of government licensing of doctors, I would be interested in a more elegant solution like requiring all doctors to carry malpractice insurance and publish information about the insurance rate they're currently paying. If graduating from a particular medical school is truly associated with reduced malpractice rates, that should be reflected in lower insurance rates for those doctors. Insurers would design their own exams which would probably be better than government licensing exams since insurers have skin in the game.
The EU already has country of origin requirements. They still had to specify things like "X% of the product has to be made in country Y to be qualified for the 'made in Y' label". And even that can and does get muddy.
For the purpose of this discussion, the % made in country Y doesn't matter--the important thing is whether the product is compliant with regulations in country Y.
Because people don't look at country of origin. They are mostly price sensitive.
If you allow imports from countries with looser regulations, you are basically putting your own sectors at a competitive disavantage in your own market. It's akin to killing it basically.
It's obviously extremely stupid but in the case of the Mercosur agreement, predictably Germany doesn't care because the agribusiness is in France and they themselves will be able to export their cars.
Generally speaking, Germany never cares about deeply shafting the rest of the union when it gives them a small advantage. See also how their economy is deeply unbalanced, they have under invested for decades and they only survive because they are part of a monetary union devoid of a fiscal union giving them the tremendous advantage of an undervalued currency at the expense of basically every southern members. See also how they made joining the currency union mandatory for entering the common market and are pushing for adding more poor eastern countries to exploit which also conveniently vote for the EPP and dillute any chance the southern countries could ally to oppose them.
Obviously, the currency union has no clear path to exit it.
Genuine question, how does adding more Eastern countries help Germany?
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