Comment by WhrRTheBaboons
7 hours ago
>International trade is fine, but only when it’s not a commodity easily obtained inside your own nation
It might be a minor nitpick, but that part is just not how the macroeconomic principle works. Abundance of a good/service within a country is irrelevant to the concept of a comparative advantage - this is counter-intuitive but but that was David Ricardo's entire point. It's not about whether production is more efficient domestically, it's whether comparative allocation of resources between multiple countries is more efficient by specialization within the different goods.
Even if you can produce "good 1" cheaper in Country A vs Country B, if Country A can instead produce "good 2" that Country B cannot, it's better for Country A to produce "good 2" domestically and import "good 1".
Now, I still agree with the original notion. It's unnecessarily risky to use services from "democratically-challenged" nations (especially imperialist ones), when safer options are available. But there's no need to twist macro 101 concepts to justify that view. Modern trade policy takes more into account than basic market efficiency.
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