… is from page 70 of an advance copy of Samuel Gregg’s excellent and important forthcoming book, The Next American Economy: Nation, State, and Markets in an Uncertain World:
In fact, many goods and services made in America would not be produced in the first place (or would be created at a much higher price) without imports from abroad.
DBx: Myths about imports abound. One of these myths is that imports are chiefly consumption goods. It’s an easy yet false step from this myth to the conclusion that the more we import, the more we wallow in frivolous consumption as we simultaneously fritter away our future while the countries that supply our imports become stronger at our expense.
Yet in America today most imports are inputs for the production processes of American-based business operations. And so when protectionists call for higher tariffs to “protect” American industries, recognize that such tariffs raise the costs borne by many American industries.
Pictured above is a piece of electrical machinery, of which we Americans today import a great deal.