Earlier this morning, my Nobel-laureate emeritus colleague, Vernon Smith, sent this email to me, which I share in full with his kind permission.
Don:
My first foreign speaking invitation after the Nobel was from Mexico at the international meetings of the Mexican Bus and Truck manufacturers Association. It was a lesson in free trade. Highway truck tractors were assembled in Mexico. The engines came from Detroit, the tires came from Japan, the axels came from Brazil, and so on. Imagine a well-intentioned Mexican tariff on engines; it could wipe out that truck industry in Mexico.
On tariffs, Tread With Caution.
Vernon
