Do good economists need to be right wing?

[TheDeadFlagBlues]

Gustaf, I don't think it's exactly a strange claim to say that governments have more flexibility than investors. Not that I disagree with your response to my post; I need to do more research to provide an adequate response. Historically, it seems that infant industry protection was used to great effect and is a useful policy.

[136or142]

Not protecting 'infant industries' makes it more likely that secondary support industries in support of those products/services from the 'infant industries' will develop.  While the local infant industries may never develop to become export capable because they are protected, the secondary industries will likely become competitive internationally.

Think of protecting the local Atari's or Microsoft's vs developing Activision or Google.

Also, if the 'infant industry' is used for imputs for other businesses, protecting the infant industry makes those businesses less competitive.

Generally business organizations oppose protections for infant industries, except, of course, the industrial organizations in those areas.

[Gustaf]

Gustaf, I don't think it's exactly a strange claim to say that governments have more flexibility than investors. Not that I disagree with your response to my post; I need to do more research to provide an adequate response. Historically, it seems that infant industry protection was used to great effect and is a useful policy.

Well, maybe not a strange claim but not an obviously true one either. As an entrepreneur I have access to the totality of the global capital market. That is much more capital than any developing country's government would hold.

I would also say the historical evidence is mixed. Look at India or Argentina for example...

For the record, I'm not saying there is NOTHING to the infant industry argument. But I do think it is a lot weaker than commonly assumed because it needs specific assumptions to work.

[buritobr]

Paul Krugman considers himself a center-left thinker. He doesn't like the left-left. In the presente days, he criticizes the right more than he criticizes the left-left because the right is more powerful.
But in the 1990s, the made Strong criticismo against anti-globalization activists.

[buritobr]

http://www.pkarchive.org/cranks/GalbraithGoodSociety.html

Paul Krugman wrote this text in the 1990s. He explained many issues discussed in this thread. He explained how an economista can be left-wing without denying the economic theory. Paul Krugman is a moderate leftist who dislike mixing science and ideology. In the text, he was criticizing John Kenneth Galbraith for being too leftist and denying science in the name of the ideology.