Hypothetical situation

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CaTaClYsM
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Hypothetical situation

Post by CaTaClYsM » Fri Dec 05, 2003 6:09 pm

If each contry was in charge of doing or making one thing and exporting it to the rest of the world what country would be doing what?
So in other words, one part of the community is waging war on another part of the community because they take their community seriously enough to want to do so. Then they tell the powerless side to get over the loss cause it's just an online community. I'm glad people make so much sense." -- Tab

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Lyrs
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Re: Hypothetical situation

Post by Lyrs » Fri Dec 05, 2003 6:14 pm

CaTaClYsM wrote:If each contry was in charge of doing or making one thing and exporting it to the rest of the world what country would be doing what?
Easy one, Japan = anime.
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Post by nailz » Fri Dec 05, 2003 6:18 pm

I believe that every country would be doing/producting whatever it was they were best at. I mean jesus, did you want me to make a list of every country in the world and tell you what they'd be doing? WTF kind of idiotic question is this?
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CaTaClYsM
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Post by CaTaClYsM » Fri Dec 05, 2003 6:22 pm

You mean like your "To anyone I've pissed off in the last few months.. " thread?
So in other words, one part of the community is waging war on another part of the community because they take their community seriously enough to want to do so. Then they tell the powerless side to get over the loss cause it's just an online community. I'm glad people make so much sense." -- Tab

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Post by narcted » Sat Dec 06, 2003 2:15 am

Well, it's really a matter of what economists call a 'comparative advantage'. Basically the term means that that each country or region has specialties. If one country can make something better and more efficiently than another, then that country should continue to make it and the other country should get out of the business and focus on what they do best.

Example: America can make 10 computers and 6 bushels of corn. Mexico can make 4 computers and 4 bushels of corn. Both countries can produce both corn and computers. Comparative adavantage would dictate that Mexico should stop making computers and focus their resources on growing corn. While America can produce both more corn and computers than Mexico, their comparative advantage in computers is much greater. America should stop growing corn and focus resources on making computers. Export computers to and import corn from Mexico. This would actually result in both greater corn production in Mexico, and greater computer production in America, which is good for the entire world because now there will actually be more computers and corn.

However, there's now way the global economy could be sustained if each of the 191 UN recognized countries of world only produced one product.

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Post by CaTaClYsM » Sat Dec 06, 2003 2:17 am

I don't care, Italy is in charge of food and cars!
So in other words, one part of the community is waging war on another part of the community because they take their community seriously enough to want to do so. Then they tell the powerless side to get over the loss cause it's just an online community. I'm glad people make so much sense." -- Tab

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Post by nailz » Sat Dec 06, 2003 3:49 pm

CaTaClYsM wrote:You mean like your "To anyone I've pissed off in the last few months.. " thread?
mm...pretty much, yah.
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Post by Cardinal.jpg » Sat Dec 06, 2003 3:52 pm

[quote="narcted"]
Example: America can make 10 computers and 6 bushels of corn. Mexico can make 4 computers and 4 bushels of corn. Both countries can produce both corn and computers. Comparative adavantage would dictate that Mexico should stop making computers and focus their resources on growing corn. While America can produce both more corn and computers than Mexico, their comparative advantage in computers is much greater. America should stop growing corn and focus resources on making computers. Export computers to and import corn from Mexico. This would actually result in both greater corn production in Mexico, and greater computer production in America, which is good for the entire world because now there will actually be more computers and corn.[quote]

I know it is a simple example but surely one thing is missing here. Reducing manufacturing in one product doesn't increase output in the other. To follow the example, if all the computer factories in Mexico were torn down they might not gain the space necessary to be able to make the 6 corn now lacking from America's output and America by sending their corn farmers to factories might not make up the employee numbers to make the 4 computers lacking from Mexico, only in the case of similar products and mnufacturing needs will this kind of efficiency be able to work. Eg swapping computer maufacturing for whitegood manufacturing.

Isn't food and cars two resources? And what would happen if two countries could only manufacture the same thing well and nothing else at all like Korea and Taiwan with electrical goods, who would take the task and would the other country be consigned to do nothing and reaps the fruits of others labour.
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)v(ajin Koji
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Post by )v(ajin Koji » Sat Dec 06, 2003 3:53 pm

the UK exports pride :?
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Post by J-0080 » Sat Dec 06, 2003 3:57 pm

)v(ajin Koji wrote:the UK exports pride :?

no, tea
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