Bhagwati may be an excellent economist with finely tuned views, but he may also cheery-pick his positions as well. Read him, then ask yourselves if all your questions on the Trade issue are answered. I have a number of Myths of my own for which I would like an answer. Stay with me, and maybe we can achieve some understanding of the dilemma of Trade.
Myth 1: Production process would seem to be set up for long Transport, but where Product produced is of lighter weight and poorer quality, shortening Product life at greater ultimate use of materials.
Myth 2: Transport of Product across oceans seems to increase the Cost of Products by about 14% of the final purchase price, or 34% of the initial Wholesale Cost at Production center.
Myth 3: Transport Labor Hires increase by 40% due to cross-ocean traffic, producing an 80% Cost increase in the traffic.
Myth 4: Total Labor Hires for Production remain relatively the same when incurring the addition of Transport, though the Cost of that Labor goes up when Inputs to the success of that labor are added.
Myth 5: That the actual Productivity rate goes down, if Transport labor is included within the matrix Cost of Production.
Myth 6: That the Materials Costs of Production increases by 71% in Price, and 44% in volume, when Transport fuels and capital equipment are also inventoried.
Myth 7: The environmental Cost of Production rises to 2.3 times domestic Production when Transport emissions are included with ocean traffic.
Myth 8: Production Costs would triple, if the Public Cost of Port capital provision were included within the spectrum of Production.
Myth 9: The retention of Transport labor seeks the least-Paid, with the least benefits, of all known sectors of Production though the stated Pay provision seems high.
Myth 10: That the living standards of the World can rise without loss of living standards of developed nations, though the undeveloped world refuses to engage in greater benefits for Labor at any level.
I could come up with some additional Myths, but would like some Statements for the Record on these issues. Maybe I could find more Joy in the practice of International Trade. It is far more likely that I would find a more intense desire for a practical Tariff system which at least paid for the capital of Port facilities. Isn’t it lucky that Commentators can ignore Questions which place one ill at ease? lgl