Humans have been using tires since the dawn of the automotive age. But today’s tires aren’t much like their predecessors. Instead of being made with natural rubber, for example, they’re fashioned from layers of materials, including textiles and steel. This is a perfect example of what economist Joseph Schumpeter meant …
President Obama has decided to apply heavy tariffs to passenger car and light truck replacement tires made in China. This is the latest and worst episode in an ill-advised assault on free trade with the PRC. Taking WTO-compliant steps to counter Chinese subsidies or other mercantilist behavior is entirely reasonable. …
