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From: urjlew@ecsvax.uncecs.edu (Rostyk Lewyckyj)
Newsgroups: comp.misc,comp.sys.ibm.pc,comp.sys.att
Subject: Re: Dram Prices...
Message-ID: <6175@ecsvax.uncecs.edu>
Date: 8 Jan 89 03:39:59 GMT
References: <18814@agate.BERKELEY.EDU>
Organization: UNC Educational Computing Service
Lines: 23



Oh come on now! both dumping and protectionist measures are
perfectly good natural market forces. After all, how does one
define natural? in a dog eat dog, survival of those who survive
world of real competition.
I think that the proper question to ask is - have the protectionist
measures taken by the US government been on the whole effective
or beneficial for the US economy?
I claim that they have done more harm than good.
If the Japanese were truly selling their ram at a loss or unrealistic
margin, then the proper course of action is to take them for all
that they are willing to give. In the meantime subsidize research
in order to come up with a better replacement product that you
can begin to sell back to them at a higher profit margin.
As it is stopping the DRAM supply has crippled the development,
production and spread of all kinds of new electronic equipment
which increased US exports and productivity. It does not appear
to have stimulated domestic production of DRAM.
The US embargo is a knee-jerk reaction not well thought out
and ineffective. THis is not to rule out embargoes in general,
or even an embargo against Japanese electronics if properly
coupled with other steps.