Today I was invited by a kipper to comment on a clip on Youtube posted by someone who calls himself Robin HoodUKIP for reasons best known to himself. I captured the main point our nutty Professor made in the visual. The kipper comments below the clip are hilarious!
You really have to wonder ‘who is the idiot in this select committee hearing’. Prof Minford is clearly of the free market persuasion we talked about in the previous post. If it was up to Minford there would be no trade pacts, making the EU redundant. But only if the world corresponds to the professor’s ideal, which of course it doesn’t.
The fact is China may be a country rather than a trade pact but it behaves in a very neo-mercantilist way towards us in the west. One of their practices is to dump their steel and other produce on the rest of the world at ridiculous prices that our industry (what remains of it after not joining the Euro) could never hope to compete against. China doesn’t play by the Professor’s rules. Not many developing nations do. He’s not in the real world.
In the same breath Prof Minford says: “If you’re very small, you can’t influence the price of the goods you trade. You’re part of a huge market of 7 billion people right? And we’re only 30 plus million. Trade agreements are totally irrelevant to you. You are a small player in a global market”. Well the EU with a $18 trillion economy and 500 Million consumers is not small by any standard.
Let’s examine the part where Minford says only 10% of UK GDP is involved in export to the EU: why burden the other 90% with unneeded expensive regulation he wonders? The vacuousness of this argument can be easily demonstrated. For arguments sake we have 10 UK manufacturers of baby milk (formula). One of them prints on the tin they comply with the strictest EU quality regulations, the others just have a picture of a cute baby and nothing else. Who do you think sells the most formula milk? In the Netherlands Chinese gangs cleared super market shelves of EU baby milk because in their unregulated market some idiot put melamine into the formula and babies actually died. Hand’s up, who thinks UK baby milk does not have to comply with regulation (standards). Now hand up, would it be cheaper to develop our own UK rules for local consumption only or copy EU standards with the advantage of a much bigger potential market. OK I guess I won that argument again. Want another about UK manufactured safety belts for cars? Still think we don’t need regulation?
Minford just isn’t coherent in his anti EU brexit rant. I notice in the beginning of his testimony he complains Germany can sell us cars at deflated prices thanks to an undervalued Euro, but next he says prices would drop immediately by 8% after a Brexit.
These trade agreements [that Britain would sign after a #brexit] are totally irrelevant!” Minford repeats several times, making out committe members are a bit thick. What is for sure, kippers don’t understand the implications of what Minford and his ilk are after. After all, they blame the EU for not protecting British steel workers and in their manifesto they say they’ll continue supporting British farmers. In other words, the complete opposite of Minford’s free trade for all medicine. But that doesn’t stop them holding him up as some sort of leading light.