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Quote by Thomas Piketty

“Protectionism does not produce wealth, and free trade and economic openness are ultimately in everyone’s interest”

Book:Capital in the Twenty First Century

Work

Capital in the Twenty First Century

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Author

Thomas Piketty

Thomas Piketty is a renowned French economist born on May 7, 1971. His research focuses on income and wealth inequality, economic growth, and capital accumulation. Piketty is known for his in-depth studies on inequality and his influential book 'Capital in the Twenty-First Century' has had a global impact. more

“Page 61-2 ... Rome expanded rapidly ... and became master over the entire Mediterranean Basin. It then had unlimited resources in terms of land, money, and slaves. It collected taxes or tribute throughout its empire and was able to transfer to the central capital massive quantities of foodstuffs and manufactured items. The peasants and the artisans of Italy saw their economic base disappear as this Mediterranean economy was "globalized" by the political domination of Rome. The society was polarized between, on the one hand, a mass of economically useless plebeians and, on the other, a predatory plutocracy. A minority gorged with wealth oversaw the remaining proletarianized population. The middle-classes collapsed, a process that brought about the end of the republic and the beginning of the political form known as "empire" in conformity with the observations made by Aristotle about the importance of intermediate social classes for the stability of political systems. Since one could not eliminate the plebeians, intractable but geographically central as they were, they came to be nourished and distracted at the empire's expense with "bread and circuses." Page 64-5: The positive American trade balance, when only "advanced technology" is counted, dropped from 35 billion dollars in 1990 to 5 billion in 2001 and had disappeared entirely to become one more element in the overall trade deficit in January 2002. This fall in economic strength is not compensated for by the activities of American-based multinationals. Since 1998 the profits that they bring back into the country amount to less than what foreign companies that have set up shop in the United States are taking back to their own countries. Page 68: In conformity with classical economic theory, the general opening up of commercial exchange has brought about an increase in inequality throughout the world. This general exchange tends to introduce into each country the same disparities in revenue that exist at the level of the whole planet. ... The compression of worker revenues caused by free trade revives the traditional dilemma of capitalism that has now spread across the globe: low salaries do not allow for the absorption of increases in production. Page 17: In developed countries a new class is emerging that comprises roughly 20 percent of the population in terms of sheer numbers but controls about half of each nation's wealth. This new class has more and more trouble putting up with the constraint of universal suffrage.”

Democracy Immigration Globalization Free Trade

Book:After the Empire: The Breakdown of the American Order

Source: After the Empire: The Breakdown of the American Order

“International trade in chemical products is not free. . . . Joint control of the market became the general rule; free competition, the exception.”

Competition Free Trade

Book:Cartels in Action: Case Studies in International Business Diplomacy

Source: Cartels in Action: Case Studies in International Business Diplomacy

“For centuries England has relied on protection, has carried it to extremes, and has obtained satisfactory results from it. There is no doubt that it is to this system that it owes its present strength. After two centuries, England has found it convenient to adopt free trade because it thinks that protection can no longer offer it anything. Very well then, gentlemen, my knowledge of our country leads me to believe that within two hundred years, when America has gotten out of protection all that it can offer, it too will adopt free trade.”

Free Trade Economic Development Protectionism

Author:Ulysses S. Grant

“Dr. Wickramsinghe, I don't mean to insult, but what do we have in Sri Lanka? We have a small island nation the size of what, Belgium, that has been at war with itself since 1983. A sixteen-year civil war which shows no signs of abating. A tiny poor nation. What do you possibly have to offer anyone besides warmed-over wage slaves and more of the same?" ..."Listen, we support development. But there are some serious problems with the Sri Lankan way of life. I can assure you that there will be no entry into the WTO for Sri Lanka, nor any free trade agreements with the U.S., unless you enact some serious reforms. Tighten your fucking belt. I believe we have made it very clear that your grossly overfunded health and education will have to go.”