October 15, 2012 9:50AM

Some Refreshing Honesty in China‐​Bashing

This is Dartmouth B-School Professor Richard D'Aveni writing in the Washington Post over the week-end, explaining how U.S. businesses "can win against China":

Many people argue in favor of economic efficiency — investing capital and hiring labor anywhere in the world to reap the highest returns — that is theoretically achieved by an across-the-board opening of the U.S. domestic market. But this hurts American businesses in the long term. Fierce free-market competition with countries such as China drives down prices, which may make goods cheaper for consumers but comes at the expense of healthy profit levels. ...

Ah, so it's high corporate profits he supports, and that takes precedence over lower prices for consumers.  Well, yes, if you think high corporate profits should trump overall economic welfare, then minimizing free-market competition makes sense.  On the other hand, if your goal is general economic growth rather than helping specific corporations, "fierce free-market competition" is actually a good thing!