Monday, February 14, 2011

All for One and One for All

Here is a piece from this weekend's New York Times, which follows up my post last week discussing the strength of manufacturing in the US. The article is written by N. Gregory Mankiw, a Harvard economics Professor who I have featured several times in this blog.  The topic is about how economics is not like sports, where there are winners and losers.  Instead, the basic premise behind economic prosperity is that trade involves two parties who each benefit, making it a win-win situation, not a zero sum game.   

We are not in a competition with China, Germany, etc., where one country prospers to the detriment of others.  Instead, we all benefit from the increasing complexity of economic activity, making more of the world a prosperous place to live and work.  

Here is a cool graphic from the US Department of Commerce showing America's major trading partners: