Comments on: TWoN Book 4 Chapter 1 http://dreamcafe.com/words/2009/11/24/twon-book-4-chapter-1/ The Dream Café Weblog Wed, 08 Feb 2012 23:59:40 -0800 http://wordpress.org/?v=2.8.6 hourly 1 By: Seth Breidbart http://dreamcafe.com/words/2009/11/24/twon-book-4-chapter-1/comment-page-1/#comment-7093 Seth Breidbart Wed, 25 Nov 2009 18:23:27 +0000 http://dreamcafe.com/words/?p=800#comment-7093 <i>and how it is obvious that such trade enriches the country, but says this is only true insofar as the country is producing more of a given commodity than it can consume, which again seems reasonable,</i> but is not correct. Consider: Wheatland produces enough wheat for all its inhabitants' grain needs, and no corn. Cornland produces the corresponding amount of corn, and no wheat. According to that rule, they wouldn't be better off if they traded; but I think everybody would have a less boring diet. <i>labor and profits which must be paid in order to prepare and bring it to market.” Note that, here, transportation is not included as part of the price, which in my opinion is correct.</i> How is "bring it to market" not transportation? Page 342: Foreign trade uses more than that. If the local demand/supply price point is lower than the foreign one, the stuff will trade foreign (e.g. the wheat/corn example above). and how it is obvious that such trade enriches the country, but says this is only true insofar as the country is producing more of a given commodity than it can consume, which again seems reasonable,

but is not correct. Consider: Wheatland produces enough wheat for all its inhabitants’ grain needs, and no corn. Cornland produces the corresponding amount of corn, and no wheat. According to that rule, they wouldn’t be better off if they traded; but I think everybody would have a less boring diet.

labor and profits which must be paid in order to prepare and bring it to market.” Note that, here, transportation is not included as part of the price, which in my opinion is correct.

How is “bring it to market” not transportation?

Page 342: Foreign trade uses more than that. If the local demand/supply price point is lower than the foreign one, the stuff will trade foreign (e.g. the wheat/corn example above).

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