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America COMPETES Act of 2022 passed House and Senate

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Re: America COMPETES Act of 2022 passed House and Senate

#21

Post by selectronics »

lumost wrote: post #11
hwbehrens wrote: post #2

In case you are wondering what this does (like I was), Wikipedia states "This bill is designed to solve [American dependence on China] by reducing reliance on Chinese manufacturing of semiconductors and increasing America's scientific and technological achievements." Basically, it allocates a bunch of money for supply chain and production improvements.

Does government allocation of funds make a difference when competing with China? It would seem that the Chinese government would simply match/re-up the industrial policy to be more competitive. If we're concerned about over reliance on Chinese manufacture, why not create a tariff?

It surely would still make a difference, even though China's reaction would partially negate it, right? When there's government stimulus money to be had, someone's going to jump on the opportunity to use it up, even if prices are lower from China.

Re: America COMPETES Act of 2022 passed House and Senate

#23

Post by paxys »

cherioo wrote: post #18
lumost wrote: post #11

Earlier quoted context omitted.

Does government allocation of funds make a difference when competing with China? It would seem that the Chinese government would simply match/re-up the industrial policy to be more competitive. If we're concerned about over reliance on Chinese manufacture, why not create a tariff?

Tariff may help US company to buy US product, but it won’t encourage anyone else to buy potentially uncompetitive US product. At some point, we need to increase product competitiveness, which ultimately benefits everyone. That or sanction china so they can’t build competitive product, like Huawei.

And in this case there is no US product to buy. US semiconductor manufacturing simply cannot compete on the global stage, hence the need for this investment.

Re: America COMPETES Act of 2022 passed House and Senate

#25

Post by beaconstudios »

cherioo wrote: post #18
lumost wrote: post #11

Earlier quoted context omitted.

Does government allocation of funds make a difference when competing with China? It would seem that the Chinese government would simply match/re-up the industrial policy to be more competitive. If we're concerned about over reliance on Chinese manufacture, why not create a tariff?

Tariff may help US company to buy US product, but it won’t encourage anyone else to buy potentially uncompetitive US product. At some point, we need to increase product competitiveness, which ultimately benefits everyone. That or sanction china so they can’t build competitive product, like Huawei.

the US can't compete with China's artificial suppression of the Yuan price to help export prices, or the high levels of exploitation and lack of rights & regulations to benefit Chinese workers.

Re: America COMPETES Act of 2022 passed House and Senate

#26

Post by paxys »

ipnon wrote: post #17
huy-nguyen wrote: post #9

Per [1], the House version contains important immigration provisions. 1) The bill would create a new category of non-immigrant visa called the W visa for owners (W-1) or essential employees (W-2) of start-up companies and their dependent family members (W-3). 2) The bill would exempt applicants holding a PhD in a STEM field from the annual per-country green card limits, enabling them to quickly apply for permanent re…

The United States should be offering permanent residency to practically everyone with a Ph.D.

Forgot all PhDs, it is next to impossible for most students and researchers who get advanced degrees from American universities to get work visas or permanent residency. We get the best talent from all over the world, spend billions on educating them, and then force them to go home.

Re: America COMPETES Act of 2022 passed House and Senate

#27

Post by colechristensen »

lumost wrote: post #11
hwbehrens wrote: post #2

In case you are wondering what this does (like I was), Wikipedia states "This bill is designed to solve [American dependence on China] by reducing reliance on Chinese manufacturing of semiconductors and increasing America's scientific and technological achievements." Basically, it allocates a bunch of money for supply chain and production improvements.

Does government allocation of funds make a difference when competing with China? It would seem that the Chinese government would simply match/re-up the industrial policy to be more competitive. If we're concerned about over reliance on Chinese manufacture, why not create a tariff?

If we build fabs, we have fabs. We also have less technology development leaving the country.

Even if there was a tariff, new fabs would still cost billions.

Also, how you manipulate trade is governed by lots of treaties and some basic economics (i.e. a tariff would just make more or less everything more expensive and not change the situation much for quite a while)

Re: America COMPETES Act of 2022 passed House and Senate

#28

Post by rileyphone »

lumost wrote: post #11
hwbehrens wrote: post #2

In case you are wondering what this does (like I was), Wikipedia states "This bill is designed to solve [American dependence on China] by reducing reliance on Chinese manufacturing of semiconductors and increasing America's scientific and technological achievements." Basically, it allocates a bunch of money for supply chain and production improvements.

Does government allocation of funds make a difference when competing with China? It would seem that the Chinese government would simply match/re-up the industrial policy to be more competitive. If we're concerned about over reliance on Chinese manufacture, why not create a tariff?

Yes, because our marginal returns should be much higher than China’s given how far we’ve fallen. We can, just like China did, copy the leader to catch up, while they pour investment into unexplored and speculative frontiers.

Re: America COMPETES Act of 2022 passed House and Senate

#29

Post by colechristensen »

0des wrote: post #13
ipnon wrote: post #12

To give an idea of how much content is in this bill, please see "Sec. 74029. Beverage containing coconut water." where duties on imports of beverages containing at least 10% coconut water are hereby free .

That is the stupidest shit I've ever seen. Just flat rate everything and get rid of all the special exemptions and trash that just creates loopholes. If this results in a lot of things soon containing 11% coconut water, I might just snap.

Trade policy is explicitly to manipulate balances of imports and exports, that doesn't happen with flat rates. Some things you want to protect, some things are bargaining chips for concessions elsewhere. Of all the stupid shit in government, trade exceptions are far from the worst.

Re: America COMPETES Act of 2022 passed House and Senate

#30

Post by raincom »

ronyfadel wrote: post #19
ipnon wrote: post #17

Earlier quoted context omitted.

The United States should be offering permanent residency to practically everyone with a Ph.D.

That would lead to the immediate creation of Ph.D. farms in other countries

Also more journals will be created:)
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