This is only true in certain sectors and for a limited time.
No. It's actually inherently true of any free exchange between two parties. Because both sides were happy to trade, and made the effort to do so, it's a benefit to both parties to trade in this way, which makes it a non-zero sum game. This is the core of why capitalism actually produces wealth, but socialism cannot.
.
That is, individuals have unlimited wants but the universe has limited resources. Leaving aside the pure economics, your theory rests on the idea that each country excels at something and thus all countries can just sell the goods they are the best at to all other countries. As has been stated this requires a utopia to realize, even if it was the case that each country has something it is the best in the world at (which it isn't.)
The above is just completely wrong, but these are common misconceptions.
First, capitalism works
because there are limited resources. In fact, resources being unlimited is one of the only ways SciFi has escaped capitalism (Star Trek), and even then it comes back somewhat. In fact, a free market is how best to allocate a limited resource, as it's basically a massive computer that outputs the answer as a price and who's offering that price. More, that price tells people what resources are becoming limited, and when to look for more or an alternative.
Second, comparative advantage (the ide free trade is based on) very much
doesn't require that each country excels. Just that their rates of production are in different ratios. One country can actually be better at everything than the other country, and it's still worth trading.
Here's an example, let's cut the Economy into two goods, minerals and machines. Uganda takes 1 day to make a mineral, and 1 week to make a machine. The US can produce at a mineral in half a day, or a machine in one day.
The US could earn 3 mineral and 3 machine by taking 4.5 days doing it themselves. And it would take Uganda 8 days to just get to 1 mineral and 1 machine. Or they could trade. The US offers to trade a machine for 3 mineral. Uganda accepts. It save the US a half day/ work, and Uganda 4 days
| Time to produce alone | Time to produce with trade (1 machine = 3 mineral) |
US | 3 * .5 + 3 * 1 = 4.5 days | 4 * 1 = 4 days |
Uganda | 1 * 1 + 1 * 7 = 8 days | 1 * 4 = 4 days |
Basically, you don't actually need to excel. You just need to produce in a different time ratio to make trade profitable.
The above is the math behind why free trade works. Now there are actual issues with free trade, but not any of the ones you listed. They aren't really economic issues, mostly they are power/politics issues. The big ones are the following: first, benefiting an enemy. The issue with free trade with China is that you've empowered a geopolitical enemy. That's not an economic issue though, that's a power/politics issue. More, China's flouting of intellectual property has made other issues of free trade as well. Then there's the moving of jobs, a classic politics issue. And I could go on.
You don't seem to understand how much of a joke Reagan is to people who are outside a certain sections of the older GOP.
You're a socialist (FDR loving), of course you hate Reagan, news at 11.
There's a ton of reasons to hate Reagan btw. He increased the national debt a ton, was a gungrabber, etc. But not what you are saying.
Reagan's legacy didn't even beat the USSR/Russia/the CCP in the long run, and did open the Right up to some very dumb mindbugs that have caused it to keep shooting itself in the foot with younger generations.
He absolutely did what he was trying to do, which was defeat the USSR. He caused millions of people to be released from slavery, but you add in the CCP so you can hide his greatest accomplishment. It's like complaining that Jesus didn't come back from the dead twice.
Capitalism simply requires you to act in a way that maximizes profit.
Not true. There are ways to act that maximize profit which aren't capitalistic. The clearest cut example is theft. If you run a thieving ring, you aren't a capitalist. Capitalism requires respect for private property. Now, there's definitely bad behavior that capitalism is fine with (drug dealing most notably, also mercenary work), but it's not that simple. Much of bad behavior is banned by capitalism, with how much is banned decided by the precise definition of capitalism.