There is a strong tendency among American politicians and economists
             to attempt to deal with issues and problems in isolation. Politicians take
             this approach because they apparent have difficulty dealing with
             complexity. Economists take this approach so that they can factor
             troublesome variables out of their equations. One result of the approach
             of treating issues and problems in isolation is the development of
             solutions that are ineffective when they are implemented in the real world
             where isolation from other factors is no longer an option.
             The tendency to deal with the issue of international trade in
             isolation has led to policies that tend to make the situation worse rather
             than better. The United States government (it makes little difference
             which administration is in control of the White House) likes to play the
             role of the world's policeman (and it likes to be involved in all
             disputes). This role is very expensive, but the United States government
             and United States taxpayers do not like to ask Americans to pay the bill in
             the form of a balanced budget. A balanced budget would require an increase
             in taxes, as there is just so much the Congress can squeeze out of services
             for the poor and the old without bringing the electorate down on them (Gale
             Therefore, the Congress and the President agree to pay the bill
             resulting from foreign policy by resorting to deficit spending. Deficit
             spending on a massive scale by the federal government places the government
             in direct competition with American businesses and American consumers in
             the capital markets. The government needs money to fund the budget
             deficit. American businesses need money to fund new projects. American
             consumers need money to buy new houses and cars. In the normal course of
             events, however, there is not enough capital to satisfy all of these needs
             when the federal government is a massive borr...