Tech Protectionism’s Incentives Undermine Global Market Goals

The basic components and necessary materials for a slew of technologies are increasingly becoming tantamount to basic needs. Somewhere between “safety” and “belonging and love,” Maslow is going to have to squeeze semiconductors into his hierarchy of needs.

If you drew contours around the geographic market for chips, it would look something like an outline around the map. Everyone needs them, and markets don’t need to be closed and protected. As such, protectionist policies in the technology sector are counterproductive and achieve little, save for increased international hostilities and deadweight loss.

We’ve spoken before about the measures governments, including the ...