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When WE bought our first Toyota, the US alternatives were garbage. Chevy Vega, Ford Pinto or AMC Gremlin. It took Detroit decades to catch up on quality. I would have been stupid to buy a Vega rather than a Corolla. However, wages and benefits were and are high in Japan, so the cars and the labor to build them weren't cheaper. In fact this is true to the extent that many Japanese cars are now built in the US. Head to head, built in the US, the Ford F150 still outsells Toyota's pickup.
It wasn't until we got "free" trade which should be called "unfair" trade that our industrial base began to collapse. There's a big difference between a rival importing things here, and our companies shuttering their plants and moving to China, leaving the US to no longer make a competing product.
Do you think American autos would have improved without competition? They can't force you to buy their produccts, but with no alternative, would they have any incentive to improve? They could stumble along with the same market share of people replacing worn-out vehicles because those folks would have no better option, and they can't really go back to horse and buggy. Introducing competition didn't CAUSE the Americna auto industry to collapse, it merely exposed the flaws in their products and provided a better product. Everybody wins from that, except the people producing the inferior product, and they don't deserve to win in that scenario. Part of the problem is that massive union contracts forced or exacerbated an inflexibility which is more directly attributable as the casue of American manufacturing's collapse than the competition. Crappy competition couldn't beat them, after all. Better quality products at a better price point did. If our industry had been "better" than the Japanese, they would have skimmed a few marginal percentage points and business would have gone as usual. So I don't mourn those dinosaurs at all.