Shipbuilding: Colin Grabow of the Cato Institute brings the free-market viewpoint

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Yep, we're right back to discussing the American shipbuilding crisis!

During our January focus on shipbuilding, one of the best articles we used as a resource was one on the Jones Act co-authored by Colin Grabow at the Cato Institute.

Colin joined us to share his broader perspectives on the U.S. shipbuilding situation.

Colin discussed the complexities of shipbuilding, emphasizing the need for free market principles. He highlighted the inefficiencies of the Jones Act, which mandates U.S.-built ships for domestic water transport, noting it has failed to protect U.S. shipbuilding competitiveness. He pointed out that U.S. shipyards build fewer than three large ocean-going cargo ships annually, compared to China's 800. Colin suggested reducing tariffs on steel, attracting skilled foreign workers, and rethinking the Jones Act to allow U.S. shipyards to specialize and compete globally. He also criticized the Ships for America Act for its potential to exacerbate labor shortages in the Navy.

Highlights:
00:00 - Introduction
04:53 - Philosophy on Shipbuilding and the Jones Act
08:14 - Challenges and Failures of the Jones Act
14:47 - Historical Context and Government Involvement
18:36 - Government Regulation and Market Dynamics
22:05 - Comparative Analysis with Other Countries
25:19 - The Ships for America Act and Its Implications
31:39 - Navy Shipbuilding Challenges
33:27 - Recommendations for Improving Shipbuilding

This was an incredibly deep and detailed discussion, folks. Tune in for the whole thing and learn a bunch about not just shipbuilding but lessons that apply to American manufacturing as whole.

Colin's article about the Jones Act: https://www.cato.org/sites/cato.org/files/pubs/pdf/pa845.pdf