The Policy Blender

China's aggressive external economic liberalism means that cheep goods are being exported all over the world, providing a massive boost to the Chinese economy. In turn, these goods are providing value for consumers the world over, lowering prices through competition and so helping the poor.

What's bad about this? Well, the EU is naturally defensive. Quotas have been put in place to try to limit the flow of goods into the EU, protecting EU manufacturers against competition from the Orient. What's good for European manufacturers isn't necessarily good for European consumers. In fact in the long run, Mandelson and Co.'s racketeering will have a detrimental effect on the competitiveness of European enterprise as businesses go the way of the French wine industry and disappear up their own protected arses.

Mandy's twisting and turning over this issue is hilarious. The original official line was that the quotas on Chinese imports were to protect European business. Then, with rumours of rationing abound given Beijing's fury at the EU protectionist stance, it was announced that the EU has a surplus of Chinese stock. Now, Mandy is issuing dire warnings that consumers may have to face price rises because of the trade surplus.

So we're got too much of the stuff so the price goes up? The normal rules of logic do not, of course, apply when you consider the EU.