It's easy to determine when a price is too high--when an equal or better product comes along at a better price.

So if we have a steel worker in the USA getting X and a steel worker in Japan or S Korea getting X/n, then the steel worker in the USA has a job problem. The reaction by politicians is the usually stupid price-fixing remedy, in which tariffs are set artificially high. This accomplishes a thoroughly predictable response...nothing good for our side. The local labor market is under no incentive to reduce cost nor is the industry. In contrast, the competition is under pressure to make even more cost-savings so that the product will still be competitive in the protected market.

What is the outcome? See Pittsburg.

B