Thursday, September 01, 2011

"And God, please protect us from the well-intentioned..."

StrategyPage: America Gives China A Mineral Monopoly
Complaints from the Congo are growing about the U.S. legislation intended to stop illegal mineral sales. The Dodd-Frank bill (also called the Obama Law) has a clause that prohibits the sale of so-called conflict minerals may have been well-intentioned but it was not well-thought out. Rather than run the risk of buying any minerals that might have been smuggled from the Congo, many major mining companies are simply refusing to buy minerals from central Africa. The result is a de facto embargo. There are few buyers for Congo’s valuable minerals, [LB: I'm sure that makes everything better for the Congolese, right? Destroying the economic value of the resources that they do have?] especially tantalum and tungsten which have many hi-tech uses. This has damaged the Congo’s economy [LB: Shocker...], because the nation relies on mineral exports. According to some sources, China, which does not have to meet Dodd-Frank standards, is snapping up many minerals at very cheap prices.
Unintended Consequences. It's not just a good idea - it's the law...

What the well-intentioned "we know best" utopian leftists in America have done is a) damage the economy of the Congo b) to the benefit of Chinese companies c) and the detriment of US companies d) without improving the lives of the Congolese in any way. In other words, it was a lose-lose-lose-lose proposition!

But they meant well, so it doesn't matter...

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