Sure, if every country did this for every technology, it wouldn't work. But in reality, they don't. Even ongoing industrialization isn't a given once it's been

Sure, if every country did this for every technology, it wouldn't work. But in reality, they don't. Even ongoing industrialization isn't a given once it's been achieved, because the bar for what constitutes "developed" is always changing, and it takes effort to maintain. We even see deindustrialization, both historically and in the present. There will always be someone to sell to. You're focusing on the US, when what I'm saying is historically true for essentially every nation that ever industrialized. Many of those countries are still industrial powerhouses today. The US had a great run from the 50s to the 70s, but it was the world's largest exporter by 1914 thanks to WWI, and didn't relinquish that spot until 2003. Similarly, Japan and Korea didn't have any such luck and still managed to both develop and maintain high living standards even through economic hardship, thanks to their industrial foundations. Taiwan uses its chip industry, again heavily export based, as a shield. China is following the same playbook today, first during China shock 1.0 20 years ago, and now with higher value goods. The only real exceptions to this rule are Singapore and Hong Kong, both of which exploited the fact that they were strategic waypoints in global shipping. Even then, Singapore is one of (if not the) largest oil refiners in the Asia Pacific region, and exports a tremendous quantity of refined petroleum products. Singapore isn't strictly protectionist, but it makes heavy use of cheap Asian laborers who will never, ever be citizens, and it engaged in massive skills transfers from other nations during the 80s and 90s (my own family was part of that wave). And of course, the major European powers all built themselves on the back of protectionism and exports. The erosion of that directly resulted in the crises we see today. I have no issue with automation, and I agree that investors and business will always want to exploit cheaper economic conditions elsewhere. What I'm saying is that any government that wants to preserve living standards and maintain an industrial base needs to have the backbone to tell those interests "No". They are part of the social fabric of a country, and the backbone of it's defense. Investors will make less money, but I don't see that as a bad thing. They would actually have to allocate money more effectively within a country to turn a profit. I'm not shitting on services, they're necessary. But services can't manufacture bullets when you need them, and countries always need them eventually. Not to mention, we live in a time when even services being offshored, so what's left? We build houses and make coffees for one another, while banks and mega corporations that are beholden to no border lord over us? For what it's worth, I agree with you that economics is a captured discipline, and I applaud your devotion to testing your own ideas. But the stuff I'm pointing out isn't economics, it's history -- things that actually happened. In my opinion (and it is just that) any economic theory that is at odds with history is straight up garbage.