PPVRA wrote:aerolimani wrote:The aviation industry is subsidized globally. Welcome to 21st century global business.
Over the last 100 years, industry has grown to be less subsidized, not more. If you truly cared about free trade you'd be arguing against subsidies, for subsidies are not compatible with free trade. Subsidy wars create all kinds of problems and most especially, discontent, disagreements among trade partners and ultimately the taxpayer of all countries involved pay the cost. Worse yet, it can lead to boondoggle projects that end up distracting industry and diverting resources away from real, worthwhile and sustainable projects.
I don't disagree with you, actually. And, it's good that things are better than they once were. Unfortunately, we're not yet in a world where everyone is willing to play "fairly." Unless we can get all countries at a table, get them to agree to provide no incentives or subsidies in any form, to force the corporations to pay their employees the same wages (regardless of local economy), and to structure their corporate taxes in an identical manner, then we are always going to have a situation where subsidies are necessary.
In some hypothetical, perfect future world, I will argue against subsidies. Unfortunately, this world is not there yet. Everybody is subsidized in some manner, and the excuse is always that it's because the other guy is subsidized. In this world, change comes slowly.
While we may have had improvements in the industry becoming less subsidized over time, we've also had a deteriorating situation in terms of competition. Above 130 seats (or thereabouts), we've had only two manufacturers for quite some years now. If some subsidization is what it takes to get a third competitor, then yes, I'm in favour. I'd also rather have that competition come from a country such as Canada; a top 10 country on the World Corruption Perception Index. As a point of interest Canada is at #9, and the USA is at #18.