George Will explains the folly and the political attractiveness of “Buy American.”

From Cafe Hayek.

"“Buy American,” like protectionism generally, can protect some blue-collar jobs — but at a steep price: A Peterson Institute for International Economics study concludes that it costs taxpayers $250,000 annually for each job saved in a protected industry. And lots of white-collar jobs are created for lawyers seeking waivers from the rules. And for accountants tabulating U.S. content in this and that, when, say, an auto component might cross international borders (U.S., Canadian, Mexican) five times before it is ready for installation in a vehicle.

In the usual braying-and-pouting choreography of the State of the Union evening, members of the president’s party leap ecstatically when he praises himself, and members of the other party respond sullenly, by not responding. This year, however, something unusual happened when President Biden vowed to “require all construction materials used in federal infrastructure projects to be made in America.” A bipartisan ovation greeted his promise to reduce the purchasing power of tax dollars spent on infrastructure projects by raising the cost of materials.

This will mean more borrowing, not fewer projects. Federal spending is not constrained by a mere shortage of revenue. So, Biden was promising to increase the deficit. And this policy, which elicited red-and-blue bonhomie in the State of the Union audience, also will give other nations an excuse to retaliate (often doing what they want to do anyway) by penalizing U.S. exporters of manufactured goods.

…..

Washington lobbyists for both will prosper. Remember Solyndra, the Obama administration’s industrial policy pratfall? Before its bankruptcy, this renewable energy company gorged itself on $535 million in federal funds. And spent almost $1.8 million on lobbyists.

Progressives lament what they call America’s “market fundamentalism.” Sensible people say: Would that this were real. Populists will note that Buy American is popular. It is that, and it also is proof that polarization can be ameliorated by the bipartisan appeal of a bad idea."