From Mr Robert W. McGee and Prof Yeomin Yoon.

Sir, It seems that Robert H. Wade (Letters, January 2) has fallen prey to what Frederic Bastiat (1801-1850) called the mother of all fallacies: the failure to examine the effect that a policy has on all groups, both in the short run and the long run. In calling for government assistance to bail out failing industries one must ask: “Where are the funds coming from?”