http://www.economist.com/opinion/displaystory.cfm?story_id=12815617
With the global economy facing its worst recession in decades, protectionism is a growing risk
This Christmas the world economy offers few reasons for good cheer. As credit contracts and asset prices plunge, demand across the globe is shrivelling. Rich countries collectively face the severest recession since the second world war: this week’s cut in the target for the federal funds rate to between zero and 0.25% shows how fearful America’s policymakers are. And conditions are deteriorating fast too in emerging economies, which have been whacked by tumbling exports and the drying-up of foreign finance.
This news is bad enough in itself; but it also poses the biggest threat to open markets in the modern era of globalisation. For the first time in more than a generation, two of the engines of global integration—trade and capital flows—are simultaneously shifting into reverse.
Originally posted by generalissimoI don't see a problem with countries employing there own people to manufacture there own goods and services. I think this "globalization" has gone a bit too far. Trade with other countries is OK with me, but when some countries protect there own workers jobs, and others don't, (which is the case now) that is not free trade. 😏
http://www.economist.com/opinion/displaystory.cfm?story_id=12815617
With the global economy facing its worst recession in decades, protectionism is a growing risk
This Christmas the world economy offers few reasons for good cheer. As credit contracts and asset prices plunge, demand across the globe is shrivelling. Rich countries collectively face ...[text shortened]... engines of global integration—trade and capital flows—are simultaneously shifting into reverse.
Originally posted by bill718Free trade good. Artificially managed trade bad. Treaties like NAFTA and GATT never were about free trade but really about protectionism. Wolves in sheep clothing.
I don't see a problem with countries employing there own people to manufacture there own goods and services. I think this "globalization" has gone a bit too far. Trade with other countries is OK with me, but when some countries protect there own workers jobs, and others don't, (which is the case now) that is not free trade. 😏
They granted favoritism to particular producers, industries and trading partners. It doesn't take 2000 pages of regulation to define free trade.
Free trading partners have the right to negotiate, and refuse to trade if conditions aren't satisfactory, such as a level playing field as to tarriffs.
Originally posted by KazetNagorraHow are you going to sell that to the U.S.A., E.U. and Japan? The one rule they feel is needed is a ban on all import and export tariffs and all protectionist subsidies in countries they want to dump their subsidized produce in, and persist with their own import tariffs to enable them to continue with their dumping unimpeded.
One rule is needed: a ban on all import and export tariffs and all protectionist subsidies.
Originally posted by FMFWell, it's hardly news they don't want to abolish protectionism...
How are you going to sell that to the U.S.A., E.U. and Japan? The one rule they feel is needed is a ban on all import and export tariffs and all protectionist subsidies in countries they want to dump their subsidized produce in, and persist with their own import tariffs to enable them to continue with their dumping unimpeded.
All that is needed for free trade to be accepted by everyone is a copy machine. Japan wants to import X number of widjits to the US? Fine--the US gets to export X number of thingamabobs to Japan. Fair and equal trade practice.
Since that never happens (read: The US always gets shafted in trade deals), it's time for some good ol' isolationist protectionism.
Originally posted by PinkFloydTry reading a book on economics.
All that is needed for free trade to be accepted by everyone is a copy machine. Japan wants to import X number of widjits to the US? Fine--the US gets to export X number of thingamabobs to Japan. Fair and equal trade practice.
Since that never happens (read: The US always gets shafted in trade deals), it's time for some good ol' isolationist protectionism.