But Heckscher, Ohlin, Stolper, and Samuelson say that there is a very strong presumption that increased trade is bad for the *scarce* domestic factor of production--which in the case of the U.S. today is labor.
You have to believe very strongly in new growth theory magic--increasing returns of one sort or another somewhere (which, by the way, I do)--to reach the conclusion that increased trade is Pareto-preferable (unless, of course, reduced trade barriers are coupled with increasing social welfare and worker training and education expenditures; which is why Clinton's legitimacy to lead the Democratic Party has been in doubt since he cut off the left hand of his administration; but I degress...)
Brad DeLong