On Aug 10, 2007, at 2:44 PM, Robert Wrubel wrote:
> Since Glblzn is widely associated with
> "free trade" laws like NAFTA and WTO, and since these
> have pummelled American workers, should we support the
> reverse of free trade, i.e. restrictive tariffs,
> protectionist measures, tax breaks for domestic job
> creation, etc.? Will these, as conventional wisdom
> has it, lead directly to a collapse of global trade,
> and Depression, as they did in the 30's?
Not impossible. Trade is often given a starring role even though there are many homegrown roots of our problems (I tried to argue this point with Ralph Nader on The Nation cruise, but he wouldn't hear it). Higher minimum wages, better labor laws, a civilized welfare state (I know I'm annoying Angelus Novus with this list) would do a lot more to improve the status of the American working class than repealing NAFTA ever would. Much of the damage done to American manufacturing jobs by NAFTA probably would have happened anyway without the agreement. And precisely what effect has the WTO had on American workers? Very little, I'd say. NAFTA has probably done most of its harm in Mexico - not that Mexico would be a booming paradise without NAFTA. As long as there are 5 or 10 to 1 wage disparities right here in our own hemisphere capital will feel an irresistible pull southwards. So the solution is to do everything we can to help raise wages in the South - for which our unions are doing close to nothing.
Doug