What’s The Problem With “Free Trade”?

by Dave Johnson, Campaign for America’s Future, March 13, 2016

Our country’s “free trade” agreements have followed a framework of trading away our democracy and middle-class prosperity in exchange for letting the biggest corporations dominate.

There are those who say any increase in trade is good. But if you close a factory here and lay off the workers, open the factory “there” to make the same things the factory here used to make, bring those things into the country to sell in the same outlets, you have just “increased trade” because now those goods cross a border. Supporters of free trade are having a harder and harder time convincing American workers this is good for them.

“Free Trade”

Free trade is when goods and services are bought and sold between countries without tariffs, duties and quotas. The idea is that some countries “do things better” than other countries, which these days basically means they offer lower labor and environmental-protection costs. Allowing other countries to do things in ways that cost less “frees up resources” which can theoretically be used for investment at home.

Opponents of free trade ask for tariffs to “protect” local businesses, jobs, wages and the environment from being undermined by low-cost goods from countries where people and/or the environment are exploited.

Free trade is generally sold as offering lower prices to consumers. It is also sold with claims that it “opens up foreign markets” to U.S. exporters. But it also opens up U.S. markets to imports. …

continue reading at Campaign for America’s Future

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