Morning Bell: A Trade Free Zone
Posted By Conn Carroll On October 8, 2008 @ 9:00 am In American Leadership | 10 Comments
Considering that the No. 1 issue in this election is the  global economic downturn we are slipping into, one would think debate moderators would press the candidates to clarify their positions on trade. No such luck. We have had three debates so far (two  presidential  debates and one  vice presidential debate). There have been approximately 100 questions directed at all four candidates over the course of the three debates. None have pressed the candidates to explain to the American people where they stand on free trade.
International trade has been one of the biggest drivers of economic growth in recent years. The one bright spot in the American economy this past year has been  the continued growth in U.S. exports.  Exports generated an impressive two-thirds of U.S. economic growth over the past year. With the Doha round of trade talks grounded, bilateral free trade agreements (like those Obama voted against for Panama, Colombia and South Korea) are one of the only options for expanding trade. Although they comprise only 7.5% of global GDP (not including the U.S.), the  countries the U.S. has free trade agreements with accounted for more than 42% of U.S. exports.  Shutting down free trade now would be disastrous for the U.S. economy. The last time the U.S. reverted to protectionism in a time of economic turmoil  President Herbert Hoover’s Smoot-Hawley Tariff helped usher in the Depression. This is not the direction our country needs to go.
It is the direction the left wants to take us. Doing the bidding of her labor union masters,  Speaker Nancy Pelosi (D-CA) destroyed over thirty years of American credibility on trade when she gutted the legal framework of U.S. Trade Promotion Authority this April. The next president of the United States will have to fight hard against organized labor just to repair the damage Pelosi has caused, let alone advance new trade gains worldwide. Americans deserve to know where the next president stands on this issue. Hopefully they can get at least one question on it.
- Due to  higher oil and natural gas prices, and colder forecasts, the Energy Department predicts consumers will pay about 15% more — an extra $150 on average — to warm their homes this winter.
- A U.N. food agency concluded Tuesday that biofuel subsidies had  contributed significantly to rising food prices and the hunger in poor countries.
- Mexico’s powerful drug cartels are  buying cocaine directly from Colombia’s FARC terrorist organization.
- Caving to pressure from conservatives to examine the actual causes of the current financial crisis, House Oversight and Government Reform Chairman Henry Waxman (D-CA) announced he will hold hearings on mortgage giants  Fannie Mae and Freddie Mac.
- Responding to the  miasma of ignorance exposed by the bailout debate, the London School of Economics is offering a free online course in Econ 101 to members of Congress.
Article printed from The Foundry: http://blog.heritage.org
URLs in this post:
 a bad deal: http://www.cfr.org/publication/14762/
 use the hammer of a potential opt-out: http://www.foreignpolicy.com/story/cms.php?story_id=4461
 NAFTA was not so bad after all: http://money.cnn.com/2008/06/18/magazines/fortune/easton_obama.fortune/index.htm?postversion=2008061
 voted with the Bush Administration for free trade in Oman: http://www.cfr.org/publication/14762/
 supported free trade with Peru: http://money.cnn.com/2008/06/18/magazines/fortune/easton_obama.fortune/index.htm?postversion=2008061
 opposed free trade with Panama, Colombia and South Korea: http://www.cfr.org/publication/14762/
 global economic downturn: http://business.theage.com.au/business/global-stock-markets-slump-for-fifth-day-20081008-4wu8.html
 presidential: http://www.cnn.com/2008/POLITICS/09/26/debate.mississippi.transcript/
 debates: http://www.cnn.com/2008/POLITICS/10/07/presidential.debate.transcript/
 vice presidential debate: http://elections.nytimes.com/2008/president/debates/transcripts/vice-presidential-debate.html
 the continued growth in U.S. exports: http://blog.heritage.org/2008/08/13/free-trade-fact-of-the-day-109/
 Exports generated an impressive two-thirds of U.S. economic growth over the past year: http://www.chamberpost.com/2008/08/trade-generatin.html
 countries the U.S. has free trade agreements with accounted for more than 42% of U.S. exports: http://www.ita.doc.gov/fta/index.asp
 Shutting down free trade now would be disastrous for the U.S. economy: http://www.heritage.org/Research/economy/wm1883.cfm
 President Herbert Hoover’s Smoot-Hawley Tariff helped usher in the Depression: http://www.bloomberg.com/apps/news?pid=20601039&refer=columnist_shlaes&sid=alBsmRS72DyM
 Speaker Nancy Pelosi (D-CA) destroyed over thirty years of American credibility on trade when she gutted the legal framework of U.S. Trade Promotion Authority this April: http://blog.heritage.org/2008/04/18/american-leadership-on-free-trade-rip-april-10-2008/
 higher oil and natural gas prices: http://www.usatoday.com/money/industries/energy/2008-10-07-heating-costs_N.htm
 contributed significantly to rising food prices and the hunger in poor countries: http://www.nytimes.com/2008/10/08/world/europe/08italy.html?ref=todayspaper
 buying cocaine directly: http://www.nytimes.com/2008/10/08/world/americas/08mexico.html?ref=todayspaper
 Fannie Mae and Freddie Mac: http://thehill.com/leading-the-news/house-to-hold-hearings-on-fannie-mae-freddie-mac-2008-10-07.html
 miasma of ignorance: http://www.politico.com/blogs/thecrypt/1008/Free_Econ_101_course_offered_to_Congress.html?showall
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