Nobody can argue against international trade, since trade is as
natural as our behaviour to relate to each other. Today, the problem
is not trade per se, the problem is the sanction of international
contracts which have materialized for example with the World Trade
Organization (WTO) and the North American Free Trade Agreement
(NAFTA)(1). These international contracts are known as Free Trade,
but we have to distinguish "Free Trade" from free trade as our
natural propensity to trade within and out of our own geographical
confines.
Free Trade, as the present international contractual framework to
do business between countries, is alienated from the interest of
common people, while at the same time there is evidence that our own
governments are alienated from the interest of common people as
well. And therefore, Free Trade is an artificial agreement which is
the result of the corporate agenda of the multinational
conglomerates. Mike Moore, Director-General of WTO, wants more
international agreement on services and responding to WTO's critics
supporting more national autonomy he has stated that these critics
have always taken liberties with the truth(2). It appears that only
the proponents of Free Trade can speak the ultimate truth and the
search for this exclusive truth was explicitly synthesized by
Labourist Tony Blair's recent statement that WTO's critics cannot be
allowed to stand in the way of rational argument. I don't agree that
the search for the truth is the monopoly of our rational elitist
Free Traders and as a consequence I certainly don't take literally
their preaching. However, we have the interest to become a bit more
intelligent in understanding the social issues affecting Free Trade
and as a consequence I would like you, readers, to ponder on the
intelligence of the language used by our elitist Free Traders as
opposed to the language used by some social economists.
In reviewing the study "Trade, Income Disparity and Poverty(3)",
by Dan Ben-David of Tel Aviv University and L. Alan Winters of
Sussex University, WTO's Director-General Mike Moore has stated:
This report confirms that although trade alone may not be enough to
eradicate poverty, it is essential if poor people are to have any
hope of a brighter future. For example, 30 years ago, South Korea
was as poor as Ghana. Today, thanks to trade led growth, it is as
rich as Portugal.
And in their paper "Sharing the Wealth from Growth: Comparing the
Canadian and U.S. Experiences(4)" by Jack Mintz and Shay Aba, the
authors write: With falling barriers to trade, businesses can more
easily shift low-cost production to low-wage economies. The forces
of globalization result in greater economic inequality in
industrialized economies as the demand for low-skilled workers
declines relative to that for skilled labour, whose wages then
adjust upward.
There is certainly no absolute truth, but we have at least the
intelligence to understand which language of the above two is more
tuned to our intrinsic values; and at least we, as individuals, can
make our choice.
References/endnotes
Relevant political and economics articles http://www.ftlcomm.com/ensign
1. The problem with Free Trade: the structure of WTO and NAFTA,
by Mario deSantis and James deSantis, February 23, 2001 http://www.ftlcomm.com/ensign/desantisArticles/2001_300/desantis332/freetrade.html
2. Liberate trade, not paranoia, by MIKE MOORE, February 21,
2001, The Globe and Mail
3. Trade, Income Disparity and Poverty, by Dan Ben-David of Tel
Aviv University and L. Alan Winters of Sussex University http://www.wto.org/wto/english/news_e/pres00_e/pr181_e.htm
4. Sharing the Wealth from Growth: Comparing the Canadian and
U.S. Experiences, by Jack Mintz (C.D. Howe Institute and University
of Toronto) and Shay Aba (C.D. Howe Institute) http://www.csls.ca/jan01/aba.pdf |