Posted by
Mike on Tuesday, September 15, 2009 7:00:12 PM
http://westernperspective.blogspot.com/
Is the current trade imbalance good or bad?
America is already
consuming a big chunk of the world's resources. Foreign competition
insures that the work Americans are doing is actually useful in the
world context. If people of other nations can produce for less, why
should Americans be paid more for doing the same things? The importing
of goods acts as an incentive at home to make our economy benefit the
people of America. At the present time, the trend is toward
redistribution. This should lead to greater independence at the local
level for basic necessities including health care to protect Americans
from the vicissitudes of the global marketplace. Perhaps we will see a
return to local community doctors making house calls. The important
thing is that all of us will get care when we need it, and at less cost.
Looking
at the world from a global perspective, it is not good to put up
barriers to trade with other nations. The less developed countries, as
was America 200 years ago, do not value free trade, job safety, and the
protection of the environment as we do. If they lose jobs, generally
more people are reduced to substandard living conditions. If America
loses jobs, we as the wealthiest nation on earth simply readjust our
priorities, making political decisions that give everyone the basic
necessities of life, while giving people new opportunities for
education and for jobs that meet real human needs. The end result is
that the less developed countries grow relative to us, and they then
adopt more liberal economic policies and stricter environmental and
employment protection safeguards.