free trade supporters?

[crzyc]

I just took a class while I was studying abroad in Italy for a semester. The class was international trade. It was a big eye opener. Just wondering if anyone else shares in the belief that free trade would greatly benifit the world.

 

[astroview]

I don't hate free trade.

Most people in 3rd world nations who now have jobs don't hate it.

Most union workers who just got layed off hate it.

White Middle Class kids in college hate it.

 

[Soccerman]

nah, IMHO, Free Trade only benefits the countries that already have a good economy. In fact, it most likely reduces the cash flow within the other countries that are part of the agreement, slowing down their economy.

 

[ibintegra]

free trade is so hard to argue, there are good arguements to both sides. I think in general it's good, but there needs to be some more structures to limit the power of corporations.

 

[rahvin]

free trade built america. This country has practiced free trade even with partners that refused to open up like we did, as a result our economy flourished and theirs "popped". Free trade benefits every country that truely opens their markets...

 

[FiDo14DiDo]

Free trade: Hong Kong
Autarky: North Korea (not much trade, at least)

You make the call

Benefits the world? Yes, most definitely.

 

[Javelin]

THis is one area on which there is a broad agreement among most economists. Free trade is a good thing. If you believe in the market(ie. you're a capitalist), its very difficult to oppose free trade. Restricting free trade is essentially disrupting the free flow of goods and services. It is interfering in the natural market process, which is harmful to everyone.

In practice, adopting free trade can have negative short term consequences for some groups but will lead to much greater long run benefits for everyone. It is useful to think of things backwards. Imagine a world in which goods and services are traded freely. Now lets start restricting trade by erecting barriers. Suppose the US no longer trades with the rest of the world. Is anyone better off? No. Now, lets take California. Suppose they no longer trade with any other state. Again, is anyone better off? Of course not. Now, suppose San Francisco decided to cut off all external trade... and so on. Everytime you restrict trade, you are worse off. This is true under just about every economic model. In fact, it is very difficult to construct models under which certain parties become better off as a result of restricting trade and it is virtually impossible to construct one in which everyone is better off.

Bottom line - Free trade is a good thing. For all countries!

 

[crzyc]

what convinced me the most was how tariff barriers create dead weight losses.

by increasing domestic prices with a tariff less people will buy the product at the higher price and the not as efficient producer will be let in the market. the government will pocket some money, but some percentage of the loss in consumption and production will be LOST.