“Free trade” has essentially led to the most massive wealth transfer in the history of the world. The United States has not witnessed a trade surplus since 1975, and since then trillions of dollars have been lost through trade deficits caused by “free trade” on our end and protectionism on the other. The most significant flaw with all of our “free trade” agreements is that they are impossible to enforce, and because of this competition is impossible. “Free trade” depends on the premise that all countries will play by the same rules. However, in the real world, assuring that this occurs is incredibly expensive, time-consuming and inefficient to contest.
Tag Archives: China
When the Soviet Union fell, the world rejoiced and the Cold War ended. Some predicted an “end of history” and smooth sailing from there on out. Reality has been very different, because just as the Cold War was ending, an economic war with China was beginning. In truth, it has not been much of a war; more like a one-sided slaughter. The reason for this is the United States will not wake up, does not even want to acknowledge the war has long since begun and it is losing.
The World Trade Organization (WTO) has a provision called “most favored nation” (MFN) which requires all member countries to treat each other equally. Local, state, and federal regulations aimed at rewarding companies who hire locally, use local materials or adopt environment friendly practices are all illegal under the WTO. A “Buy California” bill, which would have given preference to local businesses, was vetoed by then-governor Gray Davis simply because it was illegal under the terms of the WTO.
In a study carried out by Pew Charitable Trusts, it was discovered that, in 2012, China became the world leader in clean energy investment. The United States saw a decline in clean energy investments and technologies that same year. But think about it, how is China not going to grow and advance when all of our dollars are leaving our banks and going to China due to the massive trade deficit?
The United States is facing an economic disaster only a few nations have ever experienced. A silent economic war has been declared on America, a war that has destroyed a major part of our economy. Most Americans are unaware of this war. We have opened our shores and our markets with “free trade,” a proven disaster in the modern international economy.