-
Essay / Argumentative Essay on Free Trade - 2081
Few governments will argue that the exchange of goods and services across international borders is a bad thing. However, the degree of openness of an international trading system may conflict with a state's ability to protect its interests. Free trade is often presented in a good light, with emphasis on material benefits. Theoretically, free trade allows for the distribution of resources between states. A country's labor force can become more productive as it specializes in products in which it has a comparative advantage. Free trade minimizes the risk that a market will have a surplus of one product and not enough of another. Arguably, comparative specialization leads to efficiency and growth. With so much focus on the positive elements of free trade, the negative aspects of an open system are often overlooked. However, they exist and protectionism is necessary. Therefore, safeguards are built into the system. States look out for their own good, whether by resorting to escape clauses or by choosing the optimal forum for dispute resolution based on the precedent they may or may not wish to set. This article argues that protectionism is valuable and inherent to the current system; but not enough. Powerful states exploit weaker states, and “free trade” exacerbates the problem. I'll first explain why free trade doesn't work. Next, I will explain how the current system enables the inherent protectionist attitude of states. Finally, I will analyze the fairness of the system. Free Trade Doesn't Work As Ian Fletcher points out in Free Trade Doesn't Work: What Should Replace it And Why, nations need a careful balance between being open and closed to of the biggest. global economy (Fletc... middle of paper... its meaning, exploited by stronger nations. Conclusion Even in a world focused on the benefits of free trade and aiming to achieve the goal of free trade, states are protectionist. Unfortunately, the design of the international system allows stronger nations to be more protectionist, leaving weaker states even more vulnerable. A more in-depth study than a critical commentary should be devoted to the analysis of the. he impact of free trade on development I was limited to prior reading and knowledge, and so I was unable to provide sufficient analysis on the fair treatment of developing countries. Fairness-focused reading of international institutions because of the statistics that indicate nations have not fared well in recent decades. I would like to explore this issue further with more time and resources..