Risks Of Free Trade?

Better Essays

Robert Knighton
Pol. Sci. 1300
Kate Ivanova
April 23, 2015
Risks of Free Trade
If someone mentions an argument against free trade aloud, the typical person might withdraw curiously: against free trade? Indeed, such a statement does require explanation, as the connotation behind the word can differ slightly even if the primary meaning succeeds. Not to mention the ambiguity that accompanies such a phrase, as the speaker likely means they support regulated trade because of the risks that free trade involves. Indeed, the risks of free trade are so steep that it requires regulation, albeit with surgical precision. (what I mean by this is that regulation is required, but in small amounts. Heavy regulation would be as bad if not worse than no regulation)
What is meant by free trade, exactly? First, it is important to note that while the terms “free trade” and “fair trade” are often used interchangeably in colloquial speech, they are completely different things. In fact, free trade is anything but fair (except to private corporate profits). Free trade, according to mainstream economic policy, has zero restrictions on imports and exports. There are no tariffs, quotas, subsidies, etc. Often, free trade agreements surpass the sovereignty of nations in order to guarantee the corporate interest in private capital gains. Michael Palenti, in his article, “Globalization and Democracy: Some Basics”, vocalizes this concern with free trade agreements, saying that, “…[corporations] seek a

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