The latest attempt to create an Americas-wide free trade zone has ended in failure:
Mr. Bush had hoped to persuade his counterparts from Latin America and the Caribbean to deliver a resounding endorsement of the plan, the Free Trade Area of the Americas. But suspicions of American intentions prevailed in the end, and by late Saturday no final communique had been issued.
From the standpoint of the Latin American nations, this is exactly the right approach to take. The vision of globalization which is currently put forth by the United States does nothing to address the systemic inequalities which exist between the world’s rich and poor nations. Until these inequalities are addressed, it would be foolish for the developing world to sign up to any type of free trade agreement with the U.S.
My personal opinion is that free trade - or perhaps more aptly, fair trade - is something for which the world should strive. Lowering tariffs will increase the overall size of the pie. But without some protections to ensure that the “have nots” gain along with the “haves,” we are only replacing one poorly designed system with another.
The best idea I have heard would be for tariffs to be dropped in exchange for a uniform tax on international trade. Proceeds from this tax would then be distributed to nations according to their need in order to develop their societies, build infrastructure, and relieve the suffering of their poorest members. Some would call this Communistic, but it’s exactly how the early church structured itself in the book of Acts.
It would be fantastic if the countries in this hemisphere could agree on such a framework - where we recognize that our nations are only as strong as the weakest among them.
Unfortunately, at this point, the tide is dramatically against this in this country. Which is truly a moral failure on our part.
