The argument against protectionism and for increased price competitiveness and productivity.
Written in 1994; 1,125 words; 5 sources; $ 39.95
From the Paper:
"Recently, the Commerce Department announced that the U.S. merchandise trade deficit narrowed to a seasonally adjusted $32.78 billion in the fourth quarter on a balance-of-payments basis from a revised $35.97 billion in the third quarter.. Despite this news, many policymakers see the U.S. trade deficit as a symptom that the country has lost its edge in international competition. They believe that foreign competitors are able to take markets away from U.S. producers because they have some important advantages. In particular, they have lower wages, superior technology, and "unfair" trade practices..
A similar scenario in the Reagan years created a rise in protectionism, and some worry about history repeating itself. According to Harold B. Malmgren, a Washington, D.C. economist, as the trade deficit increases, the United States might embark on a..."
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