End the Lie, Rejoice in Cheap Imports

The public is indifferent to trade negotiations, according to Edward Graham, because most people take trade for granted. Politicians have led the way in promoting a massive lie to the public – that the benefits of expanded trade come from expanded exports. Graham points out that import expansion actually provides greater benefits, including long-term improvements in productivity and an increase in national economic-growth rates. With so much at stake for the entire world, the negotiations should not have ended in a deadlock. Graham suggests that key countries in the negotiations placed the political interests of farmers and textile producers – who would protest any reduction in subsidies – above the public interest. Graham urges politicians to end the lie, by telling the public how much money they stand to lose, especially in terms of import prices, should multilateral trade negotiations continue to fail. – YaleGlobal