Free Trade Essays

Free Trade Essays

Length: 1377 words (3.9 double-spaced pages)

Rating: Good Essays

Open Document

Essay Preview

What is free trade? Many American’s have a broad and sometimes-false idea of what free trade actually is. Free trade “refers to the economic philosophy and practice of reducing barriers such as tariffs, taxes, subsidies and quotas so that raw materials, goods and services can move unhampered across national borders.” (68) Various options have arisen about whether or not free trade benefits developing counties or not. I believe that free trade is not favorable or helpful towards developing counties. Free trade benefits few but not the masses, is in favor of rich companies with large corporations, means a loss of power and political control on a national, regional and local levels of government, as well as allows for child labor and there for loses out economically. Many people here in the United States are not well informed about Free Trade or its drawbacks. By giving people the information and steering them toward a better form of trade such as Fair Trade we could possible help those other counties that are dealing with the effects of free trade.
When dealing with free trade the commercial benefits are hard to miss, more choices on cars and products, lower coasts on goods so consumers can by more products and live the good life. (p.68) However, digging deep in to the effects of free trade shows us that that it benefits few but not the masses. For example, the US will benefit from cheap labor and low tariff cost, paying less for more but the workers in the countries where the product is being manufactured will not benefit and neither will the country. (p. 71) By having cheap labor those people cannot afford to buy luxury items or even basic items, which in turn will affect that counties economy. By having youth workers not in sc...

... middle of paper ...

...or those who did have jobs. (p. 95) This is an example of how free trade can be harmful to developing countries. When consumers lose jobs they can no long afford to pay for not just luxury items but basic living expenses that other industry are selling which sends a county into economic tailspin.
I propose that rich nations should be more morally accountable for manufacturing companies they have around the world. Places like Wal-Mart and the gap here in the US should be paying workers fair wages, have decent working hours, no children worker under 16, and safe working conditions. U.S companies should follow the laws we have in our own country and abide by them in others. I believe that the government should reward socially responsible companies at first and then create laws here stating that when having companies abroad you must follow the laws we have here.

Need Writing Help?

Get feedback on grammar, clarity, concision and logic instantly.

Check your paper »

Free Trade And The International Economy Essay

- Businesses and workers have long thrived in the international economy. In recent years some countries have implemented national trade policies that unfairly favour their workers and companies; this is where fair trade agreements are introduced. Free trade helps create a more level playing field for national businesses and workers to succeed. Trade within the group is duty free but members set their own tariffs on imports from non-members (World Trade Organization, 2015). These agreements create a more accountable and fair trading relationship between two or more countries....   [tags: International trade, Free trade]

Good Essays
1302 words (3.7 pages)

Background Of Free Trade Agreement Essay

- Background of Free Trade Agreement The Globalization of FTA (too much for the background?) According to the statistics from WTO, there are 255 regional trade agreements has been signed globally at the end of 2002 and 90% of these agreements are bilateral agreements. Bilateral agreements have gained increasingly attention and become one of the most important choices by more and more countries. In 2002 alone, Singapore has consecutively signed the bilateral free trade agreement with Japan, USA and Australia....   [tags: International trade, Free trade]

Good Essays
1374 words (3.9 pages)

Essay about Free Trade : A Controversial Issue

- Trading internationally, along with foreign trading policies has always been a controversial issue in America. Free trade is just as taboo if not more so. Today, the United States has made an attempt to maintain an open market of trading. Free trading greatly benefits a nation’s economy. The history of trade in The United States dates back over half a century ago. Through a substantial part of history, the United States had implemented rather extensive barriers and restrictions regarding importation, in order to better protect domestic suppliers from any serious foreign rivalry....   [tags: International trade, Free trade, Export]

Good Essays
1074 words (3.1 pages)

Krugman's Is Free Trade Passe? Essay

- Krugman writes that in the decade preceding his article “Is Free Trade Passé?” international trade theory underwent radical change from the traditions of constant returns and perfect competition to include new models emphasizing increasing returns and imperfect competition (1987, p. 131). Comparative advantage is no longer accepted as a means to explain in totality what actually happens in trade, and extraneous factors indicate that free trade may not be in the best interest of individual nations....   [tags: International Trade Theory, Free Trade]

Good Essays
1098 words (3.1 pages)

Free Trade And Laissez Faire Policies Essay

- Classical Economics Background Both fathers of economics, Adam Smith and David Ricardo, made a strong case for the implementation of free trade and laissez-faire policies, in opposition to the then-dominating theory of mercantilism, usually associated with France. Smith 's idea of absolute advantage, perfected by Ricardo 's comparative advantage, stated clearly that free trade is a win-win situation, because it pushes nations towards division of labour – today usually called specialisation – in an international market....   [tags: International trade, Free trade]

Good Essays
709 words (2 pages)

Is Free Trade Killing Theu.s Industries? Essay

- Is Free-trade killing the U.S industries. As Trump is allegedly trying to force a high-percentage tarrif on the Chinese imports, and Bernie Sanders to oppose the former trade agreements with the Asia-Pacifics, international trade has became one of the most heated topics on the presidential political debate. Everything has its own good and bad, free trade is no exception. On the brightside, in a perfectly competitive market, free trade maximizes economic efficiency, promotes economic welwares of both consumers and suppliers....   [tags: International trade, Economics, Free trade]

Good Essays
1215 words (3.5 pages)

Why Free Trade is Good for the Economy Essay example

- Why Free Trade is good for the Economy What is free trade. Free trade is “international trade left to its natural course without tariffs, quotas, or other restrictions.” As of right now the United States and China are guilty of not trading freely; however, most of the blame could be put on the United States for putting tariffs on certain products that come from China. For many years free trade has been scrutinized on whether it is actually beneficial to the economy or harmful to the economy. Many economists have different views on free trade and some big controversies have come from the arguments they have made to each other....   [tags: United States, China, Free Trade]

Good Essays
1958 words (5.6 pages)

The North American Free Trade Agreement Essay

- The North American Free Trade Agreement was created with the intentions of making North America as a whole a more competitive player in the global marketplace. Canada, America, and Mexico all share the same hope that NAFTA will be a strong outlet in supporting economic activity and promoting social cohesion between one another. Has NAFTA done this thus far. Most American’s, specifically economic patriots, would probably say that it has not because in their eyes free trade has taken away American jobs and has put America in a financial downturn....   [tags: nafta, free trade, global market]

Good Essays
1125 words (3.2 pages)

Essay on Globalization: A Free Trade Phenomenon

- Globalization is “the integration of states through increasing contact, communication and trade to create a holistic, single global system in which the process of change increasingly binds people together in a common fate” (Carey 2002). Some economists recognize globalization as being in the best interest of all states. While others believe that increasingly liberated trade and global economic interaction is necessary in many ways. While globalization marks a move toward a more open world-trading regime, it can also be linked to strains on sovereignty, worker’s rights, and the environment....   [tags: Outsourcing, Offshoring, Free Trade]

Good Essays
882 words (2.5 pages)

The Pros and Cons of Free Trade Essay

- The Pros and Cons of Free Trade Free trade is exchange of goods and commodities between parties without the enforcement of tariffs or duties. The trading of goods between people, communities, and nations is not an innovative economic practice. Nations are however the main element within a free trade agreement. By examining free trade through three different political ideologies: Liberal, Nationalistic, and Marxist approaches, the advantages and disadvantages will become apparent. Theses three ideologies offer the best evaluation of free trade from three different perspectives....   [tags: Free Trade Tarriff Duty Trading Goods Ideology]

Good Essays
928 words (2.7 pages)