Tuesday, July 17, 2012
The Presidential Contest is Shaping Up to be a Debate Over Globalization
David Brooks' column in todays NY Times provides a good discussion of how the presidential contest should shape up. That is, he argues that the president's attacks on Romney's record at Bain is essentially an attack on globalization. In other cases, the president has not seemed to attack globalization or those who have employed outsourcing as a strategy, e.g., Steve Jobs. You cannot have exports without also importing. And, American firms will not be able to compete broadly if they cannot rationalize their production processes in light of where they can produce cheaply and service overseas markets. Politicians of both parties can revert to mercantilistic arguments at the drop of a hat--or in pursuit of a vote. We need some leaders who acknowledge the benefits of free trade and globalization and who will argue accordingly.