free trade debate

A friend wrote me an email about a conference that she went to on DR-CAFTA (the Dominican Republic/Central America Free Trade Agreement). It's interesting because she heard from two members of Congress on the agreement, one opposed and one for it. Both, she says, bring up arguments for their side that are quite hollow. I've posted her thoughts below.

My experience with these debates has been very similar. Free-traders say that free trade is the cure-all that will solve all economic and social problems and ignore the problems it causes here in the US. Meanwhile the other side says that free trade is ruinous to America and other countries and does nothing but harm, harm, harm.

While I'm not in favor of unfettered free trade (because let's face it, corporations have a great deal of influence in Washington and are pushing for deals that favor their interests), I'm also aware that free trade is beneficial if done correctly. I'm in the middle and believe that the correct course is to move to free trade, but much more slowly than we've been doing. Our economy needs time to adjust, and workers need time to retrain.

She says:

So this CAFTA thing. I went to the debate this morning and I left thinking, what is the big deal? All of the arguments, made by both sides were just kind of same. The Democrat, Rep. Xavier Becerra is opposed to the weak labor standards in the agreement that require Central American governments only to, "enforce current laws regarding labor standards." But, as these countries have already been given GSP preferences, their labor standards are already supposed to be the internationally recognized standards supported by the ILO. I mean come on, if these countries are not enforcing their own laws now, they won't after CAFTA either. Should we really get all bothered trying to make governments agree to standards that they have already agreed to?

The Republican Congressman, Kevin Brady insulted the trade related intelligence of his audience by proclaiming that CAFTA is one of the keys to a U.S. win in the textile war with China. My fear that this administration is already viewing trade relations with China as war- like aside, this argument just isn't true. No amount of FTA's with small countries will defeat the influx of cheap t-shirts coming from China. You know that, I know that, don't waste my time.

In the end, it was more the lack luster arguments of both sides that I found most disconcerting. Both men looked like puppets, making hollow arguments packaged by other people. I'd rather be torn between two good opinions than be stranded in the middle because no one could make their case. Pass CAFTA, don't pass CAFTA, I guess I don't really care. As a masters student in an international trade and investment policy program, I know that I should be able to muster up some strong opinions in support of this agreement, but I'm at a loss. There aren't that many strong arguments either way.