Question

what are the potential cost of adopting a free trade regime?do you think governments should do anything to reduce these cost? what?

Answer 1

ans....
It can be socially beneficial to ease the transition, for example by subsidies that have the effect of biasing the market so that new businesses set up in places where the job losses will be greatest. Also governments can provide or subsidise retraining programmes so that job-losers are personally enabled to move into the larger number of new jobs that free trade will create. We already have a free trade regime NAFTA plus The Asian open Market. A fair trade policy is what we need, with fees and tariffs on countries who flood our markets with their products but don't reciprocate. This is one reason our economy sucks so bad,with the high cost of doing business today in America thanks to outrageous taxes,impediments put in place by OSHA, the EPA, and the equal opportunity act, the Americans with disabilities act: having to make your businesses accessible. The stranglehold the unions have against the Right to Work law and the incompetent graduates from our shoddy school system! We blame teachers for students not learning anything:try blaming the student and the parents or lack of same for their ignorance. You can send a kid to school; but you can't make him think. Our schools curriculum are based on touchy,feelly subjects to boost self esteem instead of real knowledge for the real world. We should use the old tiered system: with general up to honors. Prepare exceptional students for college and the rest for a job. Not everyone has to go college. especially if they can't read and write beyond a 10th grade level!