Our Natural Propensity to Truck and Barter
9 June 2009
Editor, Baltimore Sun
Dear Editor:
Bravo for British ambassador Nigel Sheinwald's case for freer trade ("The peril of protectionism," June 9).
One clarification, though: he says that "our globalized economy has not come about by accident. It is the result of our collective choice for openness." If Mr. Sheinwald is referring to multilateral trade agreements such as the GATT, he's correct as matter of history, but he should also point out that any country would gain from free trade even if it tears down its customs walls unilaterally.
If instead Mr. Sheinwald is referring to each government's choice to move toward freer trade, his words unintentionally mislead. What requires government action - what requires "collective choice" - is protectionism. Free trade exists naturally. Free trade is simply the absence of trade restrictions - the absence of officious interference into the affairs of those engaged in consensual capitalist acts.
Sincerely,
Donald J. Boudreaux
Chairman, Department of Economics
George Mason University
Editor, Baltimore Sun
Dear Editor:
Bravo for British ambassador Nigel Sheinwald's case for freer trade ("The peril of protectionism," June 9).
One clarification, though: he says that "our globalized economy has not come about by accident. It is the result of our collective choice for openness." If Mr. Sheinwald is referring to multilateral trade agreements such as the GATT, he's correct as matter of history, but he should also point out that any country would gain from free trade even if it tears down its customs walls unilaterally.
If instead Mr. Sheinwald is referring to each government's choice to move toward freer trade, his words unintentionally mislead. What requires government action - what requires "collective choice" - is protectionism. Free trade exists naturally. Free trade is simply the absence of trade restrictions - the absence of officious interference into the affairs of those engaged in consensual capitalist acts.
Sincerely,
Donald J. Boudreaux
Chairman, Department of Economics
George Mason University
Posted by Don Boudreaux on
Monday October 26, 2009 at 9:24am