Elizabeth Warren appeared on the Rachel Maddow show to fire back at President Obama and his statement that Elizabeth is wrong about Trade Promotion Authority or “Fast Track.’
Elizabeth also pointed out that “Fast Track”, which limits debate, bars amendments, and takes away our elected representatives opportunity to raise issues specific to their district and constituents. These limitations would apply not only to the Trans Pacific Partnership (TPP) and Trans Atlantic trade agreements currently being negotiated but all agreements between now and 2021.
Her main objection is to these trade agreements is the fact that they have been negotiated largely in secret with significant input by corporations and lobbyists. She concludes that a rigged process likely results in an rigged outcome.
Her suspicions are well-founded. Since the launch of the mega-trade deals with NAFTA the promises have been the same – more jobs and a better economy. The results have been the same – lost jobs, massive trade deficits. and hollowed out factories and towns all over America.
Let’s look at these results…
NAFTA: NAFTA at 20 – One million jobs lost, 580% increase in trade deficit.
The report lists and details many, many more such outcomes.
“NAFTA’s actual outcomes prove how damaging this type of agreement is for most people, that it should be renegotiated and why we cannot have any more such deals that include job-offshoring incentives, requirements we import food that doesn’t meet our safety standards or new rights for firms to get taxpayer compensation before foreign tribunals over laws they don’t like,” said Lori Wallach, director of Public Citizen’s Global Trade Watch.
PNTR with China: Trade Deficit with China costing U.S. Jobs
The U.S. trade deficit with China has caused the loss of 3.2 million jobs, including 122,600 in Pennsylvania, since China joined the World Trade Organization in 2001, according to a report from the Economic Policy Institute. The think tank said 2.4 million, or 75 percent, of the jobs were in manufacturing.
Nearly 40 percent of the jobs lost were in the computer and electronic parts industry, a slice of the economy in which many thought the U.S. had a competitive advantage. The sector accounted for more than half of the $240 billion increase in the U.S.-China trade gap over the period, the report said.
Other hard-hit sectors included apparel, textile mills and fabricated metals, the report stated.
Robert Scott, an Economic Policy Institute economist who co-wrote the report, said the job loss came despite assurances that increased trade with China would boost the U.S. economy. Instead, the U.S. trade deficit in goods with China widened from $84 billion in 2001 to $324 billion last year, according to the report.
How about the Korean Free Trade Agreement (KORUS) that President Obama promised would be a job creator and a boost to the American economy?
U.S. – Korean Trade Deal Resulted In Growing Trade Deficits and Nearly 60,000 Lost Jobs...
This Saturday is the second anniversary of the U.S.-Korea Free Trade Agreement (KORUS), which took effect on March 15, 2012. President Obama said at the time that KORUS would increase US goods exports by $10 to $11 billion, supporting 70,000 American jobs from increased exports alone. Things are not turning out as predicted.
In first two years after KORUS took effect, U.S. domestic exports to Korea fell(decreased) by $3.1 billion, a decline of 7.5%, as shown in the figure below. Imports from Korea increased $5.6 billion, an increase of 9.8%. Although rising exports could, in theory, support more U.S. jobs, the decline in US exports to Korea has actually cost American jobs in the past two years. Worse yet, the rapid growth of Korean imports has eliminated even more U.S. jobs. Overall, the U.S. trade deficit with Korea has increased $8.7 billion, or 59.6%, costing nearly 60,000 U.S. jobs. Most of the nearly 60,000 jobs lost were in manufacturing.
Trade deals do more than cut tariffs, they promote foreign direct investment (FDI) and a surge in outsourcing by U.S. and foreign multinational companies (MNCs). FDI leads to growing trade deficits and job losses. U.S. multinationals were responsible for nearly one quarter (26.9 percent) of the U.S. trade deficit in 2011. Foreign multinationals operating in the United States (companies like Kia and Hyundai) were responsible for nearly half (44.2 percent) of the U.S. goods trade deficit in that same year.
Back in February, I posted a letter from Congressman Blaine Luetkemeyer explaining his position on the TPP. I invite you to read this letter and contact him regarding Fast Track and the TPP. Thanks for standing up for American workers.
WASHINGTON, MO OFFICE
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