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Pacific Trade Pact Revives Ghosts of Nafta Jobs Fight
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King points out that trade agreements are not what they used to be as most tariff barriers are whittled down. He says more than 70% of imports come into the U.S. duty free, and the average tariff is about 1.5% declining significantly in the last 2 decades. If all import restraints are lifted it would increase U.S. economic output by less than 0.05% by 2017, according to the International Trade Commission. This figure is also cited by Krugman in the NYT with a column saying the Trans Pacific Partnership(TPP) trade agreement pushed by the Obama administration is no big deal. King also points out that the U.S. already has free trade agreements with Australia, Peru, Chile, Singapore and other TPP countries. Some experts see China's success with setting up the Asian Infrastructure Investment Bank (AIIB) attracting India, UK, Germany, France and other countries, is creating pressure on the U.S. to come up with its own response in the form of TPP with Japan, Vietnam, Malaysia, Peru, Chile and other countries.
The U.S. sponsored Trans Pacific Partnership (TPP)
02/05/2011
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Pacific Trade Pact Revives Ghosts of Nafta Jobs Fight
Wall Street Journal 04/24/2015
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Linked Articles
Pacific Trade Pact Revives Ghosts of Nafta Jobs Fight
Wall Street Journal 04/24/2015
New York Times 02/27/2014
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