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The biggest share of U.S. exports to the six CAFTA nations is not the traditional job-creation kind. These are products that are not consumed in the purchasing nations.
Stephen F Lynch
2 Likes
2 Comments
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Since NAFTA was put in place, Mexico has lost 1.9 million jobs and most Mexicans' real wages have fallen.
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Proponents of the Central America Free Trade Agreement have conveniently ignored this fundamental fact: the effect of trade on incomes in Central America and how to alleviate the adverse consequences of trade liberalization on the poor.
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Now, given the experience that we have had thus far, with our subsequent trade agreements with NAFTA and others, you would think that with our experience of job loss that we have had there that when you find yourself in a hole that you might stop digging.
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Likewise, free trade does not, as evidenced in CAFTA, mean fair trade.
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Instead of trade policy that is beneficial to American businesses and workers as well as our trade partners, we have a flawed trade policy that hurts all parties.
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If you consider that a typical Central American consumer earns only a small fraction of an average American worker's wages, it becomes clear that CAFTA's true goal is not to the increase U.S. exports.
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I am told that the clinical definition of insanity is the tenancy to do the same thing over and over again and expect different results.
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I always thought a very strong anti-drug policy was a good thing for my union members.
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Hey, I'm a former union president myself and also an attorney that represented a lot of unions.
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Free trade should not mean free labor.
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Average real wages in Mexican manufacturing are lower than they were 10 years ago, if you can believe that.
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As for the expected boon to the Mexican economy, we have seen none of these gains, and instead we have seen NAFTA's detrimental impact on the Mexican workers.
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