Look For The Foreign Label
Published: November 30th, 2006
By: Steven and Cokie Roberts

Look for the foreign label

A TV commercial 20 years ago, urging shoppers to buy American-made clothing, contained the memorable refrain: “Look for the union label.” That era is long over. Buying only domestic garments would leave your kids shivering this winter.

But here’s a heretical suggestion for the holiday season: as you purchase sweaters and games and bikes to put under the tree, look for the foreign label. Notice how many of your gifts are made abroad, and take a moment to realize you are benefiting from globalization and free trade.

Free trade is hardly a popular idea today. Just before President Bush flew to Asia, Congress slapped him in the face by shelving a market-opening pact with Vietnam. The deal will probably be approved next year, but the vote signaled a major shift in public sentiment.

As former Treasury Secretary Robert Rubin, a strong advocate of open markets, told bankers meeting in Hong Kong: “There’s a tremendous backlash against trade liberalization. It’s one of the biggest challenges facing the global economy.”

This backlash is not only dangerous, but wrong-headed. Every economic study confirms that free trade is a powerful engine for growth and prosperity, by far the best anti-poverty program anywhere. All those workers in China and Chile crafting toys for Santa can now afford American-made movies and computers. But there’s a problem.

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