Closing the Book on Obama’s Trade Policy

March 8, 2017

The U.S. trade deficit for the month of January was posted yesterday by the Bureau of Economic Analysis.  It was horrible.  President Trump took office on January 20th, but he can hardly be held responsible for any of the January results.  This is all on former President Obama.

How bad was it?  The overall trade deficit rose to its worst level in nearly five years – $48.5 billion.  At $62.1 billion, the deficit in manufactured goods just missed its all-time worst reading of $62.5 billion set in March of 2015.  As you can see from this chart, if the trend in manufactured goods continues, we’ll have a new record very soon and, without the change in trade policy promised by President Trump, it will likely get worse from there:  Manf’d Goods Balance of Trade.

Then there’s the export numbers.  In January of 2010, lacking the courage to take on the problem with imports, President Obama vowed to double exports in five years in an effort to turn the U.S. into more of an export-driven, Germany-like economy.  It never happened and never even came close.  In January of 2017 – seven years after Obama made that promise – total exports, at $192 billion – remained below the October, 2013 level.  Worse yet, exports of manufactured goods were below the level reached in September, 2011 – up only 26% from when Obama made that promise.  And that increase was due entirely to global economic recovery from the 2009 recession and had nothing to do with any real improvement in America’s export position.

So that closes the book on Obama’s trade policy, which was a total failure.  Actually, if President Trump follows through on his promise of tariffs (or border tax, or whatever you want to call it), this closes the book on a seven-decade-long experiment with free trade and globalization, begun in 1947 with the signing of the Global Agreement on Tariffs and Trade that, by any measure of its effect on the American economy, has been a complete disaster.

  • America’s trade surplus dwindled until we ran our last trade surplus in 1976.
  • 41 consecutive years of trade deficits has yielded a cumulative deficit of $14.4 trillion.  During that time, the national debt, which is closely linked to the trade deficit, grew by $19.4 trillion.  In 1976, the national debt was only $0.5 trillion.  Virtually all of our national debt is due to the cumulative trade deficit since 1976.
  • During this period, family incomes and net worth have declined, our infrastructure has crumbled, and our nation has been bankrupted.  The manufacturing sector of the economy has been gutted.  More than ten million manufacturing jobs have been lost.  The United States, once the world’s preeminent industrial power, has been reduced to a skid-row bum, begging the rest of the world to loan us money to keep us afloat.

This is all on you now, President Trump.  You own it.  You’ve promised to straighten out this mess.  America is watching and waiting.


Week 1 Done

January 28, 2017

The world is slowly awakening to a new reality.  It has profoundly changed.  And that may be an understatement.

Throughout the campaign, Trump’s “populist” rhetoric was dismissed by many – especially by those who stood to lose the most if globalization were dismantled – as exactly that, a play for votes or posturing designed to win concessions in the highly unlikely event that he would actually be elected president.  After all, this is the author of The Art of the Deal, a book about his tactics for winning in the business world.  He’s just  staking out his opening position.  Right?

During the transition, however, he doubled down on his rhetoric and stacked the cabinet mostly with people aligned with his positions.  The world grew a little more nervous.

Then came inauguration day and, I have to admit, that even I was taken aback by his speech.  It was as though he picked up a rhetorical two-by-four and began swinging at everyone who’d had a role in America’s trade mess and economic decline, and any who doubted his intentions or who stood in his way.

Now his first week in office is history, and what a week it was.  TPP (the Trans Pacific Partnership trade deal) is dead.  NAFTA (the North American Free Trade Deal) is as good as dead.  The wall on the southern border will be built.  Tariffs on Mexican imports will pay for it.  Immigration from many Middle Eastern countries has been brought to a halt.  And, in stark contrast to Obama’s visit to Mexico in the early days of presidency to discuss renegotiating NAFTA, a humiliating experience that yielded only more Mexican tariffs on American goods, Trump has put Mexico on notice.  If you can’t accept the new reality of American tariffs on Mexican imports and an all-out effort to halt illegal immigration from your country, then too bad – we have nothing to talk about.

Some seem to get it.  Some American companies have begun hedging their bets with announcements of plans to invest in American manufacturing.  Still, the world is largely in a state of denial.  Markets around the world continue to rally on optimism over the aspects of the Trump agenda that it likes – corporate tax breaks and infrastructure spending – while shrugging off the possibility that Trump means business about imposing tariffs on imports.

The world is made up of only two economies, really.  One is the economy of the more sparsely populated countries, able to gainfully employ their workers, which is dominated by the United States.  The other is the rest of the world, badly overpopulated and heavily dependent on manufacturing for export to the aforementioned countries – again, most notably, the United States.  Tariffs on imports into the U.S. will  totally alter the host-parasite relationship that exists between the two.  Those who continue to blindly invest in the economies of the latter may be making a serious mistake.

Americans have finally gotten fed up with playing the role of enabler to ever-worsening overpopulation, using immigration as a relief valve and trade to prop it up.  Trump has hastened the day when the rest of the world must face the consequences on their own.


How the Global Elite Sewed the Seeds of Trump’s Victory and Their Own Demise

November 23, 2016

With each passing day since the election I am more amazed than the day before at what I see happening as the Trump administration begins to take shape and at the reaction from world leaders, the business world and political pundits.  I have a lot of thoughts I want to share about what this all means but, before getting into all that, I thought I’d share another take on just what happened with this election – a “take” that I haven’t heard from anyone else yet.

As global corporations began the process of implementing the New World Order that had its genesis in the signing of the Global Agreement on Tariffs and Trade in 1947 – especially as the process accelerated first with the signing of the North American Free Trade Agreement, followed closely by the admission of China to the World Trade Organization, both events occurring during the Clinton administration – the painful process of passing out pink slips to American manufacturing workers got underway in earnest.

With nothing more than a small severance check and, perhaps, some “job re-training” (to do exactly what was never clear), millions of people were suddenly faced with the question, “now what do I do?”  They began with the obvious – look for another job.  When that didn’t work, more and more people tried their hands at starting their own businesses. It stimulated an interest in entrepreneurism like we hadn’t seen before.  People sought out the advice of successful entrepreneurs and began to revere the most successful among them.

The appetite for entrepreneurial advice didn’t escape television executives.  Never one to miss an opportunity, enter Donald Trump and his reality show “The Apprentice,”  which first aired in January of 2004 and has run continuously since then in various formats.  Viewers were awed by his business instincts, his ability to see through phoniness and identify those with real ambition, and his ability to win at business.  For people who had been exposed to the lies and BS that were standard fare used by corporations to justify the sacrifice of their jobs on the altar of globalism, this was refreshing.  This was someone they could admire.

What the global elite didn’t anticipate was that they were making a hero of a fabulously successful entrepreneur who didn’t need their money, one with political ambitions and one who, for whatever reason, seemed to have an affinity for the working class.  I’m reminded of the natural world where imbalances have a way of correcting themselves.  If a population of some species grows out-of-control, other forces have a way of reining it in.  In the same way, when the global elite concocted a system that helped some at the expense of others, they unwittingly sewed the seeds of that system’s own demise.

 


More Thoughts on Trump Victory

November 10, 2016

I’ll preface this by reminding readers that, in various posts in the past, I have described Donald Trump as a buffoon and as a “foul SOB.”  In spite of that, I encouraged you to vote for him as I did for one reason:  his stands on illegal immigration and trade align well with the conclusions of my book, Five Short Blasts.  To very briefly summarize, there is an unrecognized (by economists) inverse relationship between population density and per capita consumption which has two major implications – that population growth beyond a certain level becomes a cancerous growth that eats away the economy, and that free trade with badly overpopulated nations accelerates this effect dramatically.  The effect of these on our economy is so over-riding that these issues dwarf all others.  I would vote for any candidate – Republican, Democrat or Independent – whose positions address these issues.

With that said, the following are some random thoughts on what happened in this election:

  1. Any party that focuses only on minorities and ignores the majority is doomed to fail.  The Democratic Party did exactly that, taking its historical support from working-class Americans for granted and ignoring them and polling data that consistently showed their deep concern about the direction of the country.
  2. The Republican Party has also blundered in its strategy of making itself indistinguishable from Democrats, particularly when it comes to the key issues of trade and immigration, contenting itself with splitting the vote while hoping to sway a small 0.5% toward their side.  Were it not for the fact that Trump – not a true Republican – chose to identify himself as one and to fight tooth and nail to prevail against their slate of traditional Republicans – the Republican party would have lost this election.
  3. This election was all about a rejection of the globalism and open borders that both parties embraced.  I don’t think either party, even now, fully understands this.  Whichever party embraces a new strategy and platform based on our nation’s right of self-determination will succeed going forward.
  4. Though it pains me to quote him, Bill Clinton said it best in the ’91 election:  “It’s the economy, stupid.”  Indeed it is, and not necessarily the macro-economy but each individual’s own share of the economy.  Only when the vast majority of Americans are enjoying the fruits of a healthy economy can other issues like the environment take center stage.  Both parties ignored the polling data that showed the country was headed in the wrong direction and that voters were fed up with their politicians.  The Obama administration chose to fool itself with gimmicked economic data.  Few voters were fooled.
  5. Clinton erred when she tried to portray Trump’s position on illegal immigration as racist and xenophobic.  Illegal immigration is a concern for all Americans and it’s a mistake to believe that Hispanic Americans would uniformly embrace it just because most illegal immigrants are Hispanic.  Many have been here a long time now and identify themselves as Americans first, just as I identify myself as American and not Irish.  As I said in Five Short Blasts, I wouldn’t care if it was Ireland that we shared a border with instead of Mexico.  Illegal immigration has to be stopped.  The Democrats were shocked to learn that nearly 30% of Hispanics voted for Trump.  Many were insulted by the assumption that they favor illegal immigration over the interests of their own country just because of their ancestry.  The Clinton campaign was no less guilty of stereotyping Hispanics than Trump was perceived to be.
  6. The Democrats are almost as guilty of taking the black vote for granted as they were of taking white working-class voters for granted.  Trump made a play for the black vote.  It was criticized as a clumsy attempt, but he made a very valid point, that the inner cities seem to be little better off and have little to show for their support for the Democratic party.  Trump correctly pointed out that his trade policies aimed at rebuilding the manufacturing sector of the economy would, if anything, benefit the black community even more than the white community.  Well, it didn’t seem to resonate that much, though Clinton got a little less of the black vote than Obama did.  But Trump has laid down a marker for the black community.  They may have been skeptical of what he said, but they’ll likely remember if, in fact, a manufacturing turn-around produces a renaissance in the inner cities.  Democrats, beware.
  7. The Clinton campaign’s mantra was that “when they go low, we go high!”  Yet, in the final days of the campaign, they did just the opposite.  They took the worst, most crude elements of the campaign and bundled them into commercials.  The commercials criticized Trump for things not fit for our children to hear, yet the Clinton campaign had no problem with bombarding our children with those things incessantly on prime time television – even during the World Series.  It came across as very two-faced and, if anything, made Clinton  seem more of a sleeze-bag than Trump.
  8. Meanwhile, the commercials aired by the Trump campaign in the last couple of weeks were very positive.  There was one commercial  that took on globalism and the globalist elites who profited at the expense of everyone else.  It was a dynamite, highly-effective commercial that should have begun airing sooner and should have aired far more often. But I saw it only once (and I watch a fair amount of television in the evenings).  What happened to it?
  9. Along those same lines, the Clinton campaign held a concert that head-lined Beyonce and Jay Z.  While some fawn over this couple, many people are offended by the lewd “twerking” of Beyonce and the filthy and racist (the “n” word) lyrics of Jay Z.  This isn’t a racist observation.  I personally find Miley Cyrus to be just as offensive.  Clinton’s condoning of these lyrics destroyed her credibility when criticizing Trump.  The concert was a dumb move.  What purpose did it serve?  Did she really think that Beyonce and Jay Z would swing undecided voters to their camp?
  10. The spending by the Clinton campaign dwarfed that of the Trump campaign, to no avail.  It’s not the first time we’ve seen such an outcome.  It demonstrates once again that it only takes a lot of money to sell lousy products, and good products sell themselves.  For all the concern about big money in politics, maybe it doesn’t really have that much of an effect.  So, hey big donors, if you want to waste your money, you’re perfectly welcome to plow it back into our economy through the ad agencies.  Either way, the money is now out of your accounts and into the hands of people who need it more.  Thanks!

Up next:  some thoughts about the challenges facing Trump and what it means for the world going forward.


A Referendum on Globalism

November 7, 2016

As Tuesday draws near, there seems to be a collective sigh of relief that it will all soon be over – the nastiness, pettiness, the attack ads – all of it.  Just make it go away.

But such sentiments trivialize what this election is really all about.  I wonder how many really grasp why it’s been such a bitter fight and what’s really at stake.  Tuesday isn’t just another election, where we pick from a pair of cookie-cutter candidates who aspire to be the next bench-warmer president, the next stuffed shirt to make nice around the punch bowl at scripted G20 summits.  The very soul of America is at stake.

For the first time in seven decades, since the signing of the Global Agreement on Tariffs and Trade (GATT) in 1947 that ushered in the New World Order and relegated the U.S. to the role of host in a global host-parasite relationship, and perhaps for the last time, we have a chance to put America on a new track.

It’s impossible to understate the damage that’s been done.  This year will mark the 40th consecutive year that the U.S. has suffered a trade deficit.  During that time, our trade deficit has drained over $13 trillion from our economy and accounts for every single dollar of our national debt since 1975.  To put that into perspective – what the loss of $13 trillion has done to us – here’s what it means in terms that we can all understand:

  • Globalism has been directly responsible for dismantling the manufacturing sector of our economy, wiping out approximately 10 million manufacturing jobs and another 10 million jobs in supporting industries.
  • It has transformed the United States from the world’s preeminent industrial power into an economic skid row bum that literally has to beg the world for the funds to keep our economy afloat.
  • Climb to the top of the highest building and take a look around.  Almost everything you see – as far as you can see – is now owned by foreign entities.  Every single mortgage, small business loan, new car loan, the financing of everything you can imagine, has been bundled into securities and sold to foreign investors desperate to find profitable ways to plow their trade dollars back into the American economy.
  • Globalism has been directly responsible for the elimination of benefits like pensions and health care.
  • It is directly responsible for the bleak job prospects faced by our college graduates.
  • It is directly responsible for the crushing student debt that our kids now face.
  • It is directly responsible for our crumbling infrastructure.
  • It is directly responsible for the Great Recession of 2008 and for the countless foreclosures, bankruptcies and destroyed lives in its wake.
  • It is directly responsible for turning China into an existential threat to our country.
  • It is heavily responsible for the lion’s share of global warming, exporting manufacturing from the U.S. where environmental laws were strict to nations who scoff at such laws and pollute with reckless abandon, not to mention the burning of five billion barrels of oil each year to power container ships carrying goods that could otherwise be made locally.
  • Globalism has become a corrupt scheme of the elite – the top 1% – to enrich themselves at the expense of the rest of us.
  • Instead of raising the living standards of all as the starry-eyed economists of the 1940s envisioned, globalism instead has become a poverty-sharing program, draining the resources of the United States and fattening the coffers of corrupt regimes.

Like practically every other American, I have never lived in an America that wasn’t under the thumb of the corrupt World Trade Organization or its predecessor – GATT.  I’ve spent my entire life watching it erode America’s economy.  At least I can remember what it was like before the bulk of the damage was done.  Most Americans don’t even have that.

On Tuesday we have a chance to put an end to this crap.  If you have been affected by any of the things I’ve listed above, this is your chance to dramatically change your situation.  The difference in candidates couldn’t possibly be more stark.  On the one hand, Hillary Clinton is an unabashed globalism and open borders advocate who will accelerate our demise under the New World Order.  On the other hand, Donald Trump has promised to completely dismantle it, tearing up these stupid trade agreements and using tariffs to drive manufacturing back to the United States, restoring America as an industial powerhouse.  Sure, you’d have to hold your nose as you mark your ballot and accept him with his numerous warts, but we’ll have another chance to swap him out in a few years for a more palatable version.  But this may be your last chance at the changes that he’s promised.  America’s future hangs in the balance.  It’s in your hands on Tuesday.


Make America Great Again

October 25, 2016

I wonder how many post-baby boom Americans – Gen Xers and millenials – can even relate to Donald Trump’s campaign slogan.  “Make America Great Again?”  What’s not great about it now?  We’re the leader of the free world – the most powerful nation on earth.  We have a high standard of living and every modern convenience you can imagine.  We have cell phones, Facebook, Twitter and YouTube.  We make ten bucks an hour schlepping lattes at Starbucks and have nice little apartments where we can go to watch The Voice and Dancing with the Stars in the evenings.  How much better could it get?

Undoubtedly, the once-great America that Trump remembers – an America that anyone under 50 is too young to have ever known – was the post-World War II America.  It was a land of almost unimaginable industrial might.  By the end of the war, the shipyards on the West Coast were building complete destroyers from the keel up in only two days.  The Willow Run bomber plant in Detroit was cranking out a new B-24 bomber every hour, day and night, seven days a week.  Other plants cranked out trucks and tanks by the thousands.  And massive steel mills all around the country that stretched for miles kept all of these plants supplied.  Neither Germany nor Japan nor any other nation on earth could even come close to matching that kind of industrial output.

When the war ended, industry transitioned back to a peacetime economy.  The factories in Detroit resumed making cars and all of the other thousands of factories around the country resumed making appliances and every other product imaginable.  American products were the envy of the world.  European cars were laughable compared to American cars.  I can remember taking Europeans for a ride in my car and their astonishment at the latest feature – cruise control.  Hell, indoor plumbing and sanitation weren’t even commonplace in Europe back then.  And Asia was downright primitive.

Anyone who was a high school graduate could get a good job at the local mill or assembly plant making enough money to buy a home and a car – as much money as a college graduate, though the college graduate would eventually earn more with experience and advancement.  Not only was the pay good, but health care was often provided for free as a benefit.  Co-pays and deductibles?  Those concepts didn’t exist.  And a good pension was a given.  Companies competed for college graduates.  Each could choose from a half dozen different offers.

The U.S. space program quickly left the Russians in the dust, putting men on the moon while the Russians had barely moved beyond sending monkeys up for a couple of orbits.  America was the world’s bread basket.  Even the Russians were dependent on American grains.  And everything about American culture – our clothing, music, movies and magazines were the envy of the world.

That’s when America was great, in a way that those who didn’t live it can’t even imagine.  But even while all this was going on, the seeds of America’s decline had already been sown.  Weary of two world wars in as many decades, the time had come to address the high rates of unemployment in overpopulated nations like Germany and Japan that had fostered the rise of its fascist leaders.  Eager to put their new, untested theory of free trade to the test, economists convinced world leaders that free trade was the route to global peace and prosperity.  So in 1947 the U.S. signed the Global Agreement on Tariffs and Trade, or “GATT,” beginning the process of dismantling the tariff structure that had helped build America into the world’s preeminent industrial powerhouse.

What could it hurt?  Sharing a little of the wealth seemed a small price to pay to prevent the next war, one that might doom humanity, in light of how the last one just ended with the dawn of atomic weapons.  Besides, the economists convinced us, growth in the world economy would only add to the demand for American products.

It started innocuously enough.  A few Volkswagens from Germany.  Toys and souvenirs and trinkets from Japan.  The words “made in Japan” became synonymous with “cheap junk.”  Then came small Honda motorcycles, soon to be followed by cars of the same brand – cheap, two-cycle, chain-driven death traps that were painted paisley and sold as novelty items.

But that trickle quickly evolved into a tidal wave.  By 1975 our trade surplus had vanished and our national debt, which had been shrinking dramatically since the end of World War II, began to rise again.  In the 1990s, the Clinton administration passed NAFTA, exploding our trade deficit with Mexico and then, as its closing act, granted China “most favored nation” trade status.  We all know how that went.  2016 marks our 40th consecutive year with a trade deficit.  And the $13 trillion growth in our national debt during that period can be blamed entirely on the trade deficit’s cumulative drain on the economy.

Returning to post-war America, we were a nation of 150 million people with a seemingly boundless supply of resources and wide open spaces.  During the morning rush hour, you had to wait through two traffic light changes to clear the intersection instead of one.  President Eisenhower had just commissioned the construction of the interstate highway system.  Freeways were virtually devoid of traffic.

The term “illegal alien” didn’t exist in those days.  There were migrant workers who came to harvest crops that had to be hand-picked and, when the harvest was over, they were gone.  Then, something changed.  They didn’t leave.  We began to notice large groups of Mexicans gathered in parking lots – “day laborers” waiting for pickup trucks to take them to some job site – probably a house under construction – where the contractor was happy to have the “off the books,” tax-free labor.  Now, people who had lost their jobs in the auto industry and needed construction work found themselves displaced yet again.  And our population that once grew by a million people per year began growing at two or three times that pace – even ten times that pace when you include the results of the amnesty programs for illegal aliens.  Now we’re a nation of 325 million.  In spite of that population growth, which economists call a driver of economic growth, good-paying full-time jobs are scarce and household incomes and net worth, for all but the top few percent, are declining.

Born two years after the signing of GATT, at the age of 67, I can honestly say that I have never once seen my country stand up for its citizens and workers.  Oh, there’s been plenty of times when our military has asserted itself, often ill-advisedly, in some foreign conflict.  But I’m talking primarily about trade negotiations, but also other diplomatic negotiations, like deals to keep North Korea in check or, more recently, Iran.  Not one damn time do I remember the U.S. coming away with a deal that was good for American workers.  Can you?  If so, please feel free to refresh my memory.

There’s a very solid reason why free trade and globalization have failed Americans.  It’s the inverse relationship between population density and per capita consumption at work.  Instead of being an engine of economic growth, our population growth has been cancerous and toxic, eating away at per capita consumption.  And by co-mingling our economy with those of grossly overpopulated nations, the effect has been accelerated.  The result is that young Americans face the prospect of being the first generation to fare more poorly than their parents.

By far, the two factors most critical to restoring America to its nearly-forgotten greatness are first a dramatic shift in trade policy away from “free” trade to a focus on balance.  All trade deals must be based on the premise that the U.S. will buy from its trade partners no more than they are willing to buy from us.  Contrast that with today’s trade policy that says, “If you can make it and get it here, we’ll buy it.”

Second, run-away population growth that is fueled almost entirely by equal parts of both legal and illegal immigration must be reined in.  Illegal immigration is the place to start.  But even legal immigration needs to be dramatically curtailed.

Donald Trump is the first candidate in my long memory who has promised to do exactly these two things – to tear up existing trade deals and start over, putting America first, and putting an end to illegal immigration.

I personally don’t much like Donald Trump.  Never have.  It’s a shame that this message has been overshadowed by some of his antics and the things he’s said that have been caught by open mics.  But as someone who attended an all-male high school, followed by an all-male university, followed by three years in the navy, you can believe me when I say I’ve heard worse things spoken more commonly than some would like to believe.  But that’s not an excuse for his behavior.

It’s like this:  imagine that we’re at war, and it’s going badly.  We need to replace the general in charge.  He’s a nice guy, one we’re all proud to serve under and be associated with, but ineffective.  We have two candidates in mind to replace him.  One is similar – a great person but just as ineffective and likely to yield the same results.  The other is a foul SOB, but one who knows how to kick ass and get things done.  Like I said, it’s a war.  Do we want to win or don’t we?  There are times when the latter choice is the right one, and this is one of those times.

In two weeks we have a chance to reverse America’s decline.  We have a chance to put an end to our role as the host in globalization’s host-parasite relationship.  It’s a chance that I began to doubt would ever come.  It may not come again. Let’s stand up for America for a change.

 

 

 


Globalization Proponents Starting to Sweat

October 11, 2016

http://www.reuters.com/article/us-imf-g-idUSKCN12629J

As illustrated in the above-linked article, advocates of globalization, an experiment embarked upon in the wake of World War II to spread prosperity and avert future wars, are growing desperate to stave off its collapse.  It has indeed spread prosperity to some but a fatal flaw has been exposed.  Instead of turning overpopulated and desperately poor nations into Western-style consumers that would eventually lift the growth rates of economies that they scavenged in the first place, globalization has evolved into more of a host-parasite relationship that has left the “host” economies of Europe (most notably Great Britain, but there are others) and especially the United States, weakened, angry and ready to revolt.  Great Britain already has.  America and others soon will.

Globalization was doomed from the outset thanks the failure of economists to look beyond the resource challenges of overpopulation to consider the economic ramifications of declining per capita consumption and rising unemployment.  Now, a half-century into the experiment, instead of developing into the economic “growth engine” that its architects envisioned, it more resembles a sort of poverty-sharing program where the fortunes of some people have improved somewhat, but only on the backs of the more prosperous who now find themselves unwilling and even unable to sustain it.

Now the world’s ruling elite are calling for a coordinated effort among the host nations and their central banks to boost deficit spending and to keep interest rates near zero, ignoring the risk of eventual economic collapse posed by such reckless policies.

“On Thursday, Bank of England Governor Mark Carney said policymakers now have a better recognition of the need for their actions to ‘more immediately, tangibly and clearly, transparently benefit larger segments of the population.'”

All along, we have been assured by the advocates of globalization that all of us benefit, but those benefits may just be too complicated and ethereal for the rest of us to grasp.  No one, at least not in the host countries, is buying it any longer.  Why didn’t globalization provide more benefits that were “tangible, clear and transparent” from the outset?  Because it can’t.  It’s simply impossible for the host in a host-parasite relationship to experience any benefit.  So now they want to administer a little food and medicine to the hosts by jiggering the system, keeping them alive a little longer.

Reducing poverty in the undeveloped world is a noble goal.  I might even be able to get on board with globalization if, at the same time that the host economies were being scavenged, there were provisions to address the root cause of the poverty – gross overpopulation – that necessitated globalization in the first place.  (Before many of you who haven’t read Five Short Blasts freak out, I’m talking about doing this through economic incentives to encourage people to have smaller families.)  But that’s not what globalization’s advocates want.  They not only want to scavenge host economies, but they want the host nations to take in the overflow population from the rest of the world in order to fuel the revenue growth that the global corporations – who fund the campaigns of the ruling elite – demand.

Regardless of how the U.S. presidential election turns out, the pressure to scrap the globalization scheme will only intensify.