Economy
Related: About this forumDean Baker: How to Fight Poverty Through Full Employment
http://www.commondreams.org/views/2016/03/17/how-fight-poverty-through-full-employmentBut even if we accept that full employment is especially important for the most disadvantaged groups, there is still the question of how we get there. At present, the biggest obstacle to higher levels of employment is inadequate demand for goods and services in the economy. If there were more demand, we would see more people employed.
The first place to turn to for policies that boost demand and employment is the Federal Reserve Board. While the Fed did take extraordinary measures in an attempt to boost the economy during the downturn, its current policy of raising interest rates goes 180 degrees in the opposite direction. Higher interest rates make it more expensive to buy a car or house. They also discourage companies from increasing investment in equipment, software, and buildings, and deter state and local governments from investing in infrastructure. Higher interest rates also prevent people from refinancing mortgages, which would save them money on their monthly payments.
The reason the Fed raises interest rates is to slow the economy and prevent inflation. While there are indeed times when inflation could be a problem, our economy isnt currently suffering from excessive inflationnor is it in danger of doing so any time soon. In this context, any Fed rate hikes will needlessly slow the economy and prevent people from getting jobs. And while the small rate hike in December likely did not have much negative effect on the economy, any further rate hikes almost certainly would seriously impede growth. It is therefore important that the Fed exercise caution with any future rate hikes and only take this step if there is a real threat of inflation.
But they can only work hard if jobs are available, and they can only lift themselves up if their wages are just.
Baobab
(4,667 posts)They can invest in infrastructure but the workers who do the work cannot be preferentially discriminatory- So many companies will likely use layers of subcontracting firms to lower costs Otherwise US firms will have to totally automate. if they subcontract internationally, they can remain in the game, with lower cost workers, that means much higher profits.
This is globalization, the WTO's goals is to make the whole planet a level playing field for trade.
This likely applies to a lot of WTO members, as they join the GPA, they have to put work up for competitive bidding.
the main ideas behind it are non-discrimination, transparency and procedural fairness.
Key improvements in the revised GPA text (1)
Principles of the revised text are the same as the old one (non-
discrimination, transparency, procedural fairness). However, revised text
incorporates:
A complete revision of the wording of the provisions of the Agreement
with a view to making them more streamlined, easier to understand
and user-friendly;
Updating of the text of the Agreement to take into account
developments in current government procurement practice, notably
the use of electronic tools;
Additional flexibility for Parties' procurement authorities, for example
in the form of shorter notice periods when electronic tools are used.
Shorter time-periods have also been allowed for procuring goods and
services of types that are available on the commercial marketplace;
.....
4Key improvements in the revised GPA text (2)
More explicit recognition of the GPA's significance for good governance
and the fight against corruption, including in new substantive provisions
that require participating governments to carry out their GPA-covered
procurements in ways that avoid conflicts of interest and prevent corrupt
practices; and
Revised and improved transitional measures ("special and differential
treatment" for developing countries that accede to the Agreement. Under
the revised provisions, such measures are to be tailored to the particular
needs of the individual accession candidates
So developing countries will be allowed to discriminate for some period, that is direct business to their own companies preferentially.
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The GPAs future: a progressively more
universal tool of market access and good
governance?
(progressive means irreversible in this context, progressively more liberalised. )
GPA -
Currently, covers 43 WTO Members including the EU
and its 28 member States; most other developed
countries (i.e. US, Canada, Japan; Norway and
Switzerland); plus Hong Kong, China; Iceland; Israel;
Korea; Singapore; Chinese Taipei; Aruba and Armenia.
Ten more countries currently seeking accession
(Albania, China, Georgia, Jordan, the Kyrgyz Republic,
Moldova, Montenegro, New Zealand, Oman, and
Ukraine).
Five more countries have commitments to join the GPA,
as part of their WTO accession protocols: the former
Yugoslav Republic of Macedonia, Mongolia, the Russian
Federation, Tajikistan and Saudi Arabia.
India an observer (not a Party) to the Agreement since
February 2010; Malaysia, Indonesia, Montenegro and
Viet Nam have also recently become observers.
snot
(10,496 posts)e.g., stimulus directed at the bottom (e.g., WPA-style programs to create jobs and restore/invest in infrastructure for the long term); and restoring/improving labor protections, while requiring trade partners to do the same.
Instead, we remain locked in the race to the bottom.