Trade that Hurts
Uncertainty is the pitchfork that corporations now effectively wield to prod politicians into action. Its a threat, as in, if Congress doesnt do this or that, such as avoid the fiscal cliff or raise the debt ceiling, then corporations will suffer the unbearable pain of uncertainty.
Uncertainty is really, really bad, business lobbyists lament. Its a terrible thing to do to corporations, business commentators contend on talk shows.
Theyre unconcerned, however, when the American middle class suffers uncertainty. Or when government action shifts uncertainty to the middle class. Trade is the perfect example of that. In 2000, Congress ended Chinas uncertainty about trade with the United States by transferring that pain to Americas middle class. It was an excruciating loss of certainty for American workers because over the next seven years, millions of U.S. manufacturing jobs disappeared. Thats trade that hurts.
Heres what happened: In October of 2000, the United States granted to China Permanent Normal Trade Relations (PNTR). That ended annual reviews of Chinas trade status, during which Congress could change tariff levels on individual products.
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http://talkingunion.wordpress.com/2013/01/16/trade-that-hurts/