Relay-Version: version B 2.10 5/3/83; site utzoo.UUCP Posting-Version: version B 2.10.1 6/24/83; site cbscc.UUCP Path: utzoo!watmath!clyde!burl!ulysses!mhuxr!ihnp4!cbosgd!cbsck!cbscc!pmd From: pmd@cbscc.UUCP (Paul Dubuc) Newsgroups: net.politics Subject: Re: War With Japan. (Who is for fair trade?) Message-ID: <5162@cbscc.UUCP> Date: Thu, 18-Apr-85 16:09:15 EST Article-I.D.: cbscc.5162 Posted: Thu Apr 18 16:09:15 1985 Date-Received: Fri, 19-Apr-85 01:33:37 EST References: <489@scc.UUCP>, <1340009@acf4.UUCP> Organization: AT&T Bell Laboratories , Columbus Lines: 62 A story I saw on the news recently which spotlighted the mounting antagonism toward Japan by American workers and law makers. It pictured a parade of auto workers (I think) towing a Japanese-made car down the street, shouting "buy American" slogans, and pulverizing the car with hammers. It also pictured the heated rhetoric being aimed at this unfair trade by our legislators. The story reported incidents of discrimination against, and beatings of, Asian-Americans and the uneasiness felt by many of these people at these signs of racism on the increase. (Seems to bring back vivid memories of the WW II internment camps.) Americans have gotten into the habit of choosing many Japanese products over their American counterparts for their quality and economy. Consumers generally buy the product that gives them the most value. Apart from these considerations (or seemingly so) another vocal segment of American society would have both Americans and Japanese "buy American". Why? Not necessarily because American products are better, but primarily because buying American products supports the American standard of living. Now, I *do* think Japan's trade policies are unfair. They do not allow consumers in their country the same access to American goods as we allow for their products here. But what is so easily overlooked is that American trade policies with the Third World are even more unfair than Japan's are with us. Third World countries are strongly discouraged from developing manufactured products for U.S. markets (and those of other developed countries) by high import tariffs and trade restrictions. Consequently, many of these countries must depend on two or three major cash crops or raw materials for export. The price of raw materials on the world market fluctuates dramatically compared to manufactured goods, contributing to the instability of Third World economies. Multinational companies operating in the Third World generally manufacture products that are not useful to the vast majority of people in their host countries. (e.g. What use does the average Mexican have for cassette recording tapes?). These companies generally exploit the Third World for their cheap labor and have not a little influence among the ruling elite in the host countries. Purchasing products like color television sets does little to help Third World people help themselves. Instead it provides a luxury market among the poor. The poor in Mexico live in cardboard homes. Lumber and the tools needed to construct adequate shelter are very expensive (so is farm machinery, compared to coffee and bananas). One thing that many of these poor folk have, though, is a color television which will run off a car battery. A marketing success story for the developed countries, no doubt. All the screaming going on about Japan's trade practices might be a little more justified if the U.S. consistently practiced what it is preaching to Japan. Surely the American public isn't much aware of what's going on (we just enjoy relatively stable and cheap prices on bananas without realizing that the countries which produce those bananas have to produce more and more of them to buy the same amount of manufactured goods that they depend on for their productivity), but certainly our legislators--screaming so loudly in Congress--are not ignorant of the situation (But then again, it's probably not a burning issue among their constituents; Japanese trade policy is). -- Paul Dubuc cbscc!pmd