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Copyright 2000 The National Journal, Inc.  
The National Journal

April 1, 2000

SECTION: POLITICS; Pg. 1050; Vol. 32, No. 14

LENGTH: 1556 words

HEADLINE: Bush And Gore's Positions On Trade

BYLINE: Bruce Stokes

BODY:


Al Gore and George W. Bush differ more on cowboy boot style than
they do on issues of trade and international economics. Both men
are avowed free-traders, they support granting China permanent
normal trade relations as part of Beijing's joining the World
Trade Organization, and they advocate moderate reforms for the
International Monetary Fund and the World Bank.

     But, said a Washington business lobbyist, "there is a
world of difference between the two of them. And it has to do
with implementation, not conceptualization." Gore's ability to
deliver greater trade liberalization as President will be fatally
hobbled by the compromises he will make to satisfy his labor and
environmental supporters, say Bush advisers. Gore partisans
contend that it is the Vice President's credibility with these
very constituencies that will enable him to break the current
Washington logjam on trade initiatives and forge a new public
consensus on globalization.

     Trade has never been a major campaign issue in a
presidential race. But with the union-heavy industrial Great
Lakes states shaping up as the November battleground, and with
presumptive Reform Party presidential candidate Pat Buchanan
threatening to make economic nationalism a cornerstone of his
campaign, the distinctions between Gore and Bush are likely to
widen and become more significant as Election Day nears.

     For several years, the trade policy debate in Washington
has revolved around whether trade agreements should be structured
to improve labor rights and enhance environmental standards,
especially in developing countries. The impasse has pitted an
array of organized labor and environmental organizations and
their Democratic allies, led by the White House, against the
business community and their GOP cohorts. The deadlock has
stymied efforts to grant the President new trade-negotiating
authority and to launch a new round of international trade
negotiations. And it now threatens passage of PNTR with China.

     Gore has repeatedly pledged that he will find a way to
use trade deals to enforce worker and human rights and to protect
the environment. But the Vice President has never spelled out how
he might be more successful than the Clinton White House in
getting Congress and developing countries, which oppose such
linkage, to go along. Some Gore aides imply that he might
initially pursue these concerns in one-on-one trade pacts, such
as the proposed free-trade agreements with Chile and other
amenable nations.

     Republicans and much of the business community believe
that Gore will be too quick to compromise on these issues. They
say that a principled free-trader such as Bush can end the
stalemate on trade liberalization without major concessions to
labor and environmental activists.

     So far, the only trade flap of the campaign erupted in
February, when labor leaders claimed, and Gore denied, that he
promised them he would renegotiate the China deal to include
labor safeguards. "Every time Al Gore touches this issue he gets
a shock," the business lobbyist observed. "It has to affect his
stance."

     And it has. The last time the Vice President mentioned
free trade in a speech was October 1999. Bush allies deride such
risk aversion and contend that it foreshadows a "flight not
fight" mentality on trade issues if Gore is elected President.

     Bush is more of a reflexive free-trader, which poses its
own electoral problems. He's been advised, so far to no avail, to
tone down his paeans to open markets. The election is likely to
be decided in Michigan, Ohio, and Pennsylvania, and Reaganesque
advocacy of trade liberalization in those states may undercut
Bush's support in union households that are considering voting
for the Texas governor because of Clinton's peccadilloes.

     Whoever becomes President will have to wrestle with the
same problems next year. Much will depend on the balance of power
in Congress. But given the razor-thin majorities expected on
Capitol Hill, the prospects for stalemate loom large.

     Assuming that the China trade legislation passes this
session, the next President's first challenge will be to secure
trade-negotiating authority. Again, the sticking points will be
environmental and labor safeguards. Distilled to its essence, the
prescription of both candidates for resolving this impasse is
better leadership.

     Bush supporters appeal to the same cure-all to explain
how he will reverse the rapidly deteriorating U.S. trade
relationship with Europe.

     On export controls, a perennial concern to campaign
contributors from Silicon Valley, both candidates are committed
to easing restrictions on commercially available technologies.
But some in business have lingering doubts about Bush's ability
to contain the hawkish proclivities of his advisers. "Although
Bush doesn't want to use trade sanctions to promote a social
agenda," griped a trade association lobbyist, "he is largely
wedded to trade sanctions to promote a foreign-policy agenda.
That can cause heartburn for American companies."

     Bush may face similar infighting over reform of the IMF
and the World Bank, the most pressing international economic
issue facing the next Administration. Bush and Gore both support
moderate changes in the lending practices of these institutions,
but GOP conservatives are pushing for radical surgery.

     Finally, both candidates' take on the future of the
global economy will shape their stance on other issues, such as
farm policy. Current federal agricultural programs are premised
on an ever-growing international market that has not
materialized. In rewriting the farm bill next year, one test of
whether the next President is a free-trade idealist or a
pragmatist will be how much additional aid Washington affords
farmers as they await the elusive benefits of international
trade.

     On issues with few ostensible differences, the meaningful
distinctions are likely to emerge only once the candidate reaches
the White House.
On the Stump
Bush
Speech in Iowa, Jan. 23, 2000
In order to keep the economy going, in order that people can find
high pay and high-quality jobs, it's important for this nation to
embrace free trade. There are some who don't see the hope and
promise of trade. But I do. I think if we have a level playing
field in the world, our producers, Iowa farmers and Texas
ranchers and entrepreneurs, can compete anywhere, anytime. The
fearful people build walls around America. It's the confident
people who tear them down.
60 Minutes, March 7, 2000
I favor mainland China coming into the World Trade Organization
for two reasons. One, it'll be good when they open up their
markets for our American farmers and ranchers and for our
entrepreneurs. I also do so because I know when the
entrepreneurial class in China gets a taste of freedom, the
freedom of the marketplace, the freedom of capitalism, they'll
demand other freedoms.
Gore
Democratic Leadership Council, Washington, D.C., Oct. 14, 1999
There's absolutely no question that America must stay engaged in
the world. I have fought for free trade and open markets for my
whole career because I believe it's the way to create good jobs
and higher living standards for our people. But we need new rules
for the global marketplace. Globalization should be a tide that
lifts all boats, not a wave that overwhelms the most vulnerable.
We need to make trade work for working families. I strongly
believe that our President needs the authority to reach new trade
agreements to open new markets to our goods and services. But as
President, with your help, I will also insist on the authority to
enforce workers' rights, human rights, and environmental
protections in those agreements.
Wall Street Journal interview, March 14, 2000
I support (permanent normal trade relations with China). And I
will continue to help get it passed, so that it can go into
effect.... The Chinese said they will enter the WTO (World Trade
Organization), whether or not they receive the PNTR from the
United States. So, it's really a question of whether we will have
a disadvantage, a serious disadvantage, versus all of the other
nations that are selling into the Chinese market.
Position

     * favors permanent normal trade relations with China

     * opposes linking trade agreements to labor and
environmental issues
Gore

     * favors permanent normal trade relations with China

     * favors linking trade agreements to labor and
environmental issues
By the numbers
Do you think free trade is good or bad for the United States?
Good     64%
Bad      27
SOURCE: Pew Research Center, 2/14/00
Advisers and Allies
Bush

     * Gary Edson, former chief of staff, U.S. Trade
Representative's Office

     * Larry B. Lindsey, former governor, Federal Reserve
System
Gore

     * Laura D'Andrea Tyson, former director, White House
National Economic Council

     * Lawrence Summers, Secretary of the Treasury

LOAD-DATE: April 3, 2000




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