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Copyright 2002 The Houston Chronicle Publishing Company  
The Houston Chronicle

July 01, 2002, Monday 3 STAR EDITION

SECTION: A; Pg. 24

LENGTH: 398 words

HEADLINE: FREE FOR WHOM?;
President Bush has abandoned his principles on trade

SOURCE: Staff

BODY:
President Bush has worked hard to gain congressional authority to negotiate free-trade promotion agreements subject to congressional approval but not amendment. Legislation that would grant him that authority is again pending in the U.S. House. At the same time, Bush's administration has been doing everything it can to restrain trade and protect favored U.S. industries.

What happened to the principles of free trade and free markets that Bush championed during his campaign and said were hallmarks of his conservative philosophy of limited government? Apparently his convictions were too puny to survive the pressures of a midterm election year.

First came new tariffs on foreign steel, to protect U.S. mills from ostensibly unfair (either subsidized or more efficient) competition abroad. Then came stiff (and questionable) duties on soft lumber from Canada.

Overshadowing the actions on steel and lumber was Bush's decision to sign a bill giving farmers and agri-businesses a minimum of 190 billion tax dollars over 10 years and costing Americans an additional $ 200 billion or more at the grocery store.

During a global war against terrorism, the farm bill has soured relations with important U.S. allies around the world and already is acting as a deterrent to efforts to get other nations, particularly in Europe, to reduce their agricultural subsidies and tariffs.

The health of American farms depends increasingly on opening new markets abroad. The farm bill will make it harder to open those markets. Struggling farmers in developing countries won't be able to compete against cheap U.S. grains, and their governments will be reluctant to lower barriers to U.S. agricultural commodities.

Steel, lumber and agriculture are just the most publicized areas in which the administration has acted to make trade less free. A debater might be able to make a case for any one of these policies, but taken together they reveal a lack of conviction on free trade.

Compromise is the essence of the political art, but what does the president have to show for his professed goal of increased trade? In exchange for a few votes he probably would receive by sticking to his principles, the president is causing every American and many people around the world to bear the ill effects of bad policies that a more candid, less expedient president would admit were indefensible.



TYPE: Editorial Opinion

LOAD-DATE: July 2, 2002




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