Hi,
No matter how DULL international trade may appear, make no mistake it is affecting your life right now and affects your livelihood.
USTR (the office of the United States Government Trade Representative) was formed in 1979 in a reorganization order. It became USTR from STR and a centralized policy group to negotiate international trade. The office was greatly expanded and assumed responsibility for developing, coordinating, setting policy, monitoring foreign compliance, and conducting international trade and trade related investments.
It became the principal advisor to the President on trade and the impact of other policies on trade. The USTR includes being the vice chairman of OPIC (Overseas Private Investment Corporation); a non-voting member of Export-Import Bank Board of Directors; included in the US advisory committee on International Monetary and financial policies and being made the arbitrator in bilateral negotiations over investment barriers.
In 1984, USTR took charge of the implementation of US policies on trade in services; In 1988: it included coordination of trade policy with US agencies; and became principal spokesman for the President on international trade policy; USTR reports and advises the President and Congress on all matters relating to trade agreements and chairs the committee that advises the President.
WHEW!!! And in its spare time, USTR SHOULD CLEAN THE LATRINES in the White House.
However, All of that authority was not enough. In 1988 legislation provided a new role called 'SENSE OF THE CONGRESS" (I was unaware that our Congress had any sense, anymore). It held that USTR should be the Senior representative on any body the President establishes to advise him on how other policies and international trade interact and that USTR be included in all summits and meetings that discussed international trade in any fashion and further USTR now was given responsibility for implementing any trade actions subject only to specific direction by the President (if any).
In other words the President had a "say so" but USTR made the decisions.
1994 found USTR responsible for all negotiations under NAFTA and WTO (World Trade Organization-1995 that replaced 1947-GATT) both enforcement and implementation while 2000 added two new posts AUSTR (assistant US trade Rep for African Affairs) and USTR Chief Agricultural Negotiator) for trade enforcement and negotiations for US agriculture interests and products.
Any wonder why Congress doesn't really know what's going on? Or how things get so bloody anti-American? Here's an agency with more power over the financial structure of the US than that August body of Congress. In addition the GROUP OF SEVEN (US, Britain, France, Italy, Canada, Germany and Japan) meet regularly to decide fiscal and monetary policy including trade so that the global economy maintains cooperation.
However, much of the current trade is coming out of Asia with only Japanese representation on the GROUP OF SEVEN. Witness our astounding debt of 1-2 trillion dollars to China that currently classifies us a DEBTOR NATION. We were for decades a Creditor Nation because our exports were more than our imports and that gave us our power.
I have the definite feeling that all that bureaucracy and authority (the voters are paying for) should have at least noticed that we were headed toward massive debt in China and possibly used that authority to stop our plunge into a debtor nation. All things being equal, they were given "watchdog" authority.
My Lhasa Apso could have done a better job as a watch dog. She'd at least have barked a lot and bitten a few dozen officials.
Maybe USTR should have cleaned the White House Latrines and let some of their other jobs go. At least they would have cleaned up one mess and not have had time to make others.
Global Economy is an old Political idea from the 19Th Century. Since it is primarily based on politics, how much input do you think will be allowed to come from a DEBTOR NATION. Maybe a lot!!!??? Since we owe so much to China, do we now own the bank that lent us the money? If so I'm guessing a partnership will be in the works. Could be worse. Maybe that's why Obama bowed to the Chinese Chairman. He's not sure either!
The other scenario for the U.S.A. involves China's suffering at the hands of a victorious Europe holding China hostage for over 100 years. The Chinese call these years the "Years of Humiliation" both in trade and invasive use of Chinese lands. The country has grown to an immense power in a very short time due to its long history of Confucianism now translated into Communism. It is soon to be payback time. Since our recent Western world power puts the US in target range--GUESS who may not be coming to Dinner. Will Europe help us or throw us to the wolves? The answer to that is just TOO EASY.
Since history shows us that stability is necessary for a working global economy and when that stability falters as it always seems to do, war follows. Western mistakes during the MERCANTILISM era (Western feudal system l6TH-18TH Centuries) show the links between commerce and violence and offer an insight into trade's force in politics.
History shows great expansions of world trade being linked to earlier conquests such as World War 2 which fueled Asia's revival. Not really participating gave China great economic advantage over Japan and the Western world.
War is something that Economists do not desire since it interferes with whatever stability may exist. Conquest is too costly and depleting on the economies involved and allows too much advantage to competing economies. No, it's not true that war brings prosperity as Frankie (FDR) spread around not even when the USA wins. When you win, however, enjoy the power gained because that's the payoff.
Relative British and American economic stability have provided the geopolitical stability which allowed globalisation in the 19Th and 20Th century (even with the wars) much like the Mongolian stabilization in Asia in the 13Th and 14Th centuries. Are we allowing that stabilization to erode? It would appear so and will that mean greater conflict in the future?
Well if the Middle East AND OPEC (ORGANIZATION OF PETROLEUM-EXPORTING COUNTRIES-1961) is any example it is happening now and it may only be a matter of time before it worsens.
By the way, LEARN YOUR ABDs (ALL BUSINESS DEFINITIONS) in order to know what in the name of the Alphabet is going on in the U.S.A. and the world. Otherwise it all seems like gibberish or is that what's really going on!!!!??
Cheers, Connie
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