Monday, February 12, 2007

In Defense of Free Trade

By Kai Jager

The embodiment of free international trade has been a matter of interest for liberals for centuries. Free trade is closely related to globalization, but trade between people from different countries is not a new appearance and has always existed in human history. The theoretical explanation why free trade benefits the economy was developed by Adam Smith and David Ricardo in the 18th and 19th century. Since then, a lot of controversial discussion on the issue have taken place. Nowadays, there is a going outcry against free trade by globalization opponents. Their message is that these “neo-liberal” market reforms will lead to higher unemployment in the developed world and exacerbate the situation in poorer countries. What can liberals offer in the debate to refute these arguments?

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Originally posted at FNF Asia publication site

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