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Risking Free Trade - The Politics of Trade in Britain, Canada, Mexico, and the United States (Paperback, New)
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Risking Free Trade - The Politics of Trade in Britain, Canada, Mexico, and the United States (Paperback, New)
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There are few issues as politically explosive as the liberalization
of trade, as recent controversies in the United States, Canada, and
Mexico have shown. While loosening trade restrictions may make
sense for a nationÆs economy as a whole, it typically alienates
powerful vested interests. Those interests can exact severe
political costs for the government that enacts change. So why
accept the risk?Michael Lusztig contructs a model to determine why
and under what conditions governments will take the free trade
gamble. Lusztig uses his model to explain shifts to free trade in
four cases: BritainÆs repeal of the Corn Laws; the United StatesÆ
enactment of the Reciprocal Trade Agreements Act (1934); CanadaÆs
decision to initiate continental free trade with the United States
in 1985; and MexicoÆs decision to pursue the North American Free
Trade Agreement (NAFTA) in 1990.
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