Disadvantages of Trade

This is a perfect Case of Noncompliance where the Government entities involved introduced a sympathetic alleged criminal, who would gain the allegiance of the common Citizenry; leading to a minor Sentence, and on forward, general inconsequential penalties for such types of criminal behavior. It is indicative of Russian judicial procedure that they would instigate this type of ‘Show Trial’ to meet the demands of Western economies, while smiling at their own citizens, acknowledging that such criminal activity would be met with light Sentences if caught; Everyone cognizant little law enforcement resources would be devoted to curtailment of such activities.

Here stands a perfect study in the art of implementation of Trade Agreements. Different cultural traditions inhibit common policy, especially when and where One Side enjoys great Profitability, while other Participants face real economic costs. It holds the basic flaw inherent in all such Trade Agreements, which is a defeat of inherent Trade Advantages, without sufficient restitution of magnitude to make up for the loss. Bilateral Trade Agreements make some sense, when there is genuine bilateral negotiations of the terms of the Agreement. Multinational Trade Agreements can never make sense because there can never be a determinant evaluation of Gain and Loss; something accomplishable only with real estimation of magnitude of Trade and it’s Pricing.

The current Economic dedication to multilateral Trade Agreements has always brought my doubts, and so has Economic belief that Trade itself brought promise of economic prosperity. Both beliefs have suffered much actual statistical discredit since the end of WWII, but One cannot get Economists to evaluate such Evidence. The high volume of American Trade has actually lowered the real American Standard of Living, vastly increased the disparity between American Incomes, lowered the quality of available Products in the American Markets, and suppressed American Savings rates. Every Economist would likely contest one or more of the above claims, but hardly Anyone will discredit them all; and the Problem exists that they are all factual and destructive to the American economy. lgl