Republican Shocker: Free Trade's Not So Good After All

CNBC ^ | 10-4-07 | John Harwood

[SJackson]

I've seen a lot of opinion polling, but my jaw dropped when I saw this result from our special NBC News-Wall Street Journal poll of Republicans in advance of next week's presidential candidate debate sponsored by CNBC, MSNBC and the WSJ. By a nearly two-to-one margin, Republican voters believe free trade is bad for the U.S. economy, a shift in opinion that mirrors Democratic views and suggests trade deals could face high hurdles under a new president.

Six in 10 Republicans in the poll agreed with a statement that free trade has been bad for the U.S. and said they would agree with a Republican candidate who favored tougher regulations to limit foreign imports. That represents a challenge for Republican candidates who generally echo Mr. Bush’s calls for continued trade expansion, and reflects a substantial shift in sentiment from eight years ago.

"It’s a lot harder to sell the free-trade message to Republicans," said Republican pollster Neil Newhouse, who conducts the Journal/NBC poll with Democratic counterpart Peter Hart.

[pissant]

We have to have something for the service industries to service, is the bottom line.

[editor-surveyor]

"The result was a housing bubble."

Your analysis was superb, except for that statement. There is no housing bubble; it's a sham ownership crisis.

These people still need housing. There will always be a housing shortage under the prevailing policies WRT immigration. We cannot ever catch up without a change in policy, and any change in policy has the potential to bring about an extreme disconnect between available jobs and existing skills in the labor force.

Regardless of what course is taken toward the resolution of these problems, we are going to be walking on eggs for a long time.

[chimera]

Yep, and people making decent wages to purchase those services. Someone who’s lost their job to outsourcing isn’t going to be all that interested in going to the movies or hiring a lawn service.

[ZULU]

The “So” is, the Chinese government is directly profiting from such an enterprise in some way and my suspicion is the terms of the acquisition are not what we in the western world would consider “normal” for such a “purchase”. Although the

The Red Chinese are out to destroy us economically and militarily. Both are connected. By draining us of our export dollars, they are feeding the military machine they are building to destroy us. By draining us of our jobs and manufacturing facilities, they are negatively impacting our ability to respond to any military aggression on their part.

[editor-surveyor]

When one communicates with satan, one does so with great trepidation! ;o)

[editor-surveyor]

See Post 445

[Paul Ross]

These people still need housing.

There is indeed a housing bubble, that has burst. New houses were being built in such a way as to exceed all reasonable market potential. Now there are over 5,000 brand new homes in Minnesota vacant because they can't be sold for what the banks are owed.

[editor-surveyor]

" because they can't be sold for what the banks are owed"

As I stated, not a housing bubble; a sham ownership crisis created by a 'creative' financing scheme.

[dennisw]

Neodymium magnets. The best and I have lots of them. So the Chinese are the only mass manufacturers of them?

http://en.wikipedia.org/wiki/Neodymium_magnet

[dennisw]

There is indeed a housing bubble, that has burst. New houses were being built in such a way as to exceed all reasonable market potential. Now there are over 5,000 brand new homes in Minnesota vacant because they can't be sold for what the banks are owed.

In LA so many vacant (walked away from) houses that swimming pools were breeding equine encephalitis. So real estate agents are being enlisted to keep track of these houses with stagnant pools

[narby]

But the banks DID sell the packages of mortgages to a number of foreign banks, especially in Europe, some in Asia; so in a sense the sub-prime problem loans WERE enabled by free trade.

I'm supposed to worry about that? Worry that foreign investors have a stake in maintaining our economy in good shape?

The housing market is correcting itself just fine. And the fact that foreign investors depend on us to pay our loans is another in a long list of reasons they won't tolerate terrorism or market meddling, must less tolerate military action that would damage the US.

[chimera]

Won’t work in this application.

[1rudeboy]

But the modern economy is—unfortunately— too large and what it produces too complex, to leave all decisions to the marketplace.

No one is speaking of "all" the decisions. But if you think our vaunted representatives in D.C. are qualified to make them, then you're on the wrong website.

[narby]

if GM builds one in China they have to take a "connected" Chinese partner and agree to technology transfers.

The US does the same thing in the airline industry. We do not allow foreign ownership of US airlines.

[1rudeboy]

One of the problems with arguing against a protectionist is that he is so intent on proving trade is the root of all evil, he fails to understand the nature of the problem he identifies--thereby not acting to solve it at all

We could mine all the rare earth magnets in the United States we want, but the enviros shut down the mines. Whining about the Chinese won't open them again. Why are you guys so myopic?

[dennisw]

Please give more info on the magnets that can only be bought from the Chinese

[chimera]

Sorry, can't. Well, I could, but then I'd have to, well, you know...

All I can say is that we're dealing with things that are several cuts above toy magnets. It's not just spacecraft propulsion systems we're talking about. There are some really exotic military applications.

Probably said too much already. Time to zip it.

[dennisw]

Thanks. No problem. Much appreciated

[dennisw]

Thanks. No problem. Much appreciated

[dennisw]

Thanks. No problem. Much appreciated