Neoliberalism and Trade Agreements

Neoliberalism

  • Post World War II thought, around the 1970s.
  • Laissez faire capitalism 2.0 - minimal to no regulations.
  • Neoliberals opposed to regulations, believe businesses succeed/fail based on consumer choice.
  • Gilded Age (post-Civil War US) exemplifies unregulated capitalism: wealth concentrated in the hands of few "robber barons."
  • Theodore Roosevelt introduced regulated capitalism, creating federal agencies for fair business practices after McKinley's assassination.
  • Neoliberalism emerged in the 1970s, opposing regulations and favoring free markets.
  • Presidents like Nixon, Ford, Reagan, Clinton, Bush, and Trump implemented deregulation, potentially impacting consumers with lower quality products.

Trade Agreements

  • Trade agreements can be beneficial but involve strategic gains and losses.
  • Margin: the difference between cost and profit.
  • NAFTA (North American Free Trade Agreement):
    • Facilitated free trade between Canada, the US, and Mexico.
    • The US imported cheap goods from Mexico, avoiding domestic manufacturing costs.
    • In 2020, the Trump administration ended NAFTA, raising tariffs to encourage domestic industry.
  • ASEAN (Association of Southeast Asian Nations):
    • Southeast Asia's equivalent to NAFTA.
    • Open trade with discounted port usage for members.
  • Asian Tigers: Hong Kong, Singapore, South Korea, Taiwan.
    • Countries with high GDPs through trade and education.
    • Singapore is now one of the best cities in the world to visit.
  • WTO (World Trade Organization, formerly GATT):
    • Aims to prevent tariffs as aggressive trade tactics.
    • Warren Buffett views tariffs as an "act of war" economically.
  • EU (European Union):
    • Aims for free and fair trade among European states.
    • The Euro was introduced as a common currency.
    • Brexit: The UK voted to leave the EU, causing economic instability.

Humanitarian Efforts and Progressive Movements

  • UNICEF (United Nations Children's Emergency Fund) provides aid to children in impoverished and war-torn countries.
  • Progressive movements in the 1900s aimed to include more people, addressing issues of privilege.
  • Privilege varies by location: in the US, historically, Christian white men have had the most privilege.
  • Tackling corporate abuses through government regulations (Theodore Roosevelt, FDR).
  • Progressive movements expand citizen rights (e.g., women's suffrage, voting rights for African Americans).
  • Progress was made throughout the 1900s.