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January 15, 2004

Sweatshops are good

Patterico links, via Radley Balko, to this NY Times op-ed defending third-world sweatshops against the mindless feel-good opposition of most Democrat candidates. Sone additional quotes from the piece:

I'd like to invite Richard Gephardt and the other Democratic candidates to come here to Cambodia and discuss trade policy with scavengers like Nhep Chanda, who spends her days rooting through filth in the city dump.
Carol Mosley Braun is available [and it's warm in Cambodia, for those stumping though -20F New Hampshire --ed].
One of the most unfortunate trends in the Democratic presidential race has been the way nearly all of the candidates, including Howard Dean, the front-runner, have been flirting with anti-trade positions by putting the emphasis on labor, environmental and human rights standards in international agreements.

While Mr. Gephardt calls for an international minimum wage, Mr. Dean was quoted in USA Today in October as saying, "I believe that trade also requires human rights and labor standards and environmental standards that are concurrent around the world."

....Cambodia has a fair trade system and promotes itself as an enlightened garment producer. That's great. But if the U.S. tries to ban products from countries that don't meet international standards, jobs will be shifted from the most wretched areas to better-off nations like Malaysia or Mexico. Already there are very few factories in Africa or the poor countries of Asia, and if we raise the bar higher, there will be even fewer.

The Democratic Party has been pro-trade since Franklin Roosevelt, and President Bill Clinton in particular tugged the party to embrace the realities of trade. Now the party may be retreating toward protectionism under the guise of labor standards.

That would hurt American consumers. But it would be particularly devastating for laborers in the poorest parts of the world. For the fundamental problem in the poor countries of Africa and Asia is not that sweatshops exploit too many workers; it's that they don't exploit enough.

Posted by Kevin Murphy at January 15, 2004 11:28 AM | TrackBack