South-Westerns' Economic News Summaries
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EconNews Online is South-Western's service to provide summaries of the latest economics news stories. Review the brief summaries and, for stories of interest, select the full summary.
INTERNATIONAL TRADE 
Title  Brief Summary 
Trade May Unite Cultures
Full Summary 
Japan and India are very much different in the cultures but may be united by international trade. Prime Minister Shimzo Abe of Japan will meet with Indian Prime Minister Manmohan Singh to discuss economic relationships that might benefit both countries. They are being brought together by the growing influence of China on the Asian economies.
(Updated September, 2007)
Future Bright For U.S. Exports?
Full Summary 
There are some signs that the U.S. trade deficit may have some relief in sight. The trade gap is still growing but by a slower rate for 2007 than for 2006. With the dollar weaker against major foreign currencies American exports are cheaper and sales growth in overseas markets should be robust this coming year.
(Updated August, 2007)
Subsidies Sink Trade Talks
Full Summary 
The Doha round of Negotiations by the World Trade Organization are aimed at lowering trade barriers around the world in an effort to increase free trade between countries of varied prosperity. Representatives from developing countries believe the U.S. offer to lower subsidies and tariffs are not enough.
(Updated July, 2007)
Price Floors Are No Longer Be a Bad Thing
Full Summary 
Recently, the Supreme Court ruled that price floors were not automatically illegal, thus rescinding a 96 year old law restricting their use. Why did they do this?
(Updated July, 2007)
Maybe a Weak Dollar is not so Bad
Full Summary 
As a result of increasing exports the U.S. trade deficit with the rest of the world is falling. The trade gap which hit 765.3 billion in 2006 could gradually begin to decrease as a result of the growing trend of higher exports which promise to add jobs in the U.S.
(Updated June, 2007)
U.S. Complains About China Trade
Full Summary 
Increasing pressure from Congress has led the Bush administration to file official complaints with the World Trade Organization. The complaints stem from continued and widespread violations trademarks and copyrights and unfairly limiting the importation of certain journalistic and artistic items to state-owned companies.
(Updated May, 2007)
China Less Dependent on U.S.
Full Summary 
The American market has long been a target for goods manufactured in China. And, with American willingness to buy, the trade gap between China and the U.S. has grown to record proportions. Now it seems that Beijing may be trying to lessen Chinese dependence on American markets.
(Updated May, 2007)
The Politics of Trade
Full Summary 
The various players in the political arena are often on opposite sides of proposed trade deals with other countries. Recent developments seem to have some proposals that are favored on both sides of the isle and even supported by organized labor.
(Updated April, 2007)
Chinese Hot Spot
Full Summary 
The Chinese economy continues to soar and their trade surplus with the rest of the world continues near a record pace. The latest figures show that the country's February trade surplus nearly tied a record that was set in October of 2006.
(Updated April, 2007)
Trade Imbalance Widens Further
Full Summary 
For the fifth year in a row, the U.S. trade deficit crashed through its previous record. As reported by the Commerce Department, the 2006 trade deficit with the rest of the world was $46.9 billions dollars greater than in 2005.
(Updated March, 2007)
Japan Doubles Short-Term Interest Rates
Full Summary 
The Japanese central bank doubled short-term interest rates by increasing the already low 0.25 percent rate to 0.5 percent. The extremely low interest rates in Japan have caused investors to look else where for higher returns. This flow of yen out of the Japanese economy is referred to as the yen carry trade.
(Updated March, 2007)
Free Trade With South Korea?
Full Summary 
In the waning days of the Bush administration the United States is working with South Korean officials on a free-trade agreement. Success would give Washington its biggest trade deal since the North American Free Trade Agreement.
(Updated February, 2007)
Globe Trotting for the Dollar
Full Summary 
Treasury Secretary Henry M. Paulson Jr. is preparing for a trip to China in an effort to convince China to let it currency (yuan) to fall against the dollar. Representing the Bush administration, he hopes to make American exports to China less expensive and imports from China more expensive.
(Updated January, 2007)
U.S. Import Barriers Drop
Full Summary 
Most of the 13-year-old tariffs and duties on high grade steel were revoked by federal trade regulators in December. The barriers to trade were an effort to stop the dumping of low-priced imports that placed a great burden on U.S. steel makers in the 1990's.
(Updated January, 2007)
U.S. Sets New Trade Gap Record
Full Summary 
The U.S. Commerce Department reported a record trade deficit for August-a reading that reached a whopping $69.9 billion--setting a new record for the ever-growing disparity between the value of what Americans buys from other countries and the value of goods and services that we are able to sell overseas.
(Updated November, 2006)
Note to China: Trade is a Two Way Street
Full Summary 
China's booming economic success has pushed Chinese exports to record highs-but at the same time, the Chinese stance monetary stance has created an impression that the European Union-Chinese trading relationship is not genuinely reciprocal. Some E.U. members want free trade with China, while other European countries are talking more and more about erecting new trade barriers.
(Updated November, 2006)
Protectionist Sentiment against China Grows
Full Summary 
In a strategy to keep their exports cheaper and imports more expensive, the Chinese government continues to keep its currency artificially low relative to the U.S. dollar. The Chinese monetary stance is generating increasingly protectionist sentiment from the United States and China's other trading partners.
(Updated October, 2006)
Chinese Aid Gladly Accepted
Full Summary 
China's recent foreign aid projects to help its poorer neighbors will benefit China too. By funding infrastructure projects in remote places that other lenders won't touch, China is providing a base for increased future trade.
(Updated October, 2006)
European Union Domestic Demand Growing
Full Summary 
France and Germany led the European Union to its fastest quarterly growth rate since the year 2000. The good news to economic analysts is that the growth appears to be led by strong domestic demand.
(Updated September, 2006)
Is It My Imagination, or Are You Skinnier-the Slimming of the U.S. Trade Deficit
Full Summary 
Lower economic growth in the United States and faster growth in major industrial nations in Europe and Asia have combined to produce a narrowed U.S. trade gap. The American deficit is expected to decline further as foreign consumers and businesses buy more goods from the U.S., while Americans will spend less on foreign imports because of the U.S.' softening economy.
(Updated September, 2006)
China-and Everyone Else--Doing What They Do Best
Full Summary 
As China continues to do what they do best-manufacturing goods using its vast labor resources, their economy has grown by leaps and bounds. The country has taken advantage of its relatively cheap labor to emerge as one of the world's leading manufacturing economies.
(Updated August, 2006)
Anybody For a Group of Fifteen?
Full Summary 
The Group of Seven is an amalgamation of the world's major industrial countries that meet periodically to address international economic and monetary issues. Some observers speculate that the group should be enlarged.
(Updated July, 2006)
Paradoxically, Some Economists Believe that Higher Oil Prices May Narrow the U.S. Trade Deficit
Full Summary 
The U.S. trade deficit was slightly wider in April than in March, 2006. However, if consumers begin to spend less and the economy slows, some economists expect the gap between exports and imports to bottom out or even contract in the coming months as non-oil imports decrease by more than the additional spending on higher priced oil.
(Updated July, 2006)
Your New Label to Read “Made in India”?
Full Summary 
India, a country known for its vast labor resources for developed countries to outsource services through call centers and software campuses, is now building a manufacturing base as well. This new strategy will allow India to take advantage of its comparative advantage in labor resources in yet another way.
(Updated June, 2006)
Outsourcing Is a Problem-Firms are Taking Their Business From Bangalore to Beijing
Full Summary 
When we think of outsourcing business services, our thoughts turn immediately to India and other parts of the Asian sub-continent. Call American Express, and you're likely talking with someone half a world a away. Since Indians work for much lower wages than American or European workers, it has been cheaper to hire people from India for such tasks. Soon, that may no longer be the case.
(Updated May, 2006)
How Big Is China's Trade Surplus? THAT Big?
Full Summary 
China's trade surplus with the rest of the world continues to grow rapidly. Official figures from China indicate that its trade surplus surged upward again in March, reaching $11.9 billion, the second-highest monthly surplus for any country in history.
(Updated May, 2006)
Comparative Advantage Fuels China's Growth
Full Summary 
Chinese President Hu Jintao reported recently that his country's economy was 10.2 percent larger in the first quarter of this year than it was a year ago. Most economists would agree that such growth is likely to continue into the foreseeable future because of China's currently strong comparative advantage: its huge labor resource.
(Updated May, 2006)
Open Up a Little Wider, America
Full Summary 
The U.S. reports another surge in its trade deficits with China and with the rest of the world. The U.S.'s continually enlarging trade gap creates economic tensions between America and China as more politicians and trade negotiators seek ways to reduce the U.S. trade deficit.
(Updated April, 2006)
WHO Is In Charge Here???
Full Summary 
Dubai, the capital of the United Arab Emirates, has long been a safe haven for U.S. businesses, with its fully developed infrastructure and relatively pro-Western stance about facilitating U.S. trade within the Middle East. The Bush Administration currently re-examined a proposal from a Dubai company to operate some of America's ports. As this political hot potato made its way around Washington, many executives from unrelated businesses were quietly lobbying in Washington in favor of the deal.
(Updated March, 2006)
Trade Deficit Threatens Growth
Full Summary 
The U.S. trade deficit hit a record high in October. The expanding trade deficit is threatening to hamper U.S. economic growth in the months ahead. American spending is fueling aggregate demand abroad at the expense of other countries buying U.S. products.
(Updated February, 2006)
China...the New Steel Magnate
Full Summary 
The United States, Britain and Germany were once the kings of steel, dominating worldwide production. They were dethroned by Japan in the 1970s. There’s about to be a new king...China.
(Updated February, 2006)
U.S. Trade Deficit with China Continues to Grow
Full Summary 
The U.S. trade deficit with China grows currently at about 30 percent per year. China’s economy continues to grow rapidly, based on its relatively inexpensive exports, while American exports to China remain low.
(Updated December, 2005)
Why Countries Trade
Full Summary 
Trade ministers from around the world met in London and Geneva to rescue plans for a global trade pact that has reached an impasse over agricultural issues. The negotiations highlight the reasons why countries trade with each other in the first place and the reasons why many countries become protective of their own production of goods and services.
(Updated December, 2005)
Productivity and Inflation
Full Summary 
The recently imposed European import quotas on Chinese textiles turned out to have serious consequences. The European Union Trade Commission has called a meeting in Beijing to renegotiate the quotas.
(Updated November, 2005)
Chinese Textiles Still in Dispute
Full Summary 
The Chinese textiles debate continues as millions of Chinese trousers, T-shirts, pullovers and other items have been effectively blocked from entering European nations. A June import quota system to which China agreed created the blockade.
(Updated November, 2005)
U.S. Trade Deficit Grows
Full Summary 
After a welcome but brief slowing in July, the U.S. trade deficit has grown once again in August. Higher import prices contribute most to the deepening deficit. Analysts agree that the deficit will worsen the months ahead as surging petroleum price kick in. Hurricanes Katrina and Rita severely hampered Gulf Coast petroleum refinery capacity, making the U.S. increasingly dependent on foreign petroleum.
(Updated November, 2005)
Spreading Success of the Chinese Economy
Full Summary 
The Chinese economy’s spectacular growth is spreading throughout Asia and even the rest of the world. China’s trading partners are reaping the rewards of Chinese economic growth by enjoying lower prices on many Chinese goods, as well as enjoying new markets for their own goods.
(Updated November, 2005)
Canada’s Economy Slows, Lending Rate Increases
Full Summary 
Despite the fact that Canadians are suffering from a slowing economy and a rising dollar, the central bank raised its main lending rate by one-quarter of one percent—the first increase since October 2004.
(Updated October, 2005)
CAFTA Becomes Reality
Full Summary 
The U.S. House of Representatives narrowly passed The Central American Free Trade Agreement (CAFTA). President Bush's signature on this Bill creates the largest reduction in trade barriers among Northern and Central American nations in more than 10 years.
(Updated September, 2005)
European Sugar Subsidies to be Cut
Full Summary 
The European Commission has unveiled a plan to overhaul its long-standing system of sugar subsidies. The plan could cut sugar prices by as much as 39 percent and result in wide-ranging job cuts and a large drop in sugar production.
(Updated August, 2005)
Will China Float The Yuan?
Full Summary 
China has continuously pegged their currency at 8.277 yuan to the dollar since 1998. China faces increasing pressure from more and more countries to release the peg and maintain a more reasonable controlled floating relationship with the U.S. dollar.
(Updated July, 2005)
China Sets Textile Export Tariffs
Full Summary 
The Chinese government has set new textile export tariffs on its textile manufacturers in a move intended to slow Chinese textile exports to the U.S., thus averting a trade war. The move comes after the U.S. government imposed import quotas on some low-priced Chinese textiles.
(Updated July, 2005)
U.S. Trade Deficit Hits New Record
Full Summary 
The U.S. trade deficit reached its highest figure ever in February. The Commerce Department reported a trade deficit of $61 billion, a rise of 4.3 percent over the January 2005 deficit of $58.5 billion.
(Updated June, 2005)
Oil Prices Hurt European Economy
Full Summary 
The continued rise in oil prices is negatively affecting the European economy. Rising energy prices have slowed economic growth and added to inflationary woes.
(Updated June, 2005)
World Economy View of the Trade Deficit
Full Summary 
Federal Reserve chairman Alan Greenspan suggested recently that the U.S. foreign trade deficit might be poised to stabilize, if not actually to decrease, in the near future. Greenspan was talking to a meeting of finance ministers and central bank governors from the Group of 7 leading industrialized nations.
(Updated April, 2005)
U.S. Trade Deficit Highest Ever
Full Summary 
The U.S. trade deficit reached its highest figure ever in November, 2004. The U.S. Commerce Department reported a trade deficit of $60.3 billion, a rise of 7 percent over the October, 2004 deficit of $56 billion.
(Updated March, 2005)
Brother, can you spare a cheap fare anywhere in the US?
Full Summary 
Southwest Airlines can fly anywhere it wants, as long as it's not more than one state away from its home airbase. Or so says the Wright Amendment.
(Updated February, 2005)
In America now, everyone's a millionaire...sort of
Full Summary 
While Wal-Mart and other mass retailers have struggled this holiday season, the high-end luxury market has flourished. Bergdorf Goodman's, Nieman-Marcus, Nordstrom's and a variety of high-end boutique retailers are seeing huge sales increases this season.
(Updated February, 2005)
Chinese Inflation Slows
Full Summary 
Helped by a banner year in agricultural output and reduced demand for exports, the Chinese economy continues to experience inflation, but the pace has slowed. Food prices are rising more slowly due to a bountiful harvest in the agricultural sector. In world markets, the demand for Chinese exports has dropped off due to increasing oil prices.
(Updated January, 2005)
The U.S. giveth; the U.S. taketh away...
Full Summary 
Vietnamese shrimp producers, who farm shrimp in coastal land ponds, have been able to exploit advantages over U.S. shrimpers, who still trawl the oceans for shrimp. The U.S. government may impose tariffs on imported Vietnamese shrimp, arguing that farmers are "dumping" shrimp on the US market at prices below cost.
(Updated December, 2004)
Give me your tired, your poor, and the ones willing to work for lower wages
Full Summary 
Under pressure to reduce transportation costs, shipping companies are scanning the globe looking for low-ranked seamen - known as "ratings" - who are willing to work for lower pay and under more extreme conditions than others. Their search is taking them to Southeast Asia and away from Europe, where they had been looking previously.
(Updated November, 2004)
My shrimp tastes better than your shrimp!
Full Summary 
U.S. shrimp producers are trying to stop the onslaught of imported foreign shrimp by giving U.S.-caught seafood a personality. Florida shrimp has "a distinctive Florida taste," while imported fish has an "iodine-y aftertaste."
(Updated October, 2004)
If China doesn't like the market price, it just sets a new one
Full Summary 
Chinese-style capitalism takes a distinctly socialistic perspective, especially when the government thinks that market-based prices are wrong. It sets them itself.
(Updated October, 2004)
U.S. Trade Gap Reaches New Record
Full Summary
The U.S. trade gap continues to widen as American imports increase and exports decrease. The U.S. Commerce Department marked the June, 2004 deficit at a record $55.82 billion. This figure was 19.1 percent more than the May deficit of $46.88 billion.
(Updated October, 2004
Energy Prices Affect World Economy
Full Summary
Rising energy costs are having a profound impact on many countries of the world. The higher energy prices could easily translate into slower growth and inflation for countries that depend upon foreign oil.
(Updated October, 2004
Agriculture Key to New Trade Deal
Full Summary
A trade deal fell through at The World Trade Organization conference last year in Mexico. African delegates led a walkout, claiming that rich countries had little interest in making trade fairer for the world's poorest farmers. New meetings will take place in Geneva to seek a world trade deal, and agriculture will be key to sealing the deal.
(Updated September, 2004
Good News and Bad
Full Summary
The U.S. trade deficit increased to a record $46 billion dollars in March as the strengthening American economy purchased many more goods and services from foreign nations than it sold to foreign nations. The news that the economy is improving is good, but the widening trade deficit brings new concern that foreign capital--needed to finance the trade deficit--may dry up.
(Updated July, 2004
Japanese Economy Remains Strong
Full Summary
The Japanese economy appears to be on course for a strong recovery from a recent, long-standing recession. The past two years have shown slow but steady improvement in the economy. Leading the charge in the recovery are Japanese consumers who are spending at the fastest pace in 21 years.
(Updated July, 2004
Two Sides To Everything
Full Summary
As many critics continue to highlight the outsourcing of U.S. jobs, foreign companies are increasing their capital investment in the United States. This "insourcing," as proponents are calling it, points out that free trade may not be the one-way street that some critics have been assuming it to be.
(Updated June, 2004
Japanese Growth Spurred by Chinese Demand
Full Summary
Japan is considered the world's second largest economy, producing and exporting a huge volume of products around the world. A report by Japanese officials indicated a robust growth for the small but productive country of 7 percent (on an annualized basis) during the fourth quarter of 2003. Much of this growth is due to increasingly large Chinese demand for Japanese products.
(Updated April, 2004
Trade Deficit Hits Record
Full Summary
The U.S. hit a record trade deficit of $489.4 billion in 2003. Economists are worried about possible effects from the deficit such as further job losses, slower economic growth, and increased borrowing from foreign investors.
(Updated April, 2004
Current Account Deficit and Dollar Decline Worry World Leaders
Full Summary
The U.S. current account ran a deficit of $135 billion in the third quarter of 2003. This deficit amounts to 4.9 percent of GDP as compared to a record 5.2 percent for the first quarter of 2004. When a nation occurs such a deficit, expenditures on imports exceed income from exports and that deficit must be financed. Coupled with a decline in the dollar against other currencies, European leaders are voicing their concern.
(Updated March, 2004
Long Run Effects of Tariffs on Steel
Full Summary
The Bush administration is rescinding the tariffs imposed just last year on imported steel. They argue that the tariffs were intended to be temporary so that the American steel industry could prepare itself to compete against intense global competition in the production of steel. Some economists and industry analysts will interpret this move as a realization that, in the long run, tariffs and other forms of protectionism will serve only to harm the US economy.
(Updated February, 2004
U.S. Trade Gap Widens
Full Summary
The U.S. trade gap has widened in recent months due mainly to record imports from China, the European Union, and Latin America. Although record imports are the simple mathematical reason for a widening trade deficit, not all analysts place the entire the blame on the imports. This politically sensitive issue of a widening trade gap will likely bring new protectionist pressures to bear on Washington, along with the fears that accompany protectionist legislation.
(Updated February, 2004
Greenspan Warns Against Protectionism
Full Summary
Federal Reserve Chairman Alan Greenspan has publicly criticized the Bush administration for their recent stance against foreign imports. Fearing that protecting American jobs by limiting imports will raise new risks for the global economy, Greenspan called for more flexibility in trade agreements with foreign producers.
(Updated January 4, 2004
A Crude Strike
Full Summary
Internal strife in Venezuela, the world's fifth-largest oil exporter, sent oil prices to their highest levels in two months. Economists are optimistic about economic growth for 2003, strikes and political unrest in Venezuela that lead to further oil price hikes may mitigate that optimisms by 2015, saying this proposal would eliminate about $18 billion in tariffs that consumers currently are paying.
(Updated February 5, 2003
A Tariff-ic Proposal
Full Summary
With global trade negotiations due to begin shortly, the Bush Administration has submitted a plan to eliminate all tariffs on industrial and consumer goods by 2015, saying this proposal would eliminate about $18 billion in tariffs that consumers currently are paying.
(Updated January 2, 2003
If it Looks Like Catfish…
Full Summary
Although the Bush Administration claims to be a proponent of free trade, there have been a number of instances where talk and action have diverged. The Administration's actions, critics claim, are winning votes for the upcoming battle over "fast-track" trade legislation.
(Updated June 1, 2002
What Once Was A Tiger
Full Summary
Japan's trade surplus is growing as a result of the falling value of its currency, the yen. U.S. policymakers believe that the weak yen will help Japan recover from recession and a healthy Japanese economy will promote global growth.
(Updated June 1, 2002
Trade Organization More Worldly 
Full Summary
The World Trade Organization has agreed to allow China and Taiwan to join. China will have to reduce its tariffs, eliminate subsidies, allow more foreign investment, and abide by copyright regulations. Increased trade and investment will benefit businesses, workers, and consumers around the world.
(Updated December 1, 2001
Tariffs Topple
Full Summary
The United States signed an historic trade agreement with Vietnam that will slash American tariffs on Vietnamese exports and open the world's largest market to Vietnamese goods.
(Updated December 1, 2001
Sayonara, Economic Growth? 
Full Summary
Japan released data confirming that output of goods and services contracted in the second quarter of this year. Japan is technically not in recession, since last quarter's gross domestic product figures were revised to show a slight increase .
(Updated October 1, 2001
Trade Matters
Full Summary
Two economists, Stephen L. Parente and Edward C. Prescott argue in "Barriers to Riches," that poor countries remain poor because of policies established in those countries that prohibit the adoption of more productive technologies.
(Updated July 1, 2001)
Going Bananas Over Steel
Full Summary
Less than two months after an agreement that ended a trade war between the United States and the European Union (EU) over bananas, the same parties appear to be headed for another conflict, this time over steel.
(Updated July 1, 2001)
To Consumers, The Sugar Program is Anything But Sweet
Full Summary
Free trade has been one of the top concerns of the last as well as the current administration. But the pursuit of free trade apparently does not apply to the sugar industry.
(Updated June 1, 2001)
But Will the Final Exam Be Essay or Short Answers?
Full Summary
Faced with an increased number of bilateral trade agreements with numerous countries, Brazil has responded by requiring its diplomats to study economics. Brazil is trying to avoid the mistakes it made in the early 1990s during negotiations with the U.S. and European countries.
(Updated June 1, 2001)
A Supersized NAFTA
Full Summary
President Bush and leaders from 33 Western Hemisphere countries gathered in Quebec to discuss a proposal for the establishment of a Free Trade Area of the Americas (FTAA). Free trade, it is argued, increases the flow of goods, people and ideas.
(Updated May 1, 2001)
Worldly Questions
Full Summary
The new U.S. Administration may usher in a change in U.S. economic policy with respect to a number of international issues. Recent world financial crises, the ever-growing trade deficit, high dollar, competition from the euro, antiquated world financial structure, and the impact of a U.S. recession on other economies are challenges that will occupy the Bush Administration.
(Updated February 1, 2001)
Chiquita Going Bananas over Quotas
Full Summary
Chiquita Brands International, the largest and most well known producer of bananas in the world, is threatening to declare bankruptcy due to the EU's decision to place trade restrictions on banana imports. The EU quotas have cost Chiquita $200 million a year since 1992.
(Updated February 1, 2001)
Sanctions Sought
Full Summary
The EU has petitioned the WTO to approve more than $4 billion in trade sanctions on U.S. goods and services, a request based upon an illegal tax break that the U.S. grants to exporters.
(Updated December 1, 2000)
In Pursuit of Restrictions
Full Summary 
The strong U.S. dollar has raised the price of our exports to foreign countries and lowered the price of their imports. The steel industry has been hurt especially hard by the strong dollar and has made a plea to President Clinton to impose restrictions on the import of foreign steel.
(Updated December 1, 2000)
In Mexico Growth Starts With NAFTA
Full Summary 
Some think that a trade agreement between a more developed and a less developed economy amounts to exploitation of the less developed economy's workers. Looking at the NAFTA's results, we find that exports have grown to nearly a third of Mexico's $500 billion economy and export growth is responsible for at least half of the 3 million jobs created since 1994.
(Updated October 1, 2000)
True or False - Trade Deficits are Bad
Full Summary 
The U.S. trade deficit is large and growing larger, causing concern among some economists and policymakers. Some analysts believe that the trade deficit is the single biggest threat to the current expansion of the economy.
(Updated July 1, 2000)
A Tariff-ic Proposal?
Full Summary 
The World Bank and IMF have proposed allowing some of the poorest African and Latin American nations to sell their goods to Western industrialized nations without tariffs or quota. The Clinton administration opposes measures to reduce tariffs because it could endanger support for its Africa trade bill…
(Updated May 1, 2000)
America, the Land of the Free -Trade Zone, That Is
Full Summary 
Western Hemisphere countries are attempting to follow the example of the European Union by creating a detailed framework for a Free Trade Area of the Americas agreement. The agreement would reduce or eliminate tariffs and other trade restrictions and open these economies to foreign investment.
(Updated January 1, 2000)
Troubling Trade Deficit
Full Summary 
The Commerce Department reported that the nation's current account deficit increased by $9 billion to a record $89.95 billion in the third quarter. The record trade deficit will likely be a matter of concern for the Clinton Administration, which has pushed free trade as a matter of national policy.
(Updated January 1, 2000)
Trade Troubles
Full Summary 
The U.S. trade deficit hit another record in March - the third month in a row. For the first three months of 1999, the deficit is running at an annual rate of $222 billion, which is the highest deficit ever recorded.
(Updated July 1, 1999)
Protectionism Grates on Greenspan
Full Summary 
In spite of the benefits of trade, protectionist sentiment is growing in part because global competition and measures to achieve efficiency have sometimes resulted in layoffs and plant closings. Alan Greenspan, chairman of the Federal Reserve, has entered the debate, denouncing protectionist pressures.
(Updated June 1, 1999)
Exports to Europe
Full Summary 
U.S. exports have been hit hard by Asia's financial crisis and by the devaluations in Russia and Brazil. Exports to Europe have remained strong, supporting profits for U.S. companies. There are, however, clouds on the horizon.
(Updated April 1, 1999)
Imports in Restraint
Full Summary 
The turmoil in the world's financial markets has devalued the currency of a number of nations. In response, a number of countries have sought to export their way out of recession and, consequently, have been flooding the U.S. with their goods.
(Updated January 1, 1999)
Going Bananas Over Tariffs
Full Summary 
The U.S. is threatening to place prohibitive tariffs on millions of dollars of European products in retaliation for the European Union's (EU) decision to place trade restrictions on banana imports.
(Updated December 1, 1998)
Manufacturers Migrate to Mexico
Full Summary 
Since the passage of NAFTA, foreign auto and auto-parts producers have greatly increased their investments in factories in Mexico. Auto exports from Mexico to the U.S. have increased markedly.
(Updated August 12, 1998)
India Blasted
Full Summary
President Clinton, responding to India's conducting nuclear tests, imposed major economic sanctions on India. The sanctions halt credit, guarantees or other financial aid by U.S. governmental agencies....
(Updated May 22, 1998)
A Jolt for Japan
Full Summary 
Japan's economy has been stagnant and to revive it the ruling Liberal Democratic Party has proposed a $124 billion stimulus program, which does not include a tax cut proposal.
(Updated May 19, 1998)
Ecuador's Economy Heads South
Full Summary 
Ecuador's economy is showing signs of distress. In late March, Ecuador's central bank allowed the sucre, Ecuador's national currency, to be devalued by 6%, a move brought on by a multitude of problems, including budget deficit and foreign debt.
(Updated May 19,1998)
An International Market in Pollution
Full Summary 
President Clinton has proposed establishing emissions as a commodity that can be traded internationally. This proposal would be an international extension of a system created domestically under the Clean Air Act of 1990.
(Updated January 15, 1998)
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