In the last few weeks we have heard a lot about trade wars (taking place or looming) between the U.S. and virtually every economically important nation in the world. This is surprising in today’s world where the tendency has been over the past few decades to eliminate trade barriers.
Mainstream economists have pointed out for years the benefits of free trade: international economic growth, improved financial performance of investments, lowered business risks, more competition that lowers prices while increasing choices for the consumers, and diversification of revenues. Although there are some risks associated with free trade, such as the environmental and labor abuses that accompanied free trade agreements such as NAFTA (North American Free Trade Agreement), but they have usually incorporated side agreements, such as the creation of the Commission for Environmental Cooperation, to deal with that type of issues.
Romero, A. 2018. Trade wars are bad for higher ed. The Edwardsville Intelligencer 9 July 2018, p. A3.