BeyondGenius.com

The Democrats will be coming into power in Congress in the next few weeks, and they’ll be gaining new force in legislation; among their new powers will be sway over trade law. While the President and his associates can negotiate trade bills and treaties, it’s the role of Congress to give the OK. With the new Congress, there will almost certainly be new direction in trade policy.

Of concern, however, is the mood of the Democrats. While economists on both sides support freeing up trade as a boon to both the consumer at home and people abroad (resulting in less need for aid sent abroad), many legislators have been making decidedly protectionist noises. Whether its reducing competition from Chinese textiles or Vietnamese fisheries or Indian software engineers, legislators have talked about protecting American companies and American jobs.

I’ve talked at some length before about protectionism and it’s costs – the short version being that while it can be good for a few people, it’s harmful to the greater population. It’s politically expedient, but economically detrimental. It’s not really good for the country.

Now, the Democrats are in a unique position to do what is right for the country. They’re in a position where they’re perhaps more willing to listen to input than their predecessors. They’re more interested in the view points of their constituents. The populist way is not just the way of keeping people employed; it’s the way of training people for jobs in new industries when older ones die, and protecting people from being held hostage by corporations (and special interests).