Impeccable Logic: Trade, Development and Free Markets in the Clinton Era
Henwodd, Doug
In U.S. political life, some things transcend party affiliation, among them a deep faith in the more-or-less free flow of capital and goods across borders and a belief that money is the measure of...
...Transnational Corporations and Management Division, World Investment Report 1992 [ST/CTC/130] (New York: United Nations, June 1992), p. 33...
...worldwide FDI-2.6% of 1991's total...
...And though U.S...
...The recent World Bank study declares that regional integration makes sense only if a Triad member is involved...
...One nongovernmental organization distributed a press release denouncing the nomination as a perpetuation of "Reaganomics" by an administration elected in repudiation of that doctrine...
...Over half of Japan's trade is with the developed world and another third is with Asia, leaving only 15% for the rest of the Third World...
...295-298...
...But almost every issue of The Economist carries a version of Ricardo's argument, delivered in the magazine's best ex cathedra tone...
...64-65...
...Fifty two percent of Malaysia's exports to the United States were from U.S...
...Ricardo, influencing generations of model-building economists after him, imagined a two-commodity, two-country world in which Britain was the most efficient producer of cloth (the high-tech product of its day) and Portugal, of wine...
...Though capitalism has always been international, until recently it was characterized by the trading of manufactured goods between national corporations, or of raw materials between imperium and colony...
...One of the best is being are slight offered by what used to be twice as known as the United Nations Center on Transnational Corporations as their c (CTC), but which has recently been in Bangla reorganized and renamed as the Transnational Corporations and their w Management Division (TCMD) of 17 times the U.N.'s Department of Economic and Social Development...
...Ricardo, "On Foreign Trade...
...World Bank, Global Economic Prospects, pp...
...Trade patterns reflect these investment clusters...
...TCMD, World Investment Report 1992, p. 35...
...conservatives regarded the old CTC as a hotbed of Bolshevism, and hoped that the reorganization would domesticate the agency...
...Despite this glass ceiling, Third World employees of TNCs come to identify with their employers' global interests, a marked difference from attitudes prevailing under old-style national capitalism...
...In 1980, 63.1% of Mexico's trade was with the United States...
...Ricardo argued that the welfare of both countries would be maximized if Britain concentrated on making cloth and imported its wine from Portugal, and vice versa...
...591-600...
...And the debt depression snuffed all economic strategies that deviated from orthodoxy...
...trade is far more diversified than Mexico's...
...A place, dirty indu case in point is Mandate for Change, the manifesto produced by the President's comrades at the Progressive Policy Institute (PPI...
...As much as 40-50 cents of every dollar borrowed during the 1970s and early 1980s...may have been invested abroad...
...ton's essential conservatism...
...9 Yet despite these shifts, Hammonds' world is still fairly conventional...
...2 5 The TCMD discreetly draws upon theories first developed by Stephen Hymer in the 1960s and 1970s...
...For more on Summers, see Doug Henwood, "Toxic Banking," The Nation, March 2, 1992, p. 257...
...And globalized managers and financiers would, Hymer rightly imagined, develop an interest in the global health of the system, not their national piece of it...
...In the real world, few commodities are like wine, which is best produced only in certain regions...
...His top aides are drawn from a pool of bankers, lobbyists, and management consultants...
...investment dominates Mexico-66.9% of new FDI in Mexico in 1991, and 63.1% of the cumulative total-this commanding presence still represents a rather small portion of the cumulative U.S...
...Around three-quarters of investment flows take place among the Triad, and about two-thirds of the remainder are accounted for by just 10 developing countries, mainly in East Asia and Latin America...
...trade is with developed countries, with a handful of large countries like Mexico, Brazil, and South Korea making up most of the balance...
...opment strategies like import substitution and protectionism...
...This, and the young Administration's rhetoric and actions, suggests that Clinton will wave an even bigger stick at U.S...
...Stephen Krajewski, Intrafirm Trade and the New North American Business Dynamic (Ottawa: The Conference Board of Canada, July 1992...
...Joan Robinson, "The New Mercantilism," in Contributions to Modern Economics (Oxford: Basil Blackwell, 1978), pp...
...4 Summers is living proof that in U.S...
...Robinson's critique of orthodox trade, written in 1965, focused on the contradictions between assumptions and reality...
...2 1 VOL XXVI, No 5 MAY 1993 27REPORT ON US POLICY The trade picture is similarly one-sided...
...firms, facing relatively mature markets at home, plunged into Europe and, later, the Third World...
...South-South integration cannot work, the Bank argues, because markets are too small (and, they might have added, direct investment flows too tiny) to cement the agreement...
...And his appointment of Lawrence Summers, the former chief a in Sonora, Mexico...
...289-320, especially pp...
...global leadership for democracy...
...Reasoning like an economist, Summers argued that since the "costs" of pollution are measured in the "foregone earnings from increased morbidity and mortality" it causes, it makes sense to locate our most noxious activities in poor countries...
...after all, he was more-or-less endorsed by The Economist, Milton Friedman, and the guru of supply-side economics, Arthur Laffer.' For the first time in modern history, the Democratic Party's campaign platform did not mention labor unions, but celebrated business as a "noble endeavor...
...interest group politics" are more likely to get in the way...
...2. Internal memorandum from Lawrence H. Summers, December 12, 1991, p. 3. Summers' observations seem to have made their "way into the WDR in highly euphemized form...
...Thus," the box concludes, "intrinsic values can be captured only imperfectly and partially under the notion of amenity values...
...11...
...8 That millions have suffered to service these debts seems to matter little...
...68, 70...
...To equalize payment according to worker productivity, wages in the U.S...
...Clinton also retained Rufus Yerxa, Bush's deputy trade representative-himself a living symbol of bipartisanship...
...5. Will Marshall, "U.S...
...Level II, in the state-owned mining com- provincial cities...
...This money is now coming back on a significant scale, especially in Mexico and Argentina...
...World Bank, World Development Report 1992 (New York: Oxford University Press for the World Bank, 1992), p. 45...
...his World Bank appointment (where he succeeded a genuine Reaganite, Stanley Fischer) was pushed by Rep...
...The other 100-odd countries of the world-the Caribbean, the smaller countries of Latin America, South Asia, Africa, and much of the Middle East-have little place in this new arrangement...
...Joan Robinson offered this concise critique of the received Ricardian doctrine in its midtwentieth century variant: The economist's case for free trade is deployed by means of a model from which all relevant considerations are eliminated by the assumptions...
...3. The Development Group for Alternative Policies (Development GAP), Summers Nomination to Treasury Sparks Opposition: Citizen Groups Call for Rejection of Reaganomics in Third World (Washington, D.C., February 22, 1993...
...6. George D. Moffett Ill, "Democracy: Today's Calls for Liberty Echo the Popular Revolts of the Mid-19th Century," Los Angeles Times, June 23, 1991, p. A23...
...True to the logic of the marketstry has been migrating to less developed countries...
...1 Examples can easily be drawn from this hemisphere...
...So, there are two parallel movements occurringregional integration around the poles of the Triad, and integration among the Triad members themselvesboth driven by the investment strategies of TNCs...
...de Melo and Panagariya, The New Regionalism in Trade Policy, pp...
...4. See, for example, James M. Poterba and Lawrence H. Summers, "The Persistence of Volatility and Stock Market Fluctuations," American Economic Review 76 (1986), pp...
...shirt A new model is badly needed...
...Asian integration is even more a private affair, since government efforts in the area have been minimal...
...Jaime de Melo and Arvind Panagariya, The New Regionalism in Trade Policy...
...In the words of Jerome I. Levinson, a former official of the InterAmerican Development Bank: 24NACLA REPORT ON THE AMERICAS NACLA REPORT ON THE AMERICAS 24REPORT ON US POLICY [To] the U.S...
...Global Leadership for Democracy," in Will Marshall and Martin Schram, eds., Mandate for Change (New York: Berkley Books, 1993), pp...
...affiliates...
...These structural levels have geographic and demographic counterparts...
...government's top debt and development post-is highly revealing...
...That may have been true in the days before TNCs, but now workers paid pennies an hour can be furnished with advanced machinery and managed with advanced techniques by multinationals or their local subcontractors...
...it had more to do with how advanced countries jealously guard their technological dominance...
...Much of the private capital that is once again flowing to Latin America is capital invested abroad during the runup to the debt crisis," he said...
...In the 1992 edition of the World Bank's Global Economic Prospects and the Developing Countries, the Bank gives a flavor of just how different our world is from Ricardo's...
...He and Congressional Democrats seem eager to put the United States through an austerity program-gentler than the IMF kind, but an austerity program nonetheless-which the Republicans, the supposed business party, were incapable of implementing...
...Though Clintonites have paid little attention to foreign affairs, hints of a fundamental continuity in U.S...
...Similarly, exports of electrical goods by Japanese producers in Korea had much to do with the rise of Korea in world electronics...
...3 But Summers is a Democrat...
...But whatever benefits the Mexican government hopes to gain by integrating with the United States will be diluted should more countries join (another way of saying that Mexico's gains from NAFTA could be seen as stolen from its neighbors...
...South-South efforts are "mistake[s] not worth repeating...
...To take an extreme example, U.S...
...Economic policy is too important a matter to be left to popular opinion...
...But Robinson's critique, pungent as it was, still spoke of countries...
...But Summers was only being more honest than his colleagues at the Bank and in the economics profession, for whom money is the measure of all things...
...and Taiwan['s] five leading electronics exporters are U.S...
...Similarly, resistance to Clinton's choice of Summers has been, as economists say, misspecified...
...Equality between the values of imports and exports of each country is quickly established, in the face even of large disturbances, by movements of relative prices brought about through the international monetary mechanism...
...She argues that U.S...
...A list of the top importers to and exporters from Mexico is dominated by names like Chrysler, General Motors, Volkswagen, Kimberly Clark, Hewlett-Packard, Ericsson, Renault, Xerox, and IBM-not Mexican companies...
...Around each pole of the Triad are gathered a handful of "developing" countries to serve as sweatshops, mines, and plantations...
...Three major clusters have formed, each one would ha% dominated by TNCs based in one of the major powers-the United $0.45 a States, Japan, and the European Community (EC), who together make up "the Triad" [See Table 1, p. 26...
...But there are certain inconsistencies in his assumptions...
...1 8 (Of course, the TCMD would never use such blunt language...
...He is writing a book on Wall Street for Verso Press...
...The debt crisis could be seen as a blessing in disguise," he opined in a 1992 speech, though he conceded that the disguise "was a The debt crisis heavy one...
...More than a third of U.S...
...Employees from Third World countries are common in Level III...
...Level III operatives are posted all over the globe...
...Almost 60% of U.S...
...NAFTA's value is that it will tie the hands of future Mexican governments that may be less starry-eyed about their marriage to the United States...
...One reason for suspect- Migrant grape pickers from Oaxaci ing little fundamen- of Mexico's trade is with the Unite tal change is Clin- is only 7...
...The losers were mainly the EC and other developing countries in the Western Hemisphere...
...This is like a girl trying to get a boyfriend...
...While over 70% d States, Mexico's share of U.S...
...15 Classic theories relating wages to labor productivity must also be discarded...
...All this has to be taken for granted before the argument begins...
...Clinton's early steps confirm impressions of his conservatism...
...In one, PPI President Will Marshall recommends that a "democracy doctrine" be the guiding force of the new era...
...David Ricardo, Principles of Political Economy and Taxation, Chapter VII, "On Foreign Trade...
...24 Crudeness aside, Mulford's argument is little different from that offered by Clinton's Labor Secretary Robert Reich--that in a world of mobile capital and fading boundaries, countries must focus on making themselves more attractive to TNCs through improved education, training, and infrastructure investment...
...Perfect competition prevails...
...Fixed exchange rates are taken for granted...
...1. "Lexington: The Emperor of Emptiness," The Economist, July 25, 1992, p. 32...
...1 4 And a recent study by the Conference Board of Canada, a business-sponTable One Foreign Direct Investment Clusters of Triad Members, late 1980s UNITED STATES Latin America Argentina, Bolivia, Chile, Colombia, El Salvador, Guatemala, Mexico, Panama, Paraguay, Venezuela Asia Bangladesh, Pakistan, Philippines Other Papua New Guinea, Saudi Arabia EUROPEAN COMMUNITY Latin America Brazil Asia India, Sri Lanka, Vietnam Africa Ghana, Morocco Other Czechoslovakia, Hungary, Poland, the former Soviet Union, the former Yugoslavia JAPAN Asia South Korea, Singapore, Taiwan, Thailand Other Fiji Source: U.N...
...tex tion of the world economy...
...Against this solidarity, Level III workers are divided and weak...
...Transnational Corporations and Management Division, World Investment Report 1992 [ST/CTC/130] (New York: United Nations, June 1992), Chapter 1. 19...
...Happily for him, Clinton inherits a largely pacified Third World...
...economies...
...he accurately concluded, is that they "could be turned around and used more or less effectively against every Bank proposal for liberalization...
...The core of these reforms was a commitment to reduce the role of the public sector as a vehicle for economic and social development...
...1142-1151, and Lawrence H. Summers, "Does the Stock Market Rationally Reflect Fundamental Values...
...2 3 In the current environment, then, regional free-trade associations like Mercosur (Brazil, Argentina, Uruguay and Paraguay), the Andean Pact (Colombia, Bolivia, Venezuela, Peru and Ecuador), Caricom (12 Caribbean countries), and the Central American Common Market can only be seen as preparations for eventual integration with NAFTA...
...1 " VOL XXVI, No 5 MAY 1993 25REPORT ON US POLICY Of course, this dogma, Robinson acknowledged, had "solid interests behind it"-the imperial-corporate classes of Britain in the nineteenth century and the United States in the mid-twentieth century...
...Hammonds is not the only ex-Bush official welcome in the Clinton camp...
...6 Behind that notion of democracy, which assumes away all of life's interesting questions, lies an apology for Pinochet and d'Aubisson...
...and are more environmentally responsible (news to residents of Bhopal and readers of Summers' memorandum...
...The countries that do not make themselves more attractive will not get investors' attention...
...More specifically, the policies that allow for such movements go much further in integrating national economies and regulatory systems than policies designed to support intraregional trade, since adjusting to a regional production system implies harmonizing...a wide range of fiscal, monetary, and industrial policies among member countries....19 Though the initial impetus to inte,wages in gration may come from government le industry policies, once momentum develops, TNCs often take the lead...
...the true TNC was only a toddler...
...Much of this "trade" is the transborder migration that goes on within TNCs...
...sovereign nations with discrete interests engage in trade, from which all parties can gain if rules are transparent and playing fields level...
...in the words of the World Bank study cited earlier, "An international treaty with a large and rich neighbor is much harder to repudiate than national legislation...
...David Obey, a liberal Wisconsin Congressman...
...Capital flows, for example, are largely a oneway street...
...The core of these reforms was a commitment on the part of the debtor countries to reduce the role of the public sector as a vehicle for economic and social development and rely more on market forces and private enterprise, domestic and foreign...
...plants, but pay their Mexican workers only 6% as much as their Northern counterparts...
...Quoted in John Cavanagh and John Gershman, "'Free-Trade Fiasco," The Progressive, February 1992, p. 32...
...Similarly, East Asian affiliates of Japanese firms ship a quarter of their exports to parent companies in Japan and buy from them more than a third of their imports...
...In many countries, a generation of radical leadership was literally slaughtered-disappearances in Argentina and Chile, death squads in Central America-giving Feinbergstyle democracy free reign...
...In an earlier day, Ricardo himself thought cross-border capital flows would never account for much, as this quaint passage shows: Experience, however, shows that the fancied or real insecurity of capital, when not under the immediate control of its owner, together with the natural disinclination which every man has to quit the country of his birth and connections, and intrust himself, with all his habits fixed, to a strange government and new laws, check the emigration of capital...
...political life, some things transcend party affiliation, among them a deep faith in the more-or-less free flow of capital and goods across borders and a belief that money is the measure of all things...
...inition of "democracy" is: "If a society fundamentally disagrees on fundamental issues-the nature of property and what constitutes a legitimate political system-democracy can't handle it...
...To explain the geography of the evolving TNC-dominated world, Hymer cited the three-level model of corporate management developed by Alfred Chandler and Fritz Redlich...
...But does a new administration in Washington mean a substantially new orientation towards trade and development...
...VOL XXVI, NO 5 MAY 1993 23REPORT ON US POLICY The publication of the memo provoked an appropriate storm of outrage, and demands for Summers' resignation, which were ignored...
...trade is between foreign affiliates and their U.S.-based parents...
...Ironically, though born in London, Ricardo was of Dutch origins, and he was educated in Holland...
...2 2 Such numbers suggest dependency more than mutuality...
...North American integration, too, has been led by TNCs...
...for U.S...
...and much of his academic work has been devoted to showing that financial markets are not the rational, efficient places that Chicago school economists say they are...
...1 0 There is plenty wrong with Ricardo's argument even on his own terms...
...Walter Russell Mead, The Low-Wage Challenge to Global Growth (Washington, D.C.: Economic Policy Institute, February 1991), p. 15...
...trade partners than the Bush Administration did in the interests of opening up markets-though Europe and Japan probably have more to fear from this than Latin America and the rest of the South...
...For Britain to try to make wine would be a waste of time and money (and probably an offense to the palate as well), as would Portugal's attempts to make cloth...
...World Bank, 1992), p. 12...
...in 1991, it was 72.5...
...Democratic leaders, he says, are less likely to make war (assuming the United States is a democracy, this will be news to citizens of Vietnam, Nicaragua, and Iraq), less likely to build weapons of mass destruction (meaning, one wonders, that the United States, Britain, France, and Israel are not democracies...
...In a world where critical investment decisions are made by transnational corporations (TNCs), how far can popular sovereignty really extend...
...election was a repudiation of Reaganomics, and it was...
...Level I is top management, which plans the whole corporation's strategic goals...
...But Hammonds does not blame foreigners for all the country's problems...
...And Portugal's lack of access to British weaving equipment had nothing to do with geographical accident...
...firms...
...The argument for free trade has hardly changed, except for a pseudo-scientific overlay of mathematics, since David Ricardo laid it out in 1817...
...World Bank, Global Economic Prospects and the Developing Countries (Washington: World Bank, April 1992), p. 33...
...2 0 riad-driven integration is quite hierarchical...
...Challenges to those forces will not come from the White House...
...In a section wittily titled "Nuggets," Summers suggested that the Third World, especially Africa, was "vastly under-polluted," and that the Bank should be encouraging "more migration of the dirty industry to the LDCs [less-developed countries...
...1 (Washington, D.C.: International Monetary Fund, 1992), p. 94...
...For examto fall to ple, European integration was led by politicians and bureaucrats in the 1950s, but the movement towards a single market in the 1980s was pushed by TNCs...
...The TNC-distinguished by the global organization of production-didn't really emerge until after World War II...
...trade performance would be improved by a domestic industrial policy, and that too often anti-dumping moves and other aggressive trade gestures are inadequate, belated responses to home-grown failings...
...Europe trades largely with itself, the United States, Japan, Eastern Europe, and Africa...
...Import substitution was dropped, state enterprises privatized, and borders made porous to foreign investment...
...Though companies first invested abroad to seek oligopolistic advantages over their competitors, often wiping out local producers in the process, any reduction of competition in the early stages of transnationalization has since given way to a more intense, now global, competition...
...In 1991, Mexico accounted for only 0.1% of the total foreign direct investment (FDI) in the United States...
...policy A man leaving f can be gleaned from their writings...
...It's usually said that the U.S...
...1 6 In the light of these intrafirm relations, which hardly deserve the name "trade," Ricardo's doctrine of comparative advantage should be pronounced dead...
...These feelings, which I should be sorry to see weakened, induce most men of property to be satisfied with a low rate of profits in their own country, rather than seek a more advantageous employment for their wealth in foreign nations.12 Obviously, today's business cosmopolitans are a long way from Ricardo's sentimental patriots, and today's transnational corporation a long way from Ricardo's national firm...
...Each country enjoys full employment...
...2 Vor XXVI, No 5 MAY 1993 23 Doug Henwood is the editor of the Left Business Observer...
...Journal of Finance 41 (1986), pp...
...Dismissing both the cynical realpolitik of Bush, Nixon and Kissinger, and the nationalism of Ross Perot, Marshall promotes instead a new vision of "U.S...
...and actual experience with regional agreements in Latin America and Africa have been disappointing, even "harmful...
...TNCs, however, their hunting grounds will only grow...
...In the second of two chapters of Mandate for Change devoted to international matters, D. Holly Hammonds, now of PPI but formerly of the Reagan and Bush administrations (where she served as a NAFTA negotiator), argued for a more "muscular" trade policy, one that concentrates more on "winning...
...In a box titled "Environmental damage--why does it matter," the Bank observed that while "many people believe" that nonhuman organisms have "intrinsic value" as de from their use to humans, such value is not measurable...
...The transformation of the Centre came on "orders from the top," in the words of a CTC staff member-the Bush White House...
...It forced the end afforded an to "bankrupt" i....,.1...
...14-21...
...shirtmakers are slightly less than twice as productive as their colleagues in NACLA REPORT ON THE AMERICAS 26REPORT ON US POLICY Bangladesh, but their wages are 17 times as high...
...By contrast, Mexico's share of U.S...
...As the TCMD notes: rtmakers ly less than )roductive olleagues Idesh, but ages are as high...
...So much for Ricardo's notion that capitalists' patriotism would act as a brake on foreign investment...
...There is no migration of labor and no international investment, however great the differences in the level of profits in different countries may be...
...much of the work in joining the Mexican and U.S...
...olitical democracy, Marshall argues, produces nicer countries...
...2 6 As the political leader of the top country of Level I, President Clinton is not likely to do anything to upset either the solidarity among the Triad, or the hierarchy among the levels...
...Summers became famous when a memo he wrote commenting on a draft of the 1992 World Development Report (WDR) was leaked to the press...
...its trade with the United States rose from 63.9% of total trade in 1980 to 69.2% in 1991...
...5 Such contradictions arise because this concept of democracy-one of "individual rights, market economies, the rule of law, and popular sovereignty," in Marshall's words-is highly selective and inseparable from free-market ideology...
...The problem with the arguments against...these proposals for more pollution in LDCs (intrinsic rights to certain goods, moral reasons, social concerns, lack of adequate markets, etc...
...before joining the Bush Administration, Yerxa was a Democratic Congressional staffer...
...Level II, which appeared when corporations grew enough that the head office would be separated from the field office, manages the managers of Level III...
...Yet prescriptions for policy were drawn from it, with great confidence, to apply to a world which by no means conformed to the assumptions...
...textile industry would have to fall to $0.45 an hour...
...But unlike popular theories of trade blocs, which focus on divisions among the major powers, the TCMD points to the deep ties cemented by TNC investments among the three poles of the Triad...
...Canada also experienced a more Mexico-like increase...
...penalties for breaking an agreement with a small developing country are small relative to Copper miners from Centromin breaking an agreement pany, in Morococha, Peru...
...sored research group, declared that "intrafirm trade is an integral part of the Canadian economy, and is one of the main links between the Canadian and U.S...
...Options facing Third World countries were expressed in homey form by David Mulford, Bush's Undersecretary of the Treasury for International Affairs...
...Computed from figures in IMF, Direction of Trade Statistics Yearbook, various issues...
...economies was accomplished in the 1980s before anyone had ever heard of NAFTA...
...Desperate Southern governments had little choice but to yield to Northern bankers and bureaucrats...
...Similarly, studies by Harley Shaiken show U.S.-owned plants in Mexico are 85% as productive as U.S...
...political life, some things transcend party affiliation, among them a deep faith in the more-or-less free flow of capital and goods across borders and a belief that money is the universal metric...
...national develunparalleled oapportunLity to achieve the structural reforms favored by the Reagan Administration...
...In 1982, 47% of Singapore's exports were by U.S.-owned firms...
...There may be a change of tone and style-some pretty codicils on environmental protection and labor rights draped over NAFTA, the new emphasis on "democracy"-but some forces are larger than personnel and political party...
...e payment "to l wcrkpr y :ti re n Regional production integration goes beyond trade integration and extends to the liberalization of barriers to crossborder flows of capital, technology, skills, and to some extent, people...
...General Accounting Office, North American Free Trade Agreement: U.S.-Mexican Trade and Investment Data (GAO/GGD-92-131, September 1992), pp...
...If people agree on what constitutes good politics and good economics, the preconditions for democracy are in place...
...Sw with a large industrial tions" will continue to prolifern country...
...Probably not...
...According to theory, wages are low in poor countries because output per hour worked is commensurably low...
...1 7 In the To equaliz 1991 and 1992 editions of its World according Investment Report, the TCMD argued that TNC investment patterns productivil were increasingly driving the evolu- the U.S...
...I think the economic logic behind dumping a load of toxic waste in the lowest-wage country is impeccable and we should face up to that," he declared...
...81-105...
...After noting that TNCs had shifted "labor intensive stages of production" to Third World sites, the anonymous authors continued (internal references omitted): By the early 1980s, intrafirm trade within the largest 350 transnational corporations (TNCs) contributed about 40% of global trade...
...and atshops, mines and planta- Level I, because of e in Third World countries, their need to work closely with financial markets, media, and government, in or near global cities like New York, Tokyo and London...
...8. William Ryrie, "Latin America: A Changing Region," IFC Investment Review, Spring 1992, pp...
...Ambitious locals can be promoted to Level II, but they are almost never seen in Level I positions, which are reserved for natives of the metropolitan countries...
...The PPI is the think tank for the Democratic Leadership Council, the business-sponsored clique of conservative Democrats that Clinton helped found and which he led from 1990 to 1991...
...7. Jerome i. Levinson, "New Proposals for the Debt Crisis," in Robert C. Effros, ed., Current Legal Issues Affecting Central Banks, Vol...
...This is a central argument of Reich's The Work of Nations (New York: Alfred A. Knopf, 1991), a book whose epigraph comes from one of Ronald Reagan's heroes, Calvin Coolidge-an example of bipartisanship across the decades...
...Impeccable Logic: Trade, Development and Free Markets in the Clinton Era...
...At the same time there is perfect mobility and adaptability of factors of production within each country...
...interview with Friedman, Forbes, August 17, 1992, p. 42 (an article the magazine thought worthy of a press release...
...9. D. Holly Hammonds, "Strategic Success in the Global Economy," in Marshall and Schram, Mandate for Change, pp...
...Laffer endorsement reported in Alan McConagha, "Inside the Beltway," Washington Times, September 18, 1992, p. A6...
...j...
...trade economist of the World Bank, as Undersecretary of the Treasury for International Affairs-the U.S...
...201-202...
...they can be hired cheaply, and their familiarity with local customs are good for business...
...Level III is the lowest level, the day-to-day management of the firm...
...A remark by the National Security Council's Richard Feinberg illuminates how constricted this defor work in Juarez, Mexico...
...Only two of Mandate's 14 chapters are devoted to international affairs, a measure of the inwardness of Clinton's agenda...
...An Interpretive Summary of a Conference (Washington, D.C...
...102-112...
...7 Levinson's analysis is seconded by Sir William Ryrie, executive vice president of the International Finance Corporation, the World Bank's private-sector arm...
...While easy access to commercial bank loans in the 1970s and early 1980s allowed countries some freedom in designing their economic policies (much of it misused, much of it not), the outbreak of the debt crisis in 1982 changed everything...
...Treasury staff...the debt crisis afforded an unparalleled opportunity to achieve, in the debtor countries, the structural reforms favored by the Reagan Administration...
...Stephen A. Hymer, The Multinational Corporation: A Radical Approach (Cambridge and New York: Cambridge University Press, 1979), pp...
...trade rose from 5.9% to 7.0% over the same period...
...She has to go out, have her hair done up, wear makeup...
Vol. 26 • May 1993 • No. 5
