Wednesday, May 06, 2009

We Like Capitalism Again

Capitalism has been taking a beating in the last several months. As Obamanomics begins to take shape, free trade is starting to look better to Americans.

Investors Business Daily writes that free trade is making a comeback,

Last July, the outlook was absolutely bleak for free trade. As a recession hit in 2008 and imports posted the steepest drop since 1942, the American public looked as if it were hibernating from world engagement. A CNN/Opinion Research Corp. poll then showed 51% of Americans saw foreign trade as an economic "threat." Radical activists and big labor unions, both foes of free trade, couldn't stop crowing.

Things have changed. A CNN/Opinion Research poll conducted April 14-21 found that free-trade deals between the U.S. and other countries are now seen as "a good thing," by a margin of 44-35.

It follows a CBS News/New York Times poll conducted April 1-5 showing a 66% approval of trade with other countries as good for the U.S., rising eight percentage points in just one month. The CNN April polls used a large sample of 3,013 adults.

The highest rise in pro-free-trade sentiment was among blacks, whose opinion of free trade rose an astounding 17 points over 2008, from 30% favorable to 47% favorable.

The administration began its shift in March. At the time, IBD reported a subtle but significant shift in Obama administration sentiment at an Inter-American Development Bank conference in Medellin, Colombia. It became more obvious at the Summit of the Americas in Trinidad in April, where Obama ordered his staff to find a way to get the pending treaty with Colombia through.

It's clear Obama now recognizes that free trade is a major way to push an economy out of recession.

But to get there, experts warn Obama will have to confront special interest groups, like labor, to get the pact through.
But that's what the American public does - love our trade when things are great and hate it when times are tough. We are a fickle lot.

The life of Indigo Red is full of adventure. Tune in next time for the Further Adventures of Indigo Red.

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