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The United States has long advocated free trade as the economic policy of choice. Most Americans accept it fairly blindly without a good understanding of the real meaning of it, how it is supposed to work or if it is working. Economist Ian Fletcher demystifies free trade in a way that anyone can understand.

There is an inherent flaw in economic theory in that it endeavors to be scientific and without emotion. However, people are not always the most logical of beings and certainly are not unemotional. Marketing 101 tells you that people make purchases based on emotions more often than logic. One only has to watch commercials on television to know that is true.

What you see in free trade is that people who are more concerned with short-term consumption, i. E., Americans, are free to do so. In doing so, they continue to go into debt both as individuals and as a nation. However, free trade is considered to be working because they are getting what they want.

Nations who produce goods that are purchased in the United States, many in Asia, do so at a cost far lower than American companies can. One reason for this is that the wages are abysmally low which further means that these workers cannot purchase American goods. An enormous imbalance arises with more dollars flowing out of the United States in trade than are flowing back in.

Some of these countries, China for one, also let the United States borrow great amounts of money. Their choice in the free trade model is for long-term gains rather than short-term spending so they prefer having the American debt. Where the model will fall down, however, is when the U. S. Can no longer borrow or when they cannot repay.

To really understand how free trade is currently operating in the world, especially regarding the U. S., one needs to read Ian Fletcher. Your economic assumptions may be challenged. But the economic assumptions of economists are challenged right along with yours.

To find out the latest information thats regarding Economist Ian Fletcher, you should search the Internet for information. Many websites will give you the latest on his ideas and whats going on. Http://www.freetradedoesntwork.com/

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