Americas Policy Program

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Trade and Economic Integration

Americas Policy Program | September 14, 2007

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Americas Program, Center for International Policy (CIP)

ARTICLE INDEX

 

Trade and Economic Integration

The rapid integration of nations into the global economy is the hallmark of our age. Increased international trade, investment, and production chains; and global information technologies and infrastructure projects have changed our concepts of geography and of society.

Free trade agreements (FTAs) and neoliberal economic policies have increased trade and investment flows but with grave social, environmental, and developmental costs. Increased global trade and investment has spurred economic growth rates in some countries and communities, but left many others worse off than before.

Some governments have formulated criticisms of the corporate-led integration, while others have allied with business interests to extend it. Regardless of their governments' stance, citizen organizations, policy institutes, political parties, academic centers, and social movements have mobilized and joined together to protest the social, economic, and cultural impacts of free trade integration—and to propose alternative models in which the benefits are more widely shared and the costs are reduced.

By working to build North-South networks, we seek to broaden and deepen the analysis of the impact of the current economic model and enable citizens to have greater influence in defining the course of policies that affect their lives.

The Americas Policy Program does not oppose international trade and its regulation. But, along with many other organizations committed to sustainable and equitable development, we oppose the NAFTA model of free trade agreements currently being promoted by the U.S. government. These agreements lock in asymmetries between developed and developing nations, and unfairly bundle U.S. demands for stringent intellectual property laws, privileges for foreign investors, and privatization of basic services, in exchange for access to the huge U.S. market. They have also led to massive job loss in the United States by encouraging companies to move production to low-wage countries.

Activists, labor unions, and grassroots organizations now constitute an international movement to oppose corporate-led economic integration. Citizens, and increasingly policymakers, throughout the hemisphere are rethinking integration policy.

What are the alternatives? Clearly protectionism that benefits special interests is not the goal. Since the mid-1990s policy analysts and organizations in civil society have been working to develop alternative forms of economic integration that stress equitable development, cultural diversity, and environmental sustainability, over an emphasis on increased trade flows.

Most have focused on critiquing and blocking the spread of U.S.-led economic integration initiatives, such as the Free Trade Area of the Americas. Attention has also turned to analyzing the potential of new subregional trade regimes, such as the Mercosur, the Bolivarian Alternative, and the South American Community of Nations, and developing more equitable terms in multilateral trade and investment forums. There is rising interest in fair trade initiatives that directly link consumers and producers, and research into forms of integration that protect social and biological diversity. Related issues are greater state involvement in the economy and the new popular movements to retain control of public utilities such as water, telecommunications, and gas.

The Americas Policy Program works with citizen groups and organizations to move toward environmentally sustainable and socially equitable models of hemispheric economic integration. To analyze, critique, and protest policies and practices that currently threaten communities and the environments is fundamental. Also essential is the formulation of policy options and new models that match global opportunities with local and national needs.

CIP AMERICAS PROGRAM ARTICLES IN THIS AREA

PARTNER ORGANIZATIONS

United States:

AFL-CIO
http://www.aflcio.org/issues/jobseconomy/globaleconomy/tradesummit2006.cfm

Economic Policy Institute
http://www.epinet.org/

Global Exchange
http://www.globalexchange.org/

Institute for Agriculture and Trade Policy's Trade Observatory
http://www.tradeobservatory.org/

Our World Is Not For Sale
http://www.ourworldisnotforsale.org/

Public Citizen/Global Trade Watch
http://www.publiccitizen.org/trade/

Caribbean:

Caribbean Policy and Development Center (CPDC)
http://www.cpdcngo.org/

Mexico:

Centro CIEPAC
http://www.ciepac.org/

Centro de Estudios para el Cambio en el Campo Mexicano (Ceccam)
http://www.ceccam.org.mx/

Comercio Justo
http://www.comerciojusto.com.mx/

Red Mexicana de Acción Frente al Libre Comercio (RMALC)
http://www.rmalc.org.mx/

Sindicato Mexicano de Electricistas
http://www.sme.org.mx/

Unión Nacional de Organizaciones Regionales Campesinas Autónomas (UNORCA)
http://www.unorca.org.mx/

Andean:

Confederación de Nacionalidades Indígenas del Ecuador (CONAIE)
http://conaie.org/

International:

Amigos de la Tierra
http://www.tierra.org/spip/

CLAES
www.integracionsur.com

Bridges
http://www.bridges.org/

Bilaterals.org
www.bilaterals.org

Equiterre
http://www.equiterre.qc.ca/en/

Equal Exchange
http://www.equalexchange.com/

Friends of the Earth
http://www.foe.org/

Hemispheric Social Alliance
http://www.asc-hsa.org/rubrique.php3?id_rubrique=11

Oxfam
http://www.oxfam.org/

Rainforest Action Network
http://www.ran.org/

Third World Network
http://www.twnside.org.sg/

Transnational Institute
http://www.tni.org/

Via Campesina
http://www.viacampesina.org/

 


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Published by the Americas Program. Copyright © 2008. All rights reserved.

Recommended citation:
"Trade and Economic Integration," Americas Policy Program Issue Area Network (Washington, DC: Center for International Policy, September 14, 2007).

Web location:
http://americas.irc-online.org/am/4547

Production Information:
Author(s): Americas Policy Program
Editor(s): Laura Carlsen
Production: Chellee Chase-Saiz

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