bad samaritans: the myth of free trade and the secret history capitalism

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Natalia Cabrera Losada Control de lectura: 3 Facultad de Comunicación Pontificia Universidad Javeriana 1. Bibliografía: Chang, H.J (2007), Bad Samaritans: the myth of free trade and the secret history capitalism, Editorial Bloomsbury Press, 2007. 2. Tesis Principal (Capítulo 3: “My six year old son should get a job) “Industries in developing countries will not survive if they are exposed to international competition too early. They need time to improve their capabilities by mastering advanced technologies and building effective organizations.” 1 Argumentos: “the protection I provide to Jin- Gyu (as the infant industry argument itself says) should not be used to shelter him from competition forever. Making him work at the age of six is wrong, but so is subsidizing him at the age of 40.” Pg. 66 “he only needs protection while accumulating the capabilities to take on a satisfying and well-paid job.” Pg. 66 “Unilateral trade liberalization is not a “concession” or a “sacrifice” that one should be compensate for. It is an act of enlightened self-interest.” Pg. 67 1 Chang, 2007, Pg. 66

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Industries in developing countries will not survive if they are exposed to international competition too early. They need time to improve their capabilities by mastering advanced technologies and building effective organizations.

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Natalia Cabrera Losada Control de lectura: 3Facultad de ComunicacinPontifcia Universidad Javeriana1. Bibliogra!a:Chang, H.J (2007), Bad Samaritans: the myth of free trade and the secrethistory capitalism, Editorial Bloomsbury Press, 2007.". #esis Princi$al %Ca$!tulo 3: &'( si) (ear old son s*ould get a +ob,ndustries in de!elo"ing #ountries $ill not sur!i!e i% they are e&"osed tointernational #om"etitiontooearly. 'heyneedtimetoim"ro!etheir#a"abilities by mastering ad!an#ed te#hnologies and building e(e#ti!eorgani)ations.*+-rgumentos: the "rote#tion"ro!ide to Jin, -yu (as the in%ant industry argumentitsel% says) should not be used to shelter him %rom #om"etition %ore!er..a/ing him $or/ at the age o% si& is $rong, but so is subsidi)ing him atthe age o% 00.* Pg. 11 he only needs "rote#tion $hile a##umulating the #a"abilities to ta/e ona satis%ying and $ell,"aid 2ob.* Pg. 11 3nilateral trade liberali)ation is not a #on#ession* or a sa#ri4#e* thatone should be #om"ensate %or. t is an a#t o% enlightened sel%,interest.*Pg. 17 Based on su#h #on!i#tions, the bad 5amaritans ha!e done their utmostto"ushde!elo"ing#ountriesinto%reetrade,or, atleast, mu#h%reertrade. Pg. 17 nthe!oryCoast, %ollo$ingtari(s#uto% 006in+781, the#hemi#alte&tile, shoe and automobile industries !irtually #olla"sed.3nem"loyment soared.* Pg 18 'rade liberali)ation has #reated other "roblems, too. t has in#reased the"ressures on go!ernment budgets, as it redu#es the tari( re!enues. 'hishas been "arti#ularly serious "roblem %or the "oorer #ountries.* Pg. 17+ Chang, 2007, Pg. 11 9allingre!enuemeant se!er #utsins"ending, o%teneatinginto!italareas li/e edu#ation, health and "hysi#al in%rastru#tures, damaging longterm gro$th.* Pg. 173. #esis secundaria &Poor t*eor(. $oor results/: :##ording to %ree trade theory, be it ;i#ardian or the Hasset stri""ing>.* Pg. 7+ 'his is $hy go!ernments ha!e tried to magni%y them by im"osing"er%orman#es reCuiremnets @ regarding %or e&am"le, te#hnologytrans%er, lo#al #ontents or e&"orts.* Pg. 7+0 Chang, 2007, Pg. 88 :n entry by a 'FC through 9H #an destroy e&isting national4rmsthat#ouldha!e>gro$nu">intosu##ess%ul o"erations$ithoutthis"remature e&"osure to #om"etition, or it #an "re,em"t theemergen#e o% domesti# #om"etitors.* Pg. 7+4. #esis secundaria1 &5s oreign ca$ital essential6/:n addition to its stability, %oreign dire#t in!estment is thought to bring innot 2ust money but a lot o% other things that hel" e#onomi# de!elo"ment.*B -rgumentos: t im"ro!es e#onomi# e=#ien#y by allo$ing #a"ital to Go$into"ro2e#ts $ith the highest "ossible returns on a global s#ale.* Pg. 8B 9oreign dire#t in!estment is a sour#e o% e&tra #a"ital, a #ontribution toa healthy e&ternal balan#e, a basis %or in#reased "rodu#ti!ity, additionalem"loyment, e(e#ti!e #om"etition, rational "rodu#tion, te#hnologytrans%er, and a sour#e o% managerial /no$ho$.* Pg. 88 9H is stable, unli/e other %orms o% %oreign #a"ital inGo$s. .oreo!er, itbrings not 2ust money but also enhan#es the host #ountry>s "rodu#ti!e#a"abilities by bringing in more ad!an#ed organi)ation, s/ills andte#hnology.* Pg. 88 But a lot o% %oreign dire#t in!estment is made by %oreigners buying intoan e&isting lo#al #om"any, or Bro$n4eld in!estment* Pg. 70 Bro$n4eld in!estment #an lead to an in#rease in "rodu#ti!e#a"abilities. 'hisisbe#auseit #anbring$ithit ane$managementte#hniCues or higher Cuality engineers* Pg.707. #esis terciaria1 &'ore dangerous t*an militar( $o2er/:'he reader may 4nd it hard to belie!e that ban/er>s maga)ine "ublished in:meri#a #ould be so hostile to %oreign in!estors*1-rgumentos: % $e ha!e a ban/A it should be "urely :meri#an*Pg. 7? the 35 %ederal go!ernment strongly regulate %oreign in!estment. Fon,resident shareholders #ould not !ote and only :meri#an #iti)ens #ouldbe#ome dire#tors in a national ban/.* Pg. 7?B Chang, 2007, Pg. 881 Chang, 2007, Pg. 72 'he +887 %ederal :lien Pro"erty :#t "rohibited the o$nershi" o% land byaliens @ or by #om"anies more than 206 o$ned aliens.* Pg. 7? Hes"ite its e&tensi!e, and o%ten stri#t, #ontrols on %oreign in!estment,the 35 $as the largest re#i"ient o% %oreign in!estment throughout the70th #entury and the early 20th #entury.* Pg.708. 9ec*os 5m$ortantes: +700I .9 (nternational .onetary 9und) %ue %ormado en la #on%eren#iade Bretton Joods, y se "uso en "rK#ti#a en +70B #on 27 "aLses #omomiembros. +782I third$orlddebt#risisI esta#risis, seen%o#aaMatino:meri#adonde su deuda e&tran2era su"era las ganan#ias, "or lo Cue se !ieronim"osibilitados a "agarlas. +788I El a#uerdodelibre#omer#io('MC) %ueuna#uerdo#omer#ial4rmado "or CKnada y los Estados 3nidos el 0 de o#tubre de +788. +770I 9inlandia !i!La un N&ito de integra#iOn global, su "rodu#to Fo/iaentro al hall de la %ama de #aso globali)dos. +770@2002I El -HP, "rodu#tointernobrutode.N&i#o, aumentOel+.86 "or aPo. 200?I se "lantea la "ro"uesta de F:.: (non agri#ultural mar/et a##es):. ;ocabulario desconocido: Co#ooningI lo Cue en!uel!e a las orugas, "rotegiNndolos mientras sedesarrollan en una mari"osa. 5a!!yI una manera de entender Ha$/erI Qendedor ambulante 9aginI "uedeentenderse#omouna"ersonaCueleensePa#Omoha#er#rLmenes a otros. CossetI mimar eesi!amente a alguien o ser muy indulgente. Painsta/inglyI reali)ar algo meti#ulosamente. ;e!enueI losingresosdel gobiernoCuesondestinados"aralosgastos"Rbli#os. Endo$mentsI las "ro"iedades o los %ondos Cue "ertene#en a una "ersona. .illI una%Kbri#aes"e#ial "ara#ierta#lasedemateriales#omoel metal#omo el metal. PoignantlyI sentimiento agudo Cue "uede #ausar triste)a. Com"ensation Prin#i"leI es un "rin#i"io Cue trata de res"onder a la #uestiOndesi losganadoresenundeterminado#ambio"ueden#om"ensaralos"erdedoresyademKsme2orar alae#onomLa. Ma#om"ensa#iOn"ermiteado"tar una de#isiOn e#onOmi#a #uyo !alor en tNrminos de aumentode rentana#ional essu"erioralaCuesehabrLa"rodu#idosi nohubiera#om"ensa#iOn. Jel%areI la asisten#ia Cue "resta el gobierno a las "ersonas Cue lone#esiten. -rantsI a#e"tar o tener #onsentimiento %rente a un argumento. 'urmoilI Estado de #onmo#iOn, desorden y desosiego. 5hareholdersI Poseedor de una o !arias a##iones de una em"resa. ';P5I ('rade, related ntelle#tual Pro"erty ;ights)is an internationalagreementadministeredbythe Jorld'rade