From the nation-building of Alexander Hamilton to the trade wars of Donald Trump, trade policy has been a key instrument of American power and wealth. The open trading system that the United States sponsored after the Second World War serves US interests by promoting cooperation and prosperity, but also allows the allies to become more independent and China to rise. The case studies in Trade and American Leadership examine how the value of preferential trade programs is undercut by the multilateral liberalization that the United States promoted for generations, and how trade sanctions tend either to be too economically costly to impose or too modest to matter. These problems are exacerbated by a domestic political system in which the gains from trade are unevenly distributed, power is fragmented, and strategies are easily undermined. Trade and American Leadership places special emphasis on today's challenges, and the rising danger of economic nationalism.
The publication reviews the present status and future prospects between the United States and the Latin American and Caribbean region. It examines the trade-policy making environment in the United States, and reviews pending and potential initiatives that might directly or indirectly affect the trade interest of the region. The study draws attention to four points: a relatively low priority of the current US administration to trade policy, consequences that may arise due to lack of importance, unaddressed agreements and programmes from the previous US administration, and the pressing need for the current administration to announce its objectives and timetable on the Doha Development Agenda (DDA) and the Trade Promotion Authority (TPA).
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