Debate Draws Distinctions in Candidates' Trade Policies

[papau]

http://www.washingtonpost.com/wp-dyn/articles/A6661-2004Sep8.html

Debate Draws Distinctions in Candidates' Trade Policies

By Paul Blustein
Washington Post Staff Writer
Thursday, September 9, 2004; Page E01


The differences between President Bush and Democratic challenger John F. Kerry over trade policy have been relatively muted, at least compared with hot-button topics such as tax cuts and Iraq. But that didn't stop the two protagonists at a "Bush-Kerry trade debate" yesterday from underscoring distinctions between their candidates on issues that included outsourcing, Chinese currency policy and a proposed Central American Free Trade Agreement.

Clayton Yeutter, a former U.S. trade representative who served as unofficial surrogate for Bush, took a strongly free-trade stance. He was particularly outspoken on outsourcing, asserting that the shift of service jobs overseas "makes genuine sense as any economist knows," because it increases efficiency and productivity.

Lael Brainard, a Kerry trade adviser who represented the Democratic candidate, attacked such arguments as insensitive to the interests of U.S. workers -- though in keeping with Kerry's position, the changes in trade policy she urged were far from radical. Highlighting Kerry's proposal to change tax laws so U.S. companies have less incentive to move operations abroad, Brainard said, "John Kerry doesn't want to end outsourcing. But he does want to end the kind of outsourcing that results from distortions in the tax code."

So it went at the debate, which was held at a downtown hotel under the auspices of two pro-trade groups, the Consumers for World Trade and the WIIT Charitable Trust. Since Kerry has generally voted in favor of free trade during his Senate career, Brainard's criticisms of Bush mainly involved complaints that the administration hasn't championed U.S. economic interests aggressively enough.<snip>