Hi,
I was up till 3 am last night - listening to Tony Blair and Democrats and Republicans on C-Span channel .
Blair spoke on terrorists desire to create fight between Islam and other faiths. He overlooked the fact that ALL religions desire to create rift -- be it erstwhile Crusaders at behest of Pope -- or current evangelists in Nagaland or elsewhere ( www.persecution.net ) eager to spread their faith come what may or among Hindus ( www.hinduunity.org ) etc.
Maybe it is God's will to remind Her/His/Its presence - since in good times noone remembers God.
Before that US elected representatives to Capitol Hill - mostly Democrats spoke against Free Trade with Central American countires - in the recent Bill on CAFTA http://www3.capwiz.com/c-span/issues/bills/?billtype=H.R.&billnumb=3045&congress=109
For the first time I was seeing - LIVE - what Americans really think about globalization. They were all standing with Capitol Hill in the back ground. All were very confidently saying that a Free Trade Area would be unacceptable to ALL AMericans in US. Even the Latinos were lamenting the fact that after NAFTA - with Mexico -- about 1400 jobs moved south of the border to Mexico.
Someone quoted a Nobel Laureate Economist Samuelson (?) that outsourcing was not part of Adam Smith's model of economics and of the Theory of Comparative Advantage.
Maybe it wasn't. Maybe InterNet and globalization also weren't in the picture 200 years ago.
Someone said that women in Central American countires have to sleep in the crates of bananas - where they load them to send to US. I wonder when these Demo(n)crat senators would learn to have empathy for poor in such countries. A poor person is not be allowed to work hard and suffer today to succeed tomorrow. Abraham Lincoln would have cried to hear their double speak.
On the other hand, what is the need to open the economies - when the trade still remians unequal. When in US milk sells for $1.40 per liter (INRupee 70) about 5 times that in India - same for bananas etc -- and is supported by US tax money - for US farmers. How can any developing country farmer survive when US is the greatest rice exporter in the world - supported by subsidies.
East India Company was the first MNC in the World - which came from Britain to India in 1700s to buy spice and later to sell cloth - and ended up ruling the country.
MNCs don't help improve a country's technological development - and independence for the following reasons:
Majority of ownership (by shareholders) of subsidiary are owned by parent company,
therefore, residents dont have control over operations of company within borders.
3. Key managerial and technical positions are held by expatriates, as a result, they do not contribute in the learning by doing process of host country.
6. Concentration of research and development in home country.
9. Earn excessive profits and fees due to their goals, particularly monopoly power.
10. Dominate major industrial sector.
11. Tend to be more accountable to home country.
13. Create alliances with corrupt host country elites.
14. They recruit best personnel and managers from host at the expense of local entrepreneurs.
17. Disregard culture and social impact
therefore, residents dont have control over operations of company within borders.
3. Key managerial and technical positions are held by expatriates, as a result, they do not contribute in the learning by doing process of host country.
6. Concentration of research and development in home country.
9. Earn excessive profits and fees due to their goals, particularly monopoly power.
10. Dominate major industrial sector.
11. Tend to be more accountable to home country.
13. Create alliances with corrupt host country elites.
14. They recruit best personnel and managers from host at the expense of local entrepreneurs.
17. Disregard culture and social impact
------------------
For this reason General Motors makes cars in India but does not train Indians to make tanks or Lockheed help Indians train in Aeroplane engines of fighter planes or missiles - -- they do not have the "security clearance" -- so that ALL cutting edge tech is still in the hands of US MNCs. ALL major research work in telecom or bio tech or anything remotely linked to hi-tech and hence having use for military supremacy --- is never going to come to developing countires.
For this reason -- ALL developing countries agree to WTO and IMF rules - to open their markets -- and also agree that US or other Western nations need not open their economies.
Hey little brother - don't you need the toys to protect yourself from the global terrorists - who now can get all this stuff illegally. Govts have to purchase this stuff legally from developed nations.
Safety and security reign supreme. To protect our citizens we would not mind unequal trade favoring the West!!!
I think this logic is easily acceptable by politicians of all ilks in India and entire Third world.
Otherwise who needs Sheraton Hotels in Jaipur or Mercedes cars in Indian villages or Monsanto seeds in Bihar or Wal Mart in Delhi or Wall Street Journal or Cosmopolitan in India.
But if you want our F-16s or Mirage planes - you must accept our terms and accept these companies. Ofcourse we would also sell our rice to you also - grown on US taxpayers's money!! -- to make farmers commit suicide in India - who have nothing left to do.
Ofocurse there are very good reasons for global business - such as the service sector . Indian post offices and banks have improved improved no end after Western ones came in.
But India should be discrete in accepting suitors and not behave like a poor and desperate whore ready to satisfy its client (Western economy) any manner that pleases the client.
I guess many educated folks in the Asian countries do not speak out against terroristism against West - becos - at some level they too are in tune with the unequal globalization's impact on them - they see their jobs being taken away in a silent war - where attacks are made on them economically - thru advent of WalMArt or economic sanctions.
Just as when Babari Masjid was demolished there were few supporters before for Ram Janmabhoomi - but later nearly ALL Hindus voted BJP to power. Silently, most Hindus had felt oppressed by this symbol of Muslim autrocities agianst their ancestors.
Shouldn't Western nations also take into account the resentment which would accompany when they very blusteringly oppose free trade . Maybe Westerners should accept the fact they might face terror attacks in most of the world (since most of the world is poor) --and stop travelling there.
There would be some price to the vision of Henry Kissinger who famously is supposed to have have said : " US has 2% of the world's population and uses 50% of the World's resources. Our policy is to keep it that way!!!"
Maybe many US Democrats have already decided to teach their kids that the world ends - where rich countries borders end. Why not go on from CAFTA to AAFTA or MEAFTA -- ie Asia AMerica Free Trade Area or Middle East America FTA? Why not include a Muslim nation or India into a FTA?
Umesh
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