The move by some American legislators to adopt a “buy America” strategy for their multi-multi-billion buy-out package is understandable. After all, if they’re going to invest up to a trillion of their dollars, do they really want the money to wash overseas? The critics inevitably cry “protectionism” – and point to dire warnings of a “trade war” that would take an already sick global economy and send it even further down.
Truth is – policy and politics is never as black and white as the ideologues insist. Local procurement strategies are a necessary and important tool in local policies. For environmental, energy and other reasons, a food procurement policy for City of Toronto agencies that sources local produce is a great idea. Similarly, the announcement by the Ontario government as part of its poverty reduction strategy in early December that it would review its procurement strategies to give a preference to social enterprises (such as those owned, operated or that employ low-income people) is terrific news.
The unrestrained trade advocates say that nothing – not equity, the environment, local economic development, health or any other concerns – should be allowed to interfere with the sacred flow of goods and services. These same advocates usually are deeply opposed to the free flow of people (they almost always demand ever tighter immigration rules).
If there’s anything that the collapse of the financial sector, which has pulled down much of the real economy, has taught us it is that we need to pay attention to not just one bottom line (return on investment), but also pay attention to health, social, environmental and equity concerns.
The hysterical and over-blown corporate gang-up on the Obama administration in recent days, aided and abetted by their friends in governments around the world, is entirely expected. Martin Luther King said four decades ago that every revolution brings an inevitable counter-revolution. Barack Obama’s revolution of hope is already being followed by an almighty howl from those who don’t want to lose control of the economy.
It’s entirely predictable.
