Constructing free trade: from Manchester boosterism to global management

The free trade doctrine, now global common knowledge, has followed a complex spatio-temporal path of knowledge production from its origins in Manchester at the turn of the nineteenth century. While grounded in normative and cognitive claims, its transformation from local self-interest to global doctrine was a result of the scale-jumping tactics of the Anti-Corn Law League, combined with the popularity in Western Europe of private property liberalism and the hegemonic global positionality of early nineteenth-century Britain. Corn Law repeal in 1846 in London was constructed as the point in space–time where doctrine became practice, and Britain's subsequent prosperity was seen as proof of its validity. After 1880, except in Britain until 1914 and the colonies, performance belied the doctrine as progressive liberalism became influential, and import-substituting industrialization an effective catch-up strategy, for other nations. The free trade doctrine was reasserted, however, with the emergence of US hegemony, as a rationale for breaking up non-US colonial preference systems and, more recently, neoliberalism. The free trade doctrine is now performed routinely under the auspices of the World Trade Organization. Nevertheless, it remains a local epistemology, whose truth-like status is kept insulated from rigorous challenge by alternative epistemologies and practices.     

Cultural diversity and free trade: the case of the EU-Canada agreement

This article examines the role assigned to culture in general and to cultural industries and diversity in particular by the Canada-EU Comprehensive Economic Trade Agreement (CETA). Although it pursues further economic liberalization, the arrangement is about much more than trade: its preamble, for instance, contains a reference to the 2005 UNESCO Convention on the Diversity of Cultural Expressions. Nevertheless, the text lacks a general exception clause protecting culture. This paper examines the consolidated CETA text from the perspective of political economy to clarify to what extent this is an opportunity to reconcile rules of free trade with cultural policies aiming to protect and promote the diversity of cultural expressions, especially when the latter derive from cultural industries in both analogue and digital scenarios.     

The business case for a free trade agreement between the European Union and Australia

ABSTRACT

The free trade agreement (FTA) between Australia and the European Union holds the promise of strengthened political collaboration and increasing economic integration. Both Australia and the European Union note increasing bilateral trade and investment. Oftentimes, data does not take current trends in global-value-chain participation for intermediary goods and services movements into account. Behind this sit the cross-border strategies and activities of business entities, whether multinationals or large, small or medium-sized enterprises. This article provides an in-depth investigation of the premise stemming from an FTA for Australian business. What advantages can politics hope to support through a business perspective? What is the global-value-chain part of the story, and what are the business challenges ahead? How can economic policy help shape this FTA to foster a productive bilateral business environment in a geopolitical and geoeconomic context in which regionalisation has taken on new momentum? Specific focus is given to the analysis of the higher education sector and to agriculture. These are two of the leading sectors in this FTA debate. Generating business value means setting negotiation agendas to target tariff and non-tariff barriers to counterbalance ambiguity in the conditions that shape the global business environment.     

Tiwanaku trade patterns in southern Peru

This paper provides data and analysis from an intensive settlement survey in the southwestern Titicaca Basin. This research was designed to assess the nature of Tiwanaku (AD 600–1100) long-distance trade. The survey area was placed between the prehistoric urban capital of Tiwanaku and its primary colony in Moquegua, a valley located on the Pacific watershed approximately 325 km away. The survey was specifically placed in an area where GIS analysis indicated a least-cost transit route between Tiwanaku and Moquegua. Field adjustments to the survey area were made based upon informant data about the historic location of caravan routes. The results of the survey indicate that there is a light but virtually continuous string of Tiwanaku occupation along the trails and roads in the area sampled between Tiwanaku and Moquegua. However, in contrast to the later Inca (AD 1450–1532) period pattern, Tiwanaku did not maintain way stations or build any kind of formal road system. The data indicate that Tiwanaku had indeed relied upon camelid caravans utilizing the least-cost pathways, but it did so in a more decentralized and informal way than the later Inca state.     

Australia's trade policy dilemmas

In recent years, Australia has had a very active agenda for the negotiation of preferential trade agreements (PTAs) whose net economic benefits remain at best unclear. There has been a strong defensive element to some of this PTA activity but the Howard government also used PTAs to pursue non-economic objectives, such as the promotion of foreign policy and security interests. This article broadly outlines Australia's PTA policy and the problems and dilemmas that it has generated. More importantly, it looks ahead to consider likely scenarios for trade policy under the Rudd Labor government. Each of these scenarios has different implications for policy strategies and outcomes. This article concludes that while there could be significant pay-offs should Labor choose to pursue its traditional preferences for non-discriminatory trade arrangements, the world has changed considerably since the heydays of the multilateral trade system. A commitment to reinvigorating multilateralism will require strong political leadership, imaginative thinking, and creative diplomacy.     

Coins and trade in early medieval Italy

This paper is an analysis of monetary circulation in early medieval Italy in the period c.600–900. Using a dual comparison – first, of the level of currency use as against ceramics within Italy, and second, of the pattern of Italian coin use, and economic activity more generally, with that north of the Alps – this paper presents examples that shed light on patterns of change and discontinuity.     

Reading trade in the wealth of nations

Economic analysis identifies comparative, rather than absolute, advantage as the basis of international trade, a distinction first thought to have been clearly made by David Ricardo in his Principles of Political Economy and Taxation (1817). Adam Smith's Wealth of Nations (1776) is thought to have failed to make this distinction, instead treating foreign trade principally as a “vent” for surplus domestic produce. However, Smith's underlying argument in favour of a “system of natural liberty” made his name synonymous with open seas and free markets, and the economist most closely linked to free trade. This paper suggests that Smith advanced a rather more sophisticated analysis of the gains from trade than this textbook understanding would suggest, but that his line of reasoning has long been obscured by the long-established habit of reading Wealth of Nations as a work whose first two books contain the important analytical elements that the later books merely elaborate. It is demonstrated that Smith's analysis of the gains from trade derives from his discussion of capital, and that therefore a reader needs to begin at the end of Book II, and not with the principles of exchange outlined in Book I.     

Bilateral trade agreements as drivers of national and transnational benefit from health technology policy: implications of recent US deals for Australian negotiations with China and India

This article compares controversial health technology provisions in two important United States free trade agreements with developed nations: Australia and with South Korea. It examines the multinational corporate forces behind the medicines and medical devices components of these texts and their likely impacts upon Australian trade negotiations with China and India. It also examines the implications of some recent changes to US trade policy for this area in subsequent bilateral deals such as that with Peru. This article argues it is important that the Australian government change policy and, like the present Congress in the United States, now systematically approach such impending trade agreements with a view to assisting the partners’ regulatory frameworks to maximally enhance national and transnational benefit from their medicines and biotechnology industries.