READING, UK -- The very pillars of free trade are once again under fire. This time, international law and politics are the aggressors. UK-based construction firm Mabey & Johnson was recently fined with 5 million British pounds under charges of corruption associated with the acquisition of international construction contracts. Iraq, Ghana, and Jamaica are listed as among the nations involved.
The "unusual case" was opened following a drastic change in the board of directors. Five of the company's prior directors resigned and were replaced with new members who decided to reveal the company's doings to the Serious Fraud Office (SFO). Following extensive talks with the SFO, the company pleaded guilty to "two charges of conspiracy to corrupt and one charge of breaching UN sanctions".
Of particular interest is the related UN sanction: Mabey & Johnson was found in violation of the UN oil-for-food program in Iraq, a humanitarian-based amendment to the prior comprehensive sanctions against Saddam Hussein's regime following its invasion of Kuwait in 1990. Detailed evidence documents the upkeep of very positive "extensive commercial interests" in Iraq following the Gulf War and the subsequent sanctions.
The World Trade Foundation (WTF) strongly objects to the irrational treatment of Mabey & Johnson as well as the economic isolation of the citizens of Iraq. Repeatedly, economic theory has demonstrated that free unregulated trade is mutually beneficial between nations. It not only creates more jobs but it also positively affects the standards of life in all nations involved. Thus, in essence, politics simply becomes an unnecessary layer of bureaucracy that obstructs the betterment of welfare around the world.
While demonstrating its willingness to resist the negative forces of isolation and pressure politics, had secured itself over 60 million British pounds' worth of international contracts. This added stream of revenue has helped drive employment in the UK, while also acting as a force of foreign investment in otherwise isolated regions. The WTF asserts that Mabey & Johnson was acting in the mutual interests of both the UK and the other target states.
In essence, the 5-million-pound fine that Mabey & Johnson incurred for its "close personal relationships" and "white man's handshakes" with business partners abroad fails to be a true deterrent of crime, but rather acts as a tax on the over 60 million pounds to be reaped from truly free trade.
Related reading: http://news.bbc.co.uk/2/hi/uk_news/8275626.stm
Sunday, September 27, 2009
Friday, September 11, 2009
When the Right Way is Wrong
APIA -- Running a small country in the modern world is a very difficult feat. The miniscule size of the economy, combined with the lack of significant amounts of resources and labour means that most countries will not spend significant amounts time considering trade or any other economic or political interactions. Samoans, however, may have found an innovative solution to this problem.
Samoa, a tiny island country in the Pacific, has begun taking steps towards greater regional integration. Among these initiatives is the recent decision to switch from driving on the right side of the street to the left. By switching to the driving directions of all of its neighbours, Samoa's switch represents a big leap towards regional integration in the South Pacific.
The World Trade Foundation (WTF) sees many benefits in this. Firstly, it means that Samoa will now be able to import cheaper cars from its neighbours in Australia and New Zealand, where they also drive on the left side. Furthermore, it means that Samoa will become more involved with its neighbours and progress towards the entire South Pacific region operating as one body.
Much like the EU or NAFTA, regional integration seems to be the most viable solution for the South Pacific to be taken seriously. On the one hand, as a larger body, the South Pacific would have a much stronger say in economic and political relations and interactions. On the other hand, the union of all these microstates would make many of the larger, wealthier nations happy, too, as they complain that in many international bodies, each of these tiny nations has the same voting power as they do. In the future, the WTF would like to see further eradication of minor barriers and differences such as culture and religion and work towards greater unification.
This direction of change is mutually beneficial for the smaller and more significant nations. Due to its benefits, the Foundation has declared the changing of driving directions and any subsequent steps towards regional integration as WTF-approved actions.
Related reading: http://news.bbc.co.uk/2/hi/asia-pacific/8243110.stm
Samoa, a tiny island country in the Pacific, has begun taking steps towards greater regional integration. Among these initiatives is the recent decision to switch from driving on the right side of the street to the left. By switching to the driving directions of all of its neighbours, Samoa's switch represents a big leap towards regional integration in the South Pacific.
The World Trade Foundation (WTF) sees many benefits in this. Firstly, it means that Samoa will now be able to import cheaper cars from its neighbours in Australia and New Zealand, where they also drive on the left side. Furthermore, it means that Samoa will become more involved with its neighbours and progress towards the entire South Pacific region operating as one body.
Much like the EU or NAFTA, regional integration seems to be the most viable solution for the South Pacific to be taken seriously. On the one hand, as a larger body, the South Pacific would have a much stronger say in economic and political relations and interactions. On the other hand, the union of all these microstates would make many of the larger, wealthier nations happy, too, as they complain that in many international bodies, each of these tiny nations has the same voting power as they do. In the future, the WTF would like to see further eradication of minor barriers and differences such as culture and religion and work towards greater unification.
This direction of change is mutually beneficial for the smaller and more significant nations. Due to its benefits, the Foundation has declared the changing of driving directions and any subsequent steps towards regional integration as WTF-approved actions.
Related reading: http://news.bbc.co.uk/2/hi/asia-pacific/8243110.stm
Wednesday, September 9, 2009
WTF Special: Why Global Warming is Good
As a result of the rather manipulative work of scientists and environmentalists sponsored by certain left-leaning governments, many of the world's people wrongly fear global warming. When it first began rapidly growing in the 1970s, globalization, too, was widely feared in the world. Yet the truth of the matter is, it has actually been good for most of the world by helping accelerate and expand trade relations and create new wealth.
The World Trade Foundation (WTF) is convinced that rather than being a global threat, global warming is more of a worldwide force of change and should be embraced. This WTF Special report is created to educate the public about the truth about global warming and its benefits.
Firstly, it is important to rationally analyze the scientists' fears about global warming. Yes, climates around the world will change. The scientists emphasize that many regions, like the rainforests of South America, will disappear. This is not exactly true. What they neglect to mention is that, in fact, it should be viewed as having those regions shift farther away from the equator rather than completely disappearing. And with their shifting habitats, of course, the animals will move, too. Thus, while global warming may be a force of regional ecological landscaping and extinction, it is a balanced global force, by re-establishing those same ecosystems elsewhere.
Secondly, the WTF wishes to address the fears about the impact on human populations. While the redistribution and shifting of populations will be almost inevitable due to global warming, there are numerous positive impacts associated with this shift. The new combinations of cultures and population changes are ideal opportunities for new business ventures to drive the economy. Recall the Great Famine of Ireland and the subsequent movement of hundreds of thousands of Irish people to North America. Many of these Irish people have used the significantly greater opportunities available to create new businesses such as their many taverns. Had they remained in Ireland, they would not have all been able to profitably create taverns. The benefits of shifting populations are no new revelation: as documented in the Old Testament, the single greatest force behind the establishment of the Promised Land is the exodus that Moses led out of Egypt.
Thus, in analyzing the impact of global warming in a more objective manner, it is evident that it is a force of change rather than evil. That said, the WTF encourages the public to quickly put a stop to the significant damage done to economies worldwide through the socialist scientists' and policitians' "green" movement and embrace the benefits of global warming.
The World Trade Foundation (WTF) is convinced that rather than being a global threat, global warming is more of a worldwide force of change and should be embraced. This WTF Special report is created to educate the public about the truth about global warming and its benefits.
Firstly, it is important to rationally analyze the scientists' fears about global warming. Yes, climates around the world will change. The scientists emphasize that many regions, like the rainforests of South America, will disappear. This is not exactly true. What they neglect to mention is that, in fact, it should be viewed as having those regions shift farther away from the equator rather than completely disappearing. And with their shifting habitats, of course, the animals will move, too. Thus, while global warming may be a force of regional ecological landscaping and extinction, it is a balanced global force, by re-establishing those same ecosystems elsewhere.
Secondly, the WTF wishes to address the fears about the impact on human populations. While the redistribution and shifting of populations will be almost inevitable due to global warming, there are numerous positive impacts associated with this shift. The new combinations of cultures and population changes are ideal opportunities for new business ventures to drive the economy. Recall the Great Famine of Ireland and the subsequent movement of hundreds of thousands of Irish people to North America. Many of these Irish people have used the significantly greater opportunities available to create new businesses such as their many taverns. Had they remained in Ireland, they would not have all been able to profitably create taverns. The benefits of shifting populations are no new revelation: as documented in the Old Testament, the single greatest force behind the establishment of the Promised Land is the exodus that Moses led out of Egypt.
Thus, in analyzing the impact of global warming in a more objective manner, it is evident that it is a force of change rather than evil. That said, the WTF encourages the public to quickly put a stop to the significant damage done to economies worldwide through the socialist scientists' and policitians' "green" movement and embrace the benefits of global warming.
Thursday, September 3, 2009
Super-Chavez Me!
BRASILIA -- For the past few decades, Venezuela has been South America's main and only significant outpost of socialism and obstacle to free trade. However, with its biggest supporters in the area being only the separatists in neighbouring Colombia and the misled Native American president of Bolivia, Chavez's centrally-planned Venezuela has largely been ignored.
Yet the World Trade Foundation (WTF) regrets to hear that Brazil may soon join its ranks. The country's president, Luis Inacio Lula Da Silva, has revealed plans for the government to take a larger stake in Brazil's oil resources. Under the new regulations, Brazil's national oil firm, Petrobras, would automatically be entitled to a 30% stake in all ventures into Brazil's oil resources. Additionally, it would be the sole operator in all such ventures.
President Da Silva claims the additional revenue would be used towards helping fight poverty and towards promoting development in the country. This is an unfair distribution of wealth, as foreign oil venturers with more money should be fully entitled to Brazil's resources, no matter what the underlying excuse may be.
Noting the obvious impediment to its primary pillar, free trade, the WTF has already issued calls for restraint and reconsideration. However, it is evident that Da Silva is following the greed and egotism of his Venezuelan counterpart, Chavez, and the WTF may have to resort to adding Brazil to its list of outposts of socialism and obstacles to free trade.
Related reading: http://news.bbc.co.uk/2/hi/business/8230774.stm
Yet the World Trade Foundation (WTF) regrets to hear that Brazil may soon join its ranks. The country's president, Luis Inacio Lula Da Silva, has revealed plans for the government to take a larger stake in Brazil's oil resources. Under the new regulations, Brazil's national oil firm, Petrobras, would automatically be entitled to a 30% stake in all ventures into Brazil's oil resources. Additionally, it would be the sole operator in all such ventures.
President Da Silva claims the additional revenue would be used towards helping fight poverty and towards promoting development in the country. This is an unfair distribution of wealth, as foreign oil venturers with more money should be fully entitled to Brazil's resources, no matter what the underlying excuse may be.
Noting the obvious impediment to its primary pillar, free trade, the WTF has already issued calls for restraint and reconsideration. However, it is evident that Da Silva is following the greed and egotism of his Venezuelan counterpart, Chavez, and the WTF may have to resort to adding Brazil to its list of outposts of socialism and obstacles to free trade.
Related reading: http://news.bbc.co.uk/2/hi/business/8230774.stm
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