Free Trade
Issue 33, March 1987

Publisher:  Office of the Church in Society Div. of Mission Cda., United Church of Cda.
Year Published:  1987
Pages:  8pp   Resource Type:  Article
Cx Number:  CX3283

Abstract: 
In looking at the free trade issue, this pamphlet asks three fundamental questions: "Will a free trade arrangement with the U.S. mean a more just sharing of the wealth and resources of Canadian society? Will a free trade arrangment enable Canadian citizens to participate more effectively in the economic policy decisions which affect their lives? Will a free trade arrangement encourage Canadians to explore economic alternatives which are socially and environmentally sustainable over the long run?"

Separate articles look at different aspects of these questions. One examines the probable impact on democracy in Canada, and concludes that "entrenching the priority of continental market forces through a free trade agreement will mean that Canadian citizens are less able to influence the course of economic developments through their governments." Another questions the government's claims that free trade would be a panacea for regional disparities, noting that many of the "non-tariff barriers" now on the bargaining table were put in place in Canada to alleviate regional disparities. Included are such programs as industrial incentives and subsidies, regional development grants, commodity marketing boards, and unemployment insurance. The pamphlet also looks at changes being implemented to the drug patent act to benefit U.S.-owned multinational pharmaceuticals corporations, and at environmental issues, including the scheme for a continent-wide diversion of major water systems which would re-route Canadian rivers to the U.S. Even proponents of free trade say that a massive restructuring of the Canadian economy would result. One article looks at those who would lose from this "restructuring", focussing especially on the Canadian textile and light manufacturing industries, which employ most Canadian women working in manufacturing, and the service industries, the main source of employment for women. It concludes that women would be in the forefront of those feeling the negative effects of free trade. It suggests elements of an alternative economic strategy, including: "policies that increase the processing of Canadian resources and encourage the domestic manufacture of goods which are presently imported. The national capability to provide basic needs such as food, affordable housing, transportation, and soft energy technology could be strengthened"; "efforts to increase Canadian ownership" to stem the outflow of capital caused by foreign investment; and the encouragement of more democracy in the workplace.