Democratic congressional leaders called a press conference Thursday to announce how they plan to fight the recession and stimulate long-term economic growth. Their ”plan,” however, was noticeably lacking in details.
A few, including Rep. Dan Rostenkowski of Illinois, squirmed before the cameras like schoolboys forced to deliver a speech they weren`t prepared for or, perhaps, didn`t believe in.
Rostenkowski could have saved himself the discomfort, because he and other Democratic leaders were instrumental in passing a measure through Congress last week that may do more to speed economic recovery and growth into the 21st Century than any ”action plan” they could devise. Both the House and the Senate agreed to extend President Bush`s ”fast track” authority to negotiate trade agreements.
Under the procedure, the administration submits trade pacts to Congress for a simple yes or no vote. Congress is consulted during trade talks, but the lawmakers can`t amend an agreement after it is signed. By approving the authority, Congress cleared the way for the White House to work out a free-trade agreement with Mexico and a successful conclusion to the Uruguay Round of international trade talks.
The Uruguay Round, a five-year effort to liberalize and expand the rules of world trade, has been stalled primarily over Europe`s refusal to reform the expensive protection and subsidization of its farmers. Difficult negotiations still lie ahead, but these talks would have had no chance without fast-track authority.
The biggest fear and headache for Democrats, however, was free trade with Mexico. Many of their constituencies-organized labor, environmentalists and consumer groups-argued that open trade would mean lost jobs for Americans as U.S. firms flee to Mexico`s cheap labor and lax pollution laws.
In fact, reduced tariffs and cooperation between the two countries ought to lead to more jobs and a cleaner environment on both sides of the border.
Democrats like Rostenkowski, Sen. Lloyd Bentsen of Texas, House Speaker Thomas Foley of Washington and even Rep. Richard Gephardt of Missouri, formerly a protectionist, realized it was the wrong time to strip the United States of its leadership role in world trade and shun the chance for a historic relationship with Mexico.
Supporting fast track was one of the best things they could do for the economy.
