American Trade Politics

In this comprehensive revision of the most influential, widely read analysis of the US trade policymaking system, Destler addresses how globalization has reshaped trade politics, weakening traditional protectionism but intensifying concern about trade's societal impacts. Entirely new chapters treat the deepening of partisan divisions and the rise of ?trade and . . .? issues (especially labor and the environment). The author concludes with a comprehensive economic and political strategy to cope with globalization and maximize its benefits. The original edition of American Trade Politics won the Gladys Kammerer Award of the American Political Science Association for the best book on US national policy. The new edition contains three completely new chapters (9-11), plus an extensively reshaped concluding chapter (12). All of the other chapters have been revised and edited.

Preface

xiii

Author's Note

xv

I Origin: 1934-70

1 The Root Problem: Political Imbalance

3

(8)

2 The 1934 System: Protection for Congress

11

(30)

Protecting Congress from Trade Pressures

14

(18)

The System's Advantages and Limits

32

(2)

The System's Contradictions

34

(7)

II Erosion and Adaptation: 1971-94

3 A Tougher World: Changes in the Context of Trade Policy

41

(24)

15 August as Prologue

41

(4)

The Trade Explosion

45

(3)

The "Decline" of the United States

48

(3)

The Rise of New Competitors

51

(2)

The Erosion of the GATT

53

(2)

Stagflation

55

(2)

Floating Exchange Rates and Dollar "Misalignment"

57

(4)

Economic Tripolarity and the End of the Cold War

61

(1)

A Tougher World

62

(3)

4 A Less Protected Congress

65

(38)

Congressional Reform and the Weakening of Ways and Means

67

(4)

Renewing the Delegation of Power: The "Fast-Track" Procedures

71

(6)

Industry-Specific Proposals: The Automobile Case

77

(2)

Committee Competition and Policy Entrepreneurship

79

(5)

The Trade and Tariff Act of 1984: Pressure Contained

84

(4)

1985-88: The Years of Trade

88

(3)

The Omnibus Trade and Competitiveness Act of 1988

91

(5)

NAFTA and Fast-Track Renewal

96

(5)

1984 and After: The Leadership Difference

101

(2)

5 An Embattled Executive

103

(34)

STR's Early Ups and Downs

105

(2)

Strauss and the MTN: The STR on Center Stage

107

(4)

The Executive Broker and Its Critics

111

(3)

The Carter Reorganization

114

(1)

Reagan I: Commerce Versus USTR

115

(3)

USTR and Presidential Ambivalence

118

(1)

Liberal Words, Protectionist Deeds

119

(1)

Reagan II: An Eight-Month Vacuum

120

(2)

Reagan II: The Shift to Activism

122

(1)

Targeting the World: Section 301

123

(2)

Targeting Japan: From MOSS to Semiconductor Sanctions

125

(2)

Working the Trade Bill: Damage Limitation

127

(2)

Carla Hills and Super 301

129

(2)

Geneva Versus Mexico City?

131

(3)

NAFTA but Not (Yet) GATT

134

(3)

6 Changing the Rules: The Rise of Administrative Trade Remedies

137

(32)

Through the Early 1970's: Little Relief

139

(1)

The Trade Act of 1974

140

(3)

The Result: Slightly More Relief

143

(3)

The Trade Agreements Act of 1979

146

(2)

The Declining Use of the Escape Clause

148

(1)

The Decline of Trade Adjustment Assistance

149

(2)

The Upsurge in "Unfair Trade" Cases

151

(2)

Forcing Political Solutions

153

(2)

Steel Wins Comprehensive Protection

155

(3)

New Legislative Initiatives

158

(3)

The Uruguay Round Antidumping Agreement

161

(2)

Administrative Remedies: A Balance Sheet on 1980-94

163

(3)

The Limits of Administrative Remedies

166

(3)

7 The National Arena: New Dimensions of Conflict

169

(24)

An "Amazing Political Reversal"?

170

(5)

A Newly Ambivalent Elite

175

(3)

Challenges to Laissez-Faire Trade Doctrine

178

(7)

New Patterns of Interest Group Politics

185

(7)

Conclusions

192

(1)

8 Triumph! NAFTA and the WTO

193

(40)

Back from the Precipice

194

(3)

From Candidate to President

197

(2)

The NAFTA Debate: Critics Rush to Fill the Vacuum

199

(3)

Clinton Recovers, and Wins Big

202

(4)

China, Japan, and APEC

206

(2)

Brussels and Geneva: Completing the Uruguay Round

208

(3)

US Business, Human Rights, and the China Market

211

(3)

Japan: Failure and Modest Success

214

(2)

Implementing the Uruguay Round: A Slow Start

216

(1)

Antidumping: Reversing the Round

217

(2)

The Loss of Future Fast Track

219

(1)

The WTO and US "Sovereignty"

220

(2)

Delaying the Process: Dole, Hollings, and Gingrich

222

(4)

From Partisan Wrangle to Bipartisan Victory

226

(3)

End of an Era?

229

(4)

III Polarization: 1995-

9 The Decline of Traditional Protectionism

233

(20)

Economic Resurgence

235

(1)

Clinton and Barshefsky: Business (Mostly) As Usual

236

(1)

Trade Remedies, Especially Antidumping

237

(5)

The World Trade Organization

242

(4)

Reemergence of the Trade Deficit-and Its Lesser Political Impact

246

(3)

The Globalization of US Business

249

(2)

Two Questions

251

(2)

10 New Issues, New Stalemate

253

(26)

Threat to the Social Contract?

255

(4)

Impact of NAFTA

259

(3)

Clinton's Fast-Track Fiasco

262

(7)

Dilemmas of Substance and Process

269

(2)

The Battles of Seattle

271

(3)

Normalizing China

274

(5)

11 Partisan Rancor and Trade Politics in the New Century

279

(30)

Polarization of Congressional Politics

282

(5)

Decline of House Bipartisanship on Trade

287

(3)

The House Bill in 2001: Partisan Contention

290

(5)

Bipartisan Compromise in the Senate

295

(3)

Zoellick and "Competitive Liberalization"

298

(4)

Cancun-and Geneva

302

(1)

Into the Second Bush Administration

303

(2)

Implications

305

(4)

IV Conclusion

12 Conclusion: Making America Fit for Globalization

309

(22)

Bringing the Benefits of Imports Out of the Closet

310

(3)

Lukewarm Public Support for Trade Expansion

313

(1)

Uneven Distribution of Gains from Trade Expansion

314

(2)

Two Key Preconditions: Macroeconomic Balance and Productivity Improvement

316

(3)

Completing the Transition to Globalization

319

(7)

Completing the Transition to Globalization at Home

326

(5)

Appendix A Trade Promotion Authority in 2001: The Bargain That Wasn't

331

(12)

Glossary

343

(14)

Index

357

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American Trade Politics

Summary

Table of Contents

Supplemental Materials