Home
/
RELIGION & LIBERTY ONLINE
/
How free trade promotes global peace
How free trade promotes global peace
Mar 15, 2025 12:39 PM

Thomas L. Friedman said in The Lexus and the Olive Tree that no two countries with McDonald’s within their borders have ever been in a war since having a McDonald’s. Since it was proposed in 1999 this explanation of how globalization affects foreign policy and conflict has e known as theGolden Arches Theory of Conflict Prevention.

There are several examples that prove Friedman’s theory is wrong (e.g., India and Pakistan in 1998,Georgia and Russia, 2008). But in general, globalization does tend to reduce conflictbetween nations. As economist Donald Boudreaux says, one of the most important benefits of freer trade andglobal economic integration is that it promotes increased prospects for peace. Consider, says Boudreaux, China’s warning to North Korea that it e to their aid if they launch missiles threatening the U.S. and there is retaliation:

>Would Beijing have issued the same warning 50years ago? While the answer is uncertain, it’s plausible to suppose that Beijing back then would have been less likely than today to warn munist ally not to start a war with the United States.If the United States suffers severe damage from nuclear (or even conventional) weapons, China today has far more to lose than it did under Mao Zedong. Unlike China under Mao, the Chinese today have legions mercial customers and suppliers in the United States.And a pretty good rule of business is “Don’t kill your customers.” Don’t even plicit in such killing.

Perhaps we are today reaping one of the unsung benefits of freer trade and the international economic integration that it promotes: a greater reluctance of trading partners to go to war with each other.Maybe, just maybe, the United States’ much-derided economic integration with China will not only continue to enrich the people of both countries materially, but also — and far more importantly — prevent senseless slaughter.

Read more . . .

Comments
Welcome to mreligion comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
RELIGION & LIBERTY ONLINE
Samuel Gregg: Catholicism and the Enlightenment
Acton Research Director Samuel Gregg reviews a new book at the Library of Law and Liberty that demolishes the canard that religious figure were “somehow opposed holus bolus to Enlightenment ideas is one that has been steadily discredited over the last 50 years.” In his review of The Catholic Enlightenment: The Forgotten History of a Global Movement by by Ulrich L. Lehner, Gregg points out that the new book shows how “the Enlightenment argument for freedom was embraced by many...
Losing faith in reason
A lack of reason may lead to violence and an inability to respond to crises, but that didn’t stop the West from abandoning it. In a new article for the Catholic World Report, Acton’s Samuel Gregg reflects on Pope Benedict XVI and his 2006 address near Regensburg, Germany. “Ten years later,” Gregg laments, the West is “still in denial.” On September 12, 2006 Benedict made global news with his lecture–his words enraged, gained support, and were analyzed countless times. The...
Payday lending is a debt trap. But regulatory ‘solutions’ may be even worse.
What’s the biggest problem with payday loans? The obvious answer would seem to be “high interest rates.” But interest rates are often tied to credit risk, and so charging high interest rates is not always wrong. Another answer may be that the loans appear to be targeted toward minorities. But research shows that the industry appeals to those with financial problems regardless of race or ethnicity. No, the problem with payday loans —what makes them a debt trap — is...
Why Edmund Burke Supported Free Trade
The Republican Party is fracturing on the topic of trade. Alas, in the same corners where free and open exchange was once embraced as a propeller for economic growth and dynamism, protectionism is starting to stick. In response, free traders are pushing the typical arguments about growth, innovation, and prosperity. Others, such as myself, are noting that the trend has less to do with economic illiteracy than it does with a protectionism of the heart — a self-seeking ethos that...
The Disabled Deserve the Dignity of Work
Last week, Hillary Clinton became the first major presidential candidate to ever mend paying all disabled workers the minimum wage. While its seems like a reasonable proposal, I explained why the effect would be to put workers with severe disabilities, such as those with Down syndrome, out of work. Clinton isn’t the only one pushing such measures, though. As Anne Schieber of the Mackinac Center notes, government regulators at the Department of Labor are also considering mandating “integrated work settings,”...
Love, Community, and The Walking Dead
The sixth season finale ofThe Walking Dead aired last night and sets up an anxious off-season of waiting and deliberation about what will happen next. I may have some more to say about the larger dynamics of the show as the survivors in this most recent season have really transitioned from concerns about mere survival to actually munity with longer-term plans. But for now I want to focus briefly on the path Carol has walked over the last few episodes...
5 Facts About Genocide Against Christians in the Middle East
“ISIS mitting genocide — the “crime of crimes” — against Christians and other religious groups in Syria, Iraq and Libya,” says a joint report by the Knights of Columbus and In Defense of Christians. “It is time for the United States to join the rest of the world by naming it and by taking action against it as required by law.” The Knights of Columbus became involved in supporting Christians and other religious minorities in this Middle East because of...
SEC Allows Activist Nuns’ Climate-Change Resolution
The U.S. Securities and Exchange Commission determined March 22 that ExxonMobil Corporation must for the first time ever allow a vote to proceed on a proxy shareholder resolution submitted by members of the Interfaith Center on Corporate Responsibility. ExxonMobil had attempted to block the resolution with the SEC on the grounds it was vaguely written, pany’s current business practices already aligned with the ICCR resolution and current U.S. regulations. Because any plans for climate-change mitigation in the near future inherently...
A ‘moral imperative’ or just another exercize in green politicking?
This past Friday, I blogged about the U.S. Securities and Exchange Commission’s recent decision to allow a vaguely worded proxy resolution proceed to a vote. The resolution was submitted by, among others, members of the religious shareholder activist group the Interfaith Center on Corporate Responsibility. The ICCR resolution calls upon ExxonMobil Corporation to take action intended to mitigate climate change. ExxonMobil requested the SEC deny the ICCR resolution on the grounds it was based mainly on nonspecific greenhouse-gas reduction targets...
Explainer: What You Should Know About the Panama Papers Scandal
What are the Panama Papers? The Panama Papers refers to the 11 million leaked files from the Panamanian law firm Mossack Fonsecathat shows how some of the richest, most powerful people on the globe use tax havens to hide their wealth. According to the BBC, this is the biggest document leak in history — dwarfing the size of those released by the Wikileaks organization —and includes details on 214,000 entities, panies, trusts and foundations. The documents covered day-to-day business at...
Related Classification
Copyright 2023-2025 - www.mreligion.com All Rights Reserved