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Saturday, February 25, 2006

Bush got something right

During this year’s State of the Union address, President George Bush made a gratuitous number of references to “isolationists and protectionists.” At the time it seemed like he was merely building a straw man with which he could easily repeat the same points on the war on terror that he has made since 9/11. In the context of recent events, America’s historically isolationist and protectionist tendencies are becoming more realized—an unacceptable trend.

One has to look no further than the sham of a political scandal this week over Dubai Ports—a United Arab Emirates (UAE)-owned port management company—taking over the British-based Peninsular and Oriental Steam Navigation Company, which happens to manage ports across the U.S. News of this prompted politicians to suddenly remember that they are worried about American port security. As a result, many are now calling for a halt to the takeover, even though the takeover has absolutely no implications for port security. The port management company’s responsibilities are limited to marketing the port, hiring labor, loading ships, and moving cargo. The Coast Guard, Homeland Security, and harbor police (which are run independently of the management company) are those tasked with securing our ports. Based on the rationale of many politicians, by allowing the Dubai-based Emirates Airlines to fly into the U.S., we are “outsourcing America’s security.”

But as unsavory as this whole incident has been, propositions to keep foreigners out of the U.S. and the U.S. out of the rest of the world are likely to be made repeatedly in next year’s midterm elections. This is because many of the staunchest Bush supporters—and thus supporters of nearly all he does—are those most prone to isolationism and protectionism. They are the conservatives who want to vigorously protect American interests. But when they see internationalism as failed wars in the Middle East and free trade as lost jobs at home, they are likely to be open to rethinking what is the best path of protecting American interests. As a result, many politicians—especially Democrats—are looking to woo this group. This would explain why many of the most liberal Democrats (Chuck Schumer and Rosa DeLauro) have joined some of the most conservative Republicans (Lindsey Graham and Tom Coburn) in denouncing this deal. But this is not a new trend. Last summer, this same group killed the purchase of the California based Oil Company Unocal by a state owned Chinese firm and nearly killed the Central American Free Trade Agreement until the President saved it with some last minute lobbying.

Not only has this group been wedded exclusively to terrible ideas, but they have perpetuated the dangerous proposition that foreigners need approval from Congress to do business in or with the United States. As a result we have come off as jingoistic hypocrites. While we demand that the world open its markets, we try to close ours off to to Latin America, Asia (don’t forget India and the outsourcing clamor two years ago), and the Arabian Peninsula. We can’t possibly continue to play the world like this. Even though it might offer short-term political advantages, politicians have to consider the long-term consequences of their actions. I never thought I would say this, but Bush was spot-on when he said, “the road to isolationism and protectionism may seem broad and inviting—yet it ends in danger and decline.” Washington needs to realize that our relationship with the rest of the world is a two-way street; and when we start blocking that, others will only follow in kind.

2 Comments:

At 10:04 PM, Anonymous Anonymous said...

Interesting point, though I have to disagree with your claim that the takeover by Dubai Ports World would have no security implications. Granted port security is the job of Homeland Security and the Coast Guard, but even with their policing efforts only about 5% of containers are searched and only one of the six ports involved in the deal scans for radiation. The Postal Service takes more precautions than that over anthrax scares. But beyond the physical threat of what might sail into one of our ports in a container, there’s also the financial side. Consider the fact that prior to 9/11 the majority of the funding for the attack was funneled through the UAE. Despite Bush’s argument that Dubai has been cooperative with the US government in turning over captured terrorists, I hardly think they can account for all of the financial transactions that have passed through their borders over the last five years as well. The point is that there’s no stipulation in the deal that says Dubai Ports World has to keep its financial records on American soil. Thus it would be impossible to get a court order over these records if ever necessary and we have no guarantees as to whose pockets the profits are going into. It all comes down to the question: how much do we really trust the Dubai government?

 
At 2:51 AM, Blogger Alec Brandon said...

R,

I disagree.

First, the port security issue is entirely seperate from who manages our ports. The only level that they can be connected is the point at which you think DP is going to be hiring terrorists to load stuff. This is a ridiculous concern; DP and the UAE is not an irrational actor. They want profits and hiring terrorists is not going to achieve that. But on top of that, the hiring terrorists argument is also true for any airliners that fly into the US that are Arab owned. We face the same threat from them. I'm ok with that, mostly because terrorists are going to be just as capable of infiltrating Arab owned airliners as they are American or British owned airliners.

As for the financial side, it could be true that DP's profits are going into terrorists groups. I highly doubt this because DP would want to reinvest those profits to stay competitive, but even saying it doesn't, and somehow the money gets in the hands of terrorists; I am still unconcerned. Terrorist groups have no trouble raising money. If we stop a couple million in profits goes to the UAE, a fraction of which could hypothetically go to terrorists (let's say 100k), then what is the serious danger here? The millions that Saudi princes funnel is the problem.

But on top of the lack of harms, we stand to seriously alienate our relationships with Middle Eastern nations. We stand to alienate the entire Muslim world when we say and do things like this. Given that our stated goal in the war on terror is to "liberalize" these people, I hardly see how that is going to be achieved when they won't listen to what we say because we are such hypocrites.

Congress needs to evaluate the full implications of its stances b/f making them. This is just lame politics. It is crap like this that has caused me to puke at the idea of entering politics (which I would have said was my ambition 2-3 years ago).

-Mr. Alec

 

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