It was only a matter of time before the inherently protectionist Buy American policy President Obama unleashed in the American stimulus package would begin to take its toll on the American economy. Korky Koroluk illustrates a number of American public works projects that have been stifled simply because parts that are essential to their completion violate the terms of Buy American. When will this madness end?
Whether it's an ongoing effort to prevent the pollution of rivers in West Virginia or waste water treatment plans along the Canadian border, American public works projects are being held up because products they require are simply not "American" enough.
But what is the point of limiting oneself to the purchase of "American" goods? More to the point, what is an American good or company? Koroluk illustrates how pointless this excercise can be:
We think of GE as being a U.S. company, but it assembles its high-tech filtration systems for North American markets at plants located in Toronto and Oakville with parts from Europe. That means that, because of Buy American, they can’t be bought for use in American wastewater projects.
If you really want to boost your international credentials and be a true patriot, President Obama, why don't you get rid of Buy American? And while you're at it, why not take on the rest of the protectionists in the United States by encouraging trade with Canada, Mexico, China and anyone else who understands that trade is a positive sum game that makes both parties better off?
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