As a fan of Adam Smith – the writer of both An Inquiry into the Nature and Causes of the Wealth of Nations and The Theory of Moral Sentiments – I want to share most of the recent commentary written for the Wall Street Journal by former U.S. Senator Phil Gramm and a colleague on how President Trump’s obsession with tariffs is a very bad, long term growth strategy for our national economy and is incompatible with successful free markets and creation of the “wealth of nations.”
Gramm’s argument validates one of the Caux Round Table’s Principles for Business:
Principle 5: Support Responsible Globalization:
-A responsible business, as a participant in the global marketplace, supports open and fair multilateral trade.
-A responsible business supports reform of domestic rules and regulations where they unreasonably hinder global commerce.
Here is Gramm’s essay.