A Free Trade Agreement with the US Is Far Off

Possibly one of the most important results of the Turkish prime minister’s recent visit to the United States is that serious work would begin on the topic of a free trade agreement. Of course, this meeting and commencement of work are good, but it’s also important that this not be considered an immediate political success; the figures and U.S. policy show that it will be a long-term project.

The Transition to Free Trade Is Not an Easy Task

As is known, free trade, according to the theories of international division of labor and competitive advantage, is trade occurring between countries without interference by the state. It is intended to create a more efficient distribution of resources on a global scale and to maximize the world’s revenue. However, in practice, free trade is easily blocked. Governments intervene in international trade for non-economic reasons. National defense, the condition of people living in rural areas and the protection of industries threatened by imports are the types of reasons given for following protectionist policies.

The U.S. Government Is Undergoing a Lot of Criticism from Its Citizens on the Topic of Free Trade

Being the ruler of the dollar, the U.S. is conservative in terms of having protectionist policies and does not easily make free trade agreements. This is because in order to have free trade, all of the U.S.’ taxes and regulations, such as trade tariffs and quotas, need to be removed. This situation is a systematic fraud on U.S. taxpayers and these taxes are used for: 1) the operation of U.S. government bureaucracy, 2) desperately needed foreign aid in U.S.-supported countries, and 3) U.S. export firms and industries, where dollars stolen from foreign governments are spent. This criticism is frequently pointed out, especially during U.S. election campaigns.

Turkey’s Exports and Imports with the U.S. Are Not High Enough To Have a Free Trade Agreement

The fact that Turkey and the U.S. have a low foreign trade value of $20 billion means a free trade agreement with the U.S. is not a pressing issue. The world is already a world of cartels in which paper money is disappearing. A world created and controlled by a single central bank would, by assuring inflation, take a direct path to order (see: “Making Economic Sense” by Murray N. Rothbard, p. 308-309). Looking at the figures for imports and exports to the United States from 2001 to 2012, we see that it will take a long time with this country. Nevertheless, a 12-year $150 billion total has been reached.

Turkey Is Still Just Starting on the Road to Free Trade Agreements

Looking at the countries that Turkey has made free trade agreements with so far, we can see that we are at the beginning of the road. The countries that we have made agreements with are the following 18 countries: Albania, Bosnia and Herzegovina, the European Free Trade Association countries of Sweden, Norway, Finland, Iceland, Austria, Switzerland and Liechtenstein, Morocco, Palestine, Georgia, Israel, Montenegro, Macedonia, Egypt, Serbia and Syria. Thus, let’s not dream and excite our citizens by saying that a very important project has been started, and if we do, let’s remain realistic.