The Crude Truth about the War in Iraq

Every day, without fail, containers arrive at American ports bearing the fruits of the world. Among other things, they deliver Japanese electronics, European cars, Chinese and Indian textiles and Arab and Venezuelan oil. Over land, manufactured products and raw materials flood across the border from Mexico and Canada -- including four million barrels of crude. By the end of each and every day, five billion dollars of goods and services will have landed on American soil. The value of these imported products is further enhanced by the fact that much of it is produced by the blood, sweat and tears of third world workers who earn no more than a few dollars a day.

In consideration of this mountain of imported treasures, the United States sends back containers loaded with weapons, civilian aircraft, high tech and agricultural products and overpriced pharmaceuticals. In terms of their dollar value, America’s daily exports amount to three billion dollars of goods and services. When you import more than you export, you end up with a trade deficit. So far this year, we are running a trade deficit that averages two billion dollars a day.

Contrary to popular myth, the United States is one of the least competitive producers in the world. Since 1976, Americans have run consecutive and exponentially rising trade deficits. By its very definition, a trade deficit measures the inability of a country to manufacture products that can compete in global market. So, for going on three decades, our manufactured goods have been judged by our trading partners to be either too expensive or of low quality or both. Keep in mind that if we excluded American exports of arms and ammunition -- an industry in which we excel -- our annual trade deficits would balloon by an additional 180 billion dollars.