Free Trade is like Good Sex

John Stossel – Is free trade good?

In this segment of John Stossel’s on free trade, Stossel and Tom Palmer discus the connection between free trade and war. Palmer points out countries that trade with one another are much less likely to go to war with one another.

The correlation between trading countries and warfare can not be stressed enough. As long as there is positive activity between countries the chances of war are diminished. Even countries with opposing political systems are less likely to go to war when trade is involved.

We all of know couples that can’t get along and constantly bicker, but manage to stay together because they are still having sex. Trade has the same impact as sex in how countries interact. Trade pushes countries with bad relationships to at least try to get along.

The reverse of the trade and sex analogy should pointed out as well. Just as sex withheld in a relationship is likely to escalate into a fight, withholding trade (tariffs, embargoes, restrictions) is likely to escalate tensions between countries.

When countries are threatening to go to war, we look at the underlying problem–how long has it been since they had some good trading?

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