www.financialweek.com/apps/pbcs.dll/article?AID=/200901 -
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Published on: 7/2/2009
Last Visited: 7/2/2009
A bigger concern is whether China, whose exports have plummeted, will take action like devaluing its currency to prop up exports, triggering protectionist responses around the world, said Greg Mastel, a senior policy adviser at Akin Gump.
"I think that's a much more realistic fear than the U.S. moving unilaterally toward trade protectionism," Mr. Mastel said.
Obama is likely initially to take a go-slow approach to new trade liberalizing agreements combined with more aggressive enforcement of existing pacts, he said.
Meanwhile, Congress appears to be on the verge of passing a major expansion of federal retraining and unemployment assistance to help workers who have lost their jobs because of imports or jobs moving overseas.
An improved U.S. safety net would ease, if not eliminate, pressures for protectionism, both Messrs.
Mastel and Gresser said.