Trade is Good

While foreign aid is necessary, the real engine behind the growth of global wealth is trade. Free, unrestricted trade is the enemy of poverty.

According to a recent study by the World Bank, 2004's growth reflected "an expansion without precedent over the past 30 years." Equally encouraging, the report notes that "the rapid growth of developing economies ... has produced a spectacular, if not historic, fall in poverty."

Amazingly, the World Bank report did not get much coverage in our mainstream media. It seems the press was more interested in covering the evils of globalization than in taking notice of how world trade -- which grew by an astounding 10.2 percent this year -- is driving economic growth. . . .

It is undeniable that 2004 was a great year for the poor. The World Bank's prediction that global poverty will continue plummeting is particularly encouraging. But if we are ever to wipe poverty from the face of the Earth, our next generation of leaders must first understand what makes the global economy tick -- the fundamental relationship between free trade and economic growth.