Where McCain scores over Obama

Barack Obama looks certain to beat John McCain and become the next US president. Most Indians will be delighted. An Obama victory will symbolise the vanquishing of racism and the dismal Bush legacy.

Besides, McCain is a military hawk, especially on Iraq. Obama is not exactly a dove, but is far less a military adventurer than McCain, and is preferred by Indians on this score too.

Yet, a look at the voting record and campaign content of the two candidates suggests that McCain might in many ways be better for India than Obama, especially on economic issues.

A nasty global recession has begun. Nouriel Roubini of New York University predicts we will suffer the worst economic downswing since the Great Depression. So, pressures will mount for protectionist measures and beggar-thy-neighbour policies in the US, hurting countries like India. Apart from erecting import barriers and subsidising dumped exports, US politicians will seek to curb the outsourcing of services to India. Visa curbs will slow the movement of skilled workers and their dollar remittances back to India.

McCain is one of the few American politicians in either party with the courage and conviction to stand up to protectionist populism. By contrast, Obama embodies protectionism.

Look at the accompanying chart. It shows that McCain has voted 88% of the time against bills creating trade barriers, and 90% of the time against export subsidies for US producers. Few other senators have such a splendid record.

Obama has served a much shorter time in the Senate, and avoided voting on many key issues. He has voted against trade barriers only 36% of the time. He supported export subsidies on the two occasions on which he voted, a 100% protectionist record in this regard.

In 2007, he voted to reduce visas issued to foreign workers (such as Indian software engineers), and to ban Mexican trucks on US roads. He sometimes voted for free trade - he supported the Oman Free Trade Act and a bill on miscellaneous tariff reductions and trade preference extensions. More often he voted for protectionist measures including 100% scanning of imported containers (which would make imports slower and costlier), and emergency farm spending.

Source: EconomicTimes