Promoting the U.S. flag merchant marine. (negative effects of the decision to allow three giant tankers from the international fleet to enter domestic commerce) From: Business Economics | Date: April 1, 1991| Author: Pollack, Gerald A. | COPYRIGHT 1991 The National Association of Business Economists. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group.Copyright information

*Gerald A. Pollack is Associate Professor of Finance at Pace University, New York, NY.

1 See footnotes at end of text.

For national security reasons, the United States has long had a policy of promoting the country's merchant marine. In general, U. S. flag ships in international commerce may be subsidized, but only unsubsidized U. S. flag ships may serve the domestic market. In the middle 1980s, however, the Administration admitted into domestic commerce thre...