Townhall.com, Where Your Opinion Counts
Talk Radio:   Bill Bennett   Mike Gallagher   Dennis Prager   Michael Medved   Hugh Hewitt   
BREAKING NEWS  LeftArrow - Townhall.com : Conservative, Political, Republican   RightArrow - Townhall.com : Conservative, Political, Republican  
Columns, funnies & more in your inbox!
Monday, February 25, 2008
Donald Lambro :: Townhall.com Columnist
Economy Needs Any 'Export' In A Storm
by Donald Lambro
Vote on It:
Average Vote:
[+] Text [-]
 
Poll
Who won Tuesday's presidential debate?


WASHINGTON -- The presidential primary exit polls in Wisconsin last week reconfirmed that the U.S. economy was the number one issue on the voters' minds, as it is across the nation. But the most troubling part of the polls' findings was what voters blamed for the economic downturn: free trade agreements that have opened up foreign markets across the globe to American goods and services.

Like a lot of other manufacturing states, Wisconsin has lost factory jobs as companies have downsized in a changing economy and moved some of their operations overseas. Many Wisconsin voters blamed trade for the economy's decline.

In fact, trade is one of the strengths in Wisconsin's economy. The Badger State's exports rose by 15 percent in 2006, following a 17.4-percent rise in 2005. Figures for last year are not in yet, but they are expected to be robust.

In dollar terms, Wisconsin's exports totaled $17.2 billion in 2006, up by 64 percent since 2001. Its largest export industries were in construction, farming, and industrial machinery, plus engines and power transmission equipment.

Wisconsinites manufacture forklifts, compressors, hydraulic jacks, tractors and bulldozers, and if you follow America's global export trade business, you know that U.S. agricultural and construction equipment has been selling like hotcakes overseas.

Who are they selling this stuff to? Canada was the largest importer of Wisconsin's products ($5.4 billion), followed by Mexico ($1.9 billion), China ($870 million), Japan ($739 million), and the United Kingdom ($686 million). But they also sell to many other countries, including Australia, Belgium, Saudi Arabia, Venezuela and Bangladesh. Oshkosh Truck signed a $4.9 million contract with the Egyptian Ministry of Defense last year. Harley-Davidson is roaring into China's motorcycle market, opening its first dealership in that country. These export industries are responsible for a lot of jobs and the people in Wisconsin who have them do not blame trade -- on which so many of their jobs depend -- for the rough patch the economy is going through.

A lot of things are responsible for the current economic downturn, but it is clear that the decline in the housing and credit markets and $100-a-barrel oil are the chief causes of what ails us as their repercussions ripple across the U.S. economy.

The voters of Wisconsin know what they see, of course, and the trend in lost factory jobs has not escaped them, even though U.S. manufacturing makes and sells more than ever before as a result of new technology and rising productivity.

Still, a majority of Americans believe the myth of deindustrialization and the oft-repeated claim that "America doesn't make much anymore." A lot of politicians, including a few presidential candidates who should know better, are spreading this disinformation.

Both Hillary Clinton and Barack Obama have been bashing trade deals in their campaigns, and they were working that issue in Wisconsin in their efforts to attract votes. People who believe that trade killed jobs in the state gave them their support. Continued...

1 2
| Full Article & Comments | Next >
Share:
Vote on It:
Average Vote:
 
About The Author

Donald Lambro is chief political correspondent for The Washington Times.

Be the first to read Donald Lambro's column. Sign up today and receive Townhall.com delivered each morning to your inbox.

Subject: Statistics vs. what we have seen
When I was young; everything we wore, every vehicle we drove in, every tool we used every appliance we owned, everything we ate (except for coffee and bananas), was made or grown in the United States. We produced more than we consumed and as a result had a strong economy.
Now it is very hard to find products made in the United States.

The Steel Industry-Gone
The Textile Industry-Gone
Home Electronics-Gone
Furniture Manufacturing-Gone
Appliance Manufacturing-Gone
The Auto Industry only assembles parts mostly made in Mexico and Canada

The American People have high standards that they require of all domestic producers in the form of labor and environmental standards that are not required of our foreign competitors.

Ever increasing minimum wage laws, Social Security, Medicare, Unemployment Insurance, Workers Compensation Insurance, OSHA, EPA, ADA requirements, taxes, fees, bureaucratic red tape, and many other government regulations significantly add to the cost of production. These costs make it impossible for American business to compete with foreign producers who have little to none of these liabilities. Add to that a slow and expensive justice system that encourages tort lawyer extortion and business has an impossible situation.

The result is outsourcing.

Missing the ball
Trade is not harming the economy in the US; artificial restrictions on development are holding us back. If Congress passed the ANWAR bill tomorrow, oil would be under $100 and probably head south of $90 soon. If we loosened regulations on refining, coal and nuclear energy those investment dollars held overseas would flock back. If we stopped proppping up inefficient technologies, ethonol for example, with tax subsidies and paying farm corporations huge subsidies to guarantee their prices we would see food prices be affordable for Americans, and be more competitive for export.

Sign Up to Post Your CommentsSign Up to Post Your Comments
If you are already registered, click here to login. Otherwise, please take a few seconds to register with Townhall.com. Once you sign up, you’ll be able to post your comments immediately, use the action center, get podcasts, and more!
Note: Fields marked with a red asterisk (*) are required.
Salutation:
First Name:
*
Last Name:
*
Email:
*
Nickname:
*
Note: Nick name will be shown when you post comments.
Address 1:
*
Address 2:
City:
*
State:
*
Zip:
*
Phone:
      
Your daily dose of conservative columns, editorial cartoons, talk radio, news, and more!
(Bi-Weekly) We highlight the best opportunities from our partners for surveys, action items and more.