Trade Benefits Small Businesses

By Lt. Gen. (Ret.) Daniel W. Christman

Over the past year, international trade and investment have taken a beating from critics. The current round of world trade negotiations came to a halt.

Several candidates for Congress ran-and won-on a protectionist platform. It's time to dispel the fears and misperceptions and set the record straight with facts.

First, trade and investment grow the economy, create jobs, and lift incomes. Exports directly support an estimated 12 million good-paying U.S. jobs, and imports boost choice, quality, and purchasing power. Foreign direct investment in the United States supports another 5.1 million high-paying jobs.

Second, trade is important to the success of America's small business owners, who represent 97% of all U.S. exporters. With advances in Internet technology and financial and logistics services, the future for entrepreneurs in the trading arena is phenomenal. 

Why are trade and investment under attack? According to former U.S. Trade Representative Rob Portman, "Economic isolationists tap people's sense of insecurity about the rapid pace of change even when the facts are not on their side." 

Withdrawal from the global economy is the wrong reaction to rapid change and competitive pressures. Instead, the U.S. Chamber believes that a strategy for success in the global economy begins with a program of domestic initiatives, including the following:

• Reforming our legal system
• Expanding domestic production of all forms of energy
• Passing President Bush's competitiveness agenda
• Improving K-12 education
• Strengthening U.S. capital markets
• Modernizing tax, regulatory, health, pension, and entitlement systems
• Expanding and improving the nation's infrastructure
• Combating the threat of intellectual property theft and counterfeiting

These steps, along with continued efforts to expand trade and investment opportunities, will ensure that America maintains its competitive edge. I challenge each and every business to think big, take chances, embrace change, and go global!