13-00000
Strategy and Action on World Trade
James H. Binger, Chairman
Honeywell Inc.
2701 Fourth Ave. S.
Minneapolis, Minn. 55408
> “What we [the United States] have is a little corner of the world, and we must find a way to live in it harmoniously with our neighbors, many of whom are every bit as good as we are at almost everything we do.”
The theme of my remarks is the intensifying controversy over the conditions that influence our well-being here in the United States — particularly the threat of another unfortunate experience with protectionism.
I am well aware that I cannot go deeply into this subject in a short space. This I know because I was privileged to serve on the President’s Commission on International Trade and Investment Policy. For over a year we studied every way in which this and other countries are affected by international trade and investment policies.
Protectionist Attitude
Let there be no doubt where I stand on the principal issue. I believe that the threat of the protectionist attitude in America is far more than an issue involving business and jobs. I sincerely believe that this issue embraces many powerful forces that will have an important bearing on whether or not all the peoples of the world make the most of their opportunities in the years to come.
I recognize that there are strong and honest differences of opinion on the proper direction of our nation’s foreign trade policies. There are many persons and suppliers who have been adversely affected by foreign competition. It would be unrealistic not to acknowledge this fact of life.
Complexity
These differences of opinion, and these dislocations of people’s lives, point up the complexities of the problem. Who among us can honestly say he understands all of the ramifications involved in the balance of trade? Where is there an unchallenged expert on monetary policy? What type of restraints, if any, could or should be made on the world-wide transfer of technology? What is the proper level of East-West trade relations, and are the national defense implications of yesterday still appropriate today? Should the United States government be supporting broad research and development to match the funds that foreign countries are investing in their industry? Can we preserve the rise in productivity that underlies the American miracle — which is the production of goods at low cost while wages, taxes and dividends all rise steadily?
These are just some of the questions which must be asked in the discussion now developing, particularly in the halls of Congress, but also at various other governmental and community levels.
Facing these and still other complexities, we know that Congressional hearings soon to begin could result in new laws and regulations which could be detrimental.
Action
Because this is so, it will not do for anyone with a qualified viewpoint backed by experience, to be simply an observer. I am convinced that this present controversy can be resolved positively, but it will require action.
What kind of action will be most effective? the kind of action which is in the public interest? — not special pleadings based on the experience of a single company, or a single industry, or even a single community.
It is, of course, important to gather this supporting information and be aware of all the facts that bear on our needs, our experience and the options that governments can take to effect them. But going beyond this, we must be prepared to discuss with everyone who will exert influence on our elected lawmakers the more important question — what do all these statistics and contentions mean to me?
The Concerns of U.S. Citizens
The concerns of the great body of United States citizens are how to assure and enhance their jobs and living conditions and be involved in what was once unashamedly described as “the pursuit of happiness”.
Based on a talk before the Board of Governors of the Electronic Industries Association, Phoenix, Ariz., January, 1973.