Winning In A Global Economy

The challenge of economic competition from China and India will require transformations in litigation, education, taxation, regulation, environmental and health policies for America to continue to be the most successful economy in the world and the best source of high paying jobs and enough economic growth to sustain the Baby Boomers and their children when they retire, especially the transformation of math and science education in America. This is the single greatest challenge to our continued economic and national security leadership. Without a profound improvement in math and science learning, America will simply not be able to sustain its national security nor compete for high value jobs in the world market. For the last two decades, the Europeans have looked with scorn upon the American model of free enterprise. Their response to innovation and challenge has been economic isolationism, rule-¬rigging, and graceful decay. While they know that a welfare state and unionized work rules are expensive and inefficient, they’ve decided to live with them. In the United States, there exists a coalition of union leaders who prefer protection over competition; environmental extremists who value nature over the well-being and prosperity of their fellow citizens; and liberal intellectuals who distrust the fluidity and uncertainty of the market and prefer the orderliness of command bureaucracies. This liberal coalition complains about companies’ outsourcing jobs while insisting on corporate taxes that encourage companies to go overseas. They prefer that government impose on business obsolete, absurd work rules, even though these raise costs, lower productivity, and make America less competitive in the world market. These liberals believe in expanding regulation even when it fails to meet any cost-benefit test and clearly drives jobs out of the United States. The Left refuses to reform litigation or create a better system of civil ¬justice even though it knows the explosion of lawsuits makes it less desirable to create jobs and invest in the United States. The challenge to American economic supremacy from 1.3 billion Chinese and more than 1.1 billion Indians is vastly greater than anything we have previously seen. India’s embrace of capitalism and China’s bizarre combination of Marxist-Leninist government and free market initiatives will create a future where one-fourth of the world’s markets will be controlled by these countries. Those who advocate economic isolationism and protectionism are advocating a policy that could help China and India surpass the United States in economic power in our children’s or grandchildren’s lifetime.