Global engagement.

• Author: Reed, Wm. Cyrus
• Position: Indiana's exports crucial to state economy - Brief Article - Statistical Data Included

Indiana can't afford to abandon the international economy

In the wake of the events of September 11, "going global" might seem ill-timed at best and frightening at worst.

But turning our back on the international economy would be to turn our back on what has been one of the foundations of our economy. In many ways, the strength of the Indiana economy is, and has been, firmly grounded internationally.

The Indiana economy has been buttressed by foreign investment by some 200 Japanese firms, and an equal number from places as diverse as Liechtenstein, Taiwan, the People's Republic of China, Britain, Germany, France and Italy. Japanese companies alone employ more than 35,000 people in Indiana. This unprecedented achievement has been the result of bipartisan efforts during the past 20 years or more.

Indiana's unsung success, however, lies in the area of exports. During the past decade, manufactured exports from Indiana have grow far more rapidly than the national average. Since 1988, Indiana exports have grown steadily, reaching a record $16.5 billion in 2000. During the second quarter of 2001, Indiana exports increased by $129 million to $3.8 billion, which is the third-highest quarter on record. These figures do not include the export of services, or of bulk agricultural products, or indirect exports--goods made in Indiana which become part of products exported from other states.

This we have accomplished in the midst of a slowdown at home, one of the longest recessions in the industrial world overseas, and a dollar whose value has made our products expensive to overseas buyers. To increase our market under these conditions indicates that Indiana produces some of the best and most sought-after products in the world.

The spillover from exports is impressive, and vital to our economic health. Companies that successfully export their products overseas are globally competitive. These companies are estimated to employ some 330,000 Hoosiers. Rather than fearing global change, exporting...