Globalization -- CED -- Committee for Economic Development -- Independent, Non-Partisan, Public Policy Research

Risks from global trade and financial “imbalances” and recommendations on how to reduce their threat to the world economy are examined in Reducing Risks from Global Imbalances, a new report from the Committee for Economic Development. The report was released at a September 7, 2007 luncheon at the National Press Club in Washington, D.C.

“This report offers recommendations that we believe will reduce the risks of global economic shocks. Our recommendations of a multilateral cooperative approach to adjustment are in the interests of each country. They not only advance the global economy, but also allow each nation’s economy to grow,” said William McDonough, former President and CEO, Federal Reserve Bank of New York, and current Vice Chairman and Special Advisor to the Chairman, Merrill Lynch & Co. Listen to William McDonough's remarks from the release luncheon.

Reducing Risks from Global Imbalances traces the evolution of the current large global trade and financial imbalances, examines their sources, and makes recommendations that, if adopted, will help ensure continued growth in the global economy.

“Bringing the benefits of globalization to all economies also requires a better international multilateral program to protect against imbalances. This report offers recommendations for both the United States and our trading partners that will – if adopted – avoid shocks and lead to a healthier global economy,” said Joseph Kasputys, Chairman, President and CEO, Global Insight. Listen to Joseph Kasputys' remarks from the release luncheon.

Mr. McDonough and Dr. Kasputys are CED Trustees and the co-chairs of CED’s International Financial Imbalances Subcommittee, which produced the report. They presented the findings and recommendations of the report at the release luncheon in Washington, D.C.

CED has released two new reports that explore the importance of private-sector investment in infrastructure in developing countries and present recommendations for establishing successful public-private partnerships.

The first paper, Reducing Global Poverty: Encouraging Private Investment in Infrastructure, builds on some of the findings and recommendations of the 2002 CED policy statement, A Shared Future: Reducing Global Poverty, which broadly examined the phenomenon known as globalization and offered a blueprint for how best to harness economic integration and political cooperation between developed and developing countries towards enhancing economic growth and combating global poverty. Encouraging Private Investment in Infrastructure evaluates various options for public-private partnerships and provides brief analyses of several successful projects in order to identify best practices.

CED has also recently partnered with the U.S. Agency for International Development (USAID) on a related publication, Public-Private Partnerships for Development: A Handbook for Business, which was developed to help businesses operating in developing countries to understand how to build public-private partnerships that will benefit their host country populations and the participating firms.

Reducing Global Poverty: Encouraging Private Investment in Infrastructure
Full Report | Summary

On November 29^th, 2005, CED hosted its annual Fall Meetings at the Fairmont Hotel in Washington, D.C. In addition to a series of Trustee-led meetings, CED hosted a luncheon featuring keynote remarks from Rajat Gupta, former Managing Director Worldwide of McKinsey & Co., Inc. The luncheon, which focused on the need for greater corporate statesmanship in fighting global poverty, attracted over 120 members of Washington's diplomatic, business, policy and academic communities.

The meetings were led by the new CED Co-Chairs: W. Bowman Cutter and Roderick M. Hills.

On August 9th, CED was honored by the United States Agency for International Development (USAID) for its continued efforts to improve education around the world. CED President Charles Kolb accepted the award for CED and noted that USAID and CED share the goal of reducing international poverty through the sharing of knowledge. USAID officials highlighted CED's recent policy statement, A Shared Future: Reducing Global Poverty, and its on-going efforts to promote positive globalization programs.

Leadership on trade was the topic of a June 1st Luncheon Forum co-hosted by The Committee for Economic Development (CED) and the German Marshall Fund (GMF). CED Trustee James D. Robinson, III, Chair of CED's Subcommittee on Trade, represented CED discussed our two most recent trade papers (links below). Jean-Francois Boittin, Minister Counselor for Economic and Commercial Affairs, Embassy of France, was the co-keynote speaker and discussed on-going problems with the World Trade Organization's Doha Round of trade talks, as well as the May 29th rejection by French voters of the European Union Constitution. The event was held at the Washington, DC headquarters of the GMF.

Mr. Robinson, the General partner and Co-Founder of RRE Ventures and the former Chairman and Chief Executive Officer of American Express Company, strongly argued for a "Go First on Trade" stance for the United States. He stated the U.S. must "unilaterally and without conditions" eliminate virtually all trade barriers. Mr. Robinson served as Co-Chairman of the Business Roundtable and as Chairman of the Advisory Committee on Trade Policy and Negotiations and continues his advocacy of strong U.S. leadership through his work at CED.

Making Trade Work: Straight Talk on Jobs, Trade, and Adjustment (2005), examines the benefits and challenges of developing an effective adjustment policy for workers who lose their jobs because of outsourcing or any other adverse effects of trade. The statement, approved by CED's Research and Policy Committee states, "The most important next step is to recognize that adjustment policy is vital to achieving free trade - which, in turn, is vital to the nation's economic future." In conclusion, the statement says, America needs to develop the national will to devise and fund an adjustment policy that will get to "yes" on trade.

Promoting U.S. Economic Growth and Security Through Expanding World Trade: A Call for Bold American Leadership (2003) presents a leadership vision of a strong and open global trading system, and urges the United States and its trading partners to adopt vital policy reforms, including delinking agricultural subsidies from prices and production while opening agricultural markets everywhere, and eliminating all tariffs and non-tariff barriers in both manufacturing and services.

For more information, please contact Morgan Broman at morgan.broman@ced.org, or call (202) 296-5860 ext. 14.

Leaders from the business, diplomatic, educational, and foundation communities came together on February 28^th for a "UNESCO and Business" dinner, co-sponsored with the generous support of the United Nations Foundation. UNESCO, The United Nations Educational, Scientific and Cultural Organization, was represented by Director-General Koichiro Matsuura who gave the keynote speech following dinner. Ambassador Matsuura was joined by the U.S. Permanent Delegate to UNESCO, Ambassador Louise V. Oliver. Additionally, the new Assistant Deputy General of UNESCO, Peter Smith, was on hand. The CED-UN Foundation dinner was held at the National Museum of Women in the Arts in downtown Washington, D.C.

The Committee for Economic Development and the United Nations Foundation put the event together to allow the sixty attendees to discuss ways to support UNESCO and the goal of improving education, science and culture in all nations around the world. Director-General Matsuura spoke about the ways that business and charitable organizations can help UNESCO's mission. Ambassador Oliver outlined the role of the U.S. in UNESCO and urged American business leaders to actively take part in improving lives in countries where U.S. companies do business. Peter Smith will join the UNESCO Paris Office in mid-2005 and he endorsed ways to expand U.S. presence in UNESCO.

Making Trade Work: Straight Talk on Jobs, Trade, and Adjustment, a new statement from CED, examining the benefits and challenges of developing an effective adjustment policy for workers who lose their jobs because of outsourcing or any other adverse effects of trade, is now available. The statement, approved by CED's Research and Policy Committee states, "The most important next step is to recognize that adjustment policy is vital to achieving free trade - which, in turn, is vital to the nation's economic future." In conclusion, the statement says, America needs to develop the national will to devise and fund an adjustment policy that will get to "yes" on trade.

CED urges a bi-partisan process to formulate an adjustment policy to assist displaced workers that would involve the government, business, and organized labor. CED believes that an improved adjustment policy should be broad in scope and not center on any particular workforce segment. In fact, CED finds that an effective adjustment policy can, and should, extend beyond trade to respond to all causes of job loss. CED also believes that the effort to create a useful adjustment policy will benefit from input from labor leaders, community development programs, faith-based initiatives, and non-profit and charitable organizations.

For more information, please contact Morgan Broman at morgan.broman@ced.org, or call (202) 296-5860 ext. 14.

On November 18, 2003, CED hosted a luncheon on trade issues in Washington, DC. Members of the media who cover trade issues were invited to question four top experts on world trade: Carla Hills, Mickey Kantor, James Robinson, and Clayton Yeutter. Hills, Kantor, and Yeutter have all served as United States Trade Representative, while CED Trustee James Robinson is Chair of CED's Subcommittee on Expanding World Trade and main author of the CED statement Promoting U.S. Economic Growth and Security Through Expanding World Trade: A Call for Bold American Leadership. The statement was released in September and calls for new momentum in the Doha trade negotiations towards the goal of global free trade. CED presents a leadership vision of a strong and open global trading system, and urges the United States and its trading partners to adopt vital policy reforms, including delinking agricultural subsidies from prices and production while opening agricultural markets everywhere, and eliminating all tariffs and non-tariff barriers in both manufacturing and services. The collapse of the Cancun WTO talks was a major topic at the November 18th trade briefing.

On September 2nd, the Financial Times printed a letter titled "Only U.S. Leadership Can Replace Culture of Small Steps and Take Trade Talks to Higher Plane", by James D. Robinson III, General Partner & Founder RRE Ventures, and Chair, CED Trade Committee. Click HERE to read the letter.

For more information, please contact Morgan Broman at (202) 296-5860 ext. 14, or morgan.broman@ced.org.

CED, along with its International Counterparts—a group of private business organizations throughout the world that share the objective of economic and social policies that champion growth and opportunity—released Addressing Global Poverty: Perspectives of the World Business Community. The publication includes a series of recommendations by individual Counterpart Organizations regarding policy areas that have the potential to alleviate global poverty. Click HERE to read the full report. Please contact Tracy Kornblatt at 202-296-5860 ext. 37 or tracy.kornblatt@ced.org.

A Shared Future: Reducing Global Poverty
CED Launches "Americans in the World" Effort

CED, as part of the William and Flora Hewlett Foundation's "Americans in the World" initiative, is currently working to engage members of the nonprofit and policy communities in a combined effort to bring international events and issues home to Americans. CED is planning a multi-year campaign to educate and involve Americans in this national dialogue and build a broader understanding of the world outside our borders. To learn more, click HERE.

CED's efforts are designed to address key issues of globalization included in CED's 2002 policy statement, A Shared Future: Reducing Global Poverty. CED recently released two updates to the policy statement that look closer at the specific issues of corporate engagement and the role of women in development.

The first update, Reducing Global Poverty: Engaging the Global Enterprise, recommends that U.S.-based enterprises strive to maintain the same high standards of corporate engagement in all countries in which they operate, making no distinction between operations in the United States and abroad, yet recognizing that specific actions need to take into account national customs and traditions. The second update, Reducing Global Poverty: The Role of Women in Development, recommends that businesses based in the U.S. support the equal status of women in all their practices and programs in developing countries.

As part of this inititive, CED is co-hosting a number of community "town-hall" forums across the country. CED is tying international business to local concerns by assembling local policy, academic, and business communities to discuss U.S. interests in globalization and reducing global poverty, and how globalization is directly affecting the citizens of these communities.

Issues Being Addressed:

U.S. interests in globalization and reducing global poverty;

The importance of open trade, increased foreign direct investment, and increased funding for development assistance;

The need to improve developing countries' education, health, governance, and economic policies; and,

The importance of development strategies that focus on the role of women.

CED is pleased to have co-hosted the first globalization town hall forum with XTO Energy, Inc., the Greater Dallas Chamber of Commerce and the Fort Worth Chamber of Commerce, in Dallas, TX, on August 22nd 2003. Welcome and opening remarks were provided by Bill Thornton, President & CEO, Fort Worth Chamber of Commerce. CED Trustee Steffen E. Palko, Vice Chairman & President, XTO Energy, Inc., provided the keynote presentation at the Dallas breakfast event, and Jan Hart Black, President, Greater Dallas Chamber of Commerce closed the session.

The panel discussion included comments from:

Dr. Jim Hollifield, Arnold Professor of International Political Economics, Director of John Goodwin Tower Center for Political Science, and Director of International Studies, Southern Methodist University

Dr. Harold G. Jeffcoat, President, Texas Wesleyan University

J. Kenneth Menges Jr., Managing Partner, Akin, Gump, Strauss, Hauer & Feld

To read the forum transcript, click HERE.

On September 17th, 2003, CED Trustees joined close to 100 business, academic and policy leaders on Vanderbilt University's Peabody campus in Nashville, TN for a luncheon forum.

CED Trustee Edmund B. Fitzgerald, Managing Director, Woodmont Associates, provided the opening remarks, and Dr. Gordon Gee, CED Trustee and Vanderbilt University Chancellor, provided the keynote address at the co-sponsored event (to view an excerpt, click here). The forum's panel discussion included remarks from:

James S. Beard, President, Caterpillar Financial Services Corporation, and CED Trustee. Click HERE to view an excerpt.

Dr. Daniel B. Cornfield, Vanderbilt Professor of Sociology and Acting Director of the Vanderbilt Institute for Public Policy Studies. Click HERE to view an excerpt.

Dr. Linda M. Distlerath, Vice President, Global Health Policy, Merck & Co., Inc., and CED Trustee. Click HERE to view an excerpt.

Dr. James E. Foster, Vanderbilt Professor of Economics and Director, Graduate Program in Economic Development. Click HERE to view an excerpt.

To read the event's transcript, click HERE.

On November 11th, CED Trustees joined over 80 representatives from the Research Triangle Park business, academic and policy community at the Washington Duke Inn for a breakfast discussion on the local implications of globalization.

CED Trustee Dr. Tallman Trask, Executive Vice President, Duke University, provided the opening remarks while CED President Charles Kolb spoke on CED's efforts surrounding the "Americans in the World" program. The keynote address, provided by Robert Ingram, Vice Chairman, Pharmaceuticals, GlaxoSmithKline, considered the challenges and implications of drug importation. To view an expert, click HERE, to read the full keynote, click HERE. Mayor Bill Bell provided closing remarks.

The Durham forum's panel discussion included remarks from:

Rex Adams, Professor of Business Administration, Fuqua School of Business, Duke University, and CED Trustee. Click HERE to view an excerpt.

Dr. Elizabeth Kiss, Director, Kenan Institute for Ethics, Duke University. Click HERE to view an excerpt.

Thomas D. White, President, Durham Chamber of Commerce. Click HERE to view an excerpt.

Nancy Wysenski, President/CEO of EMD Pharmaceuticals. Click HERE to view an excerpt.

To read the forum transcript, click HERE.

CED Globalization Newsletters
Summer 2003 | Fall 2003 | Winter 2003

For more information on CED's globalization efforts, please contact Amy Morse at (202) 296-5860 x29 or amy.morse@ced.org.

CED released a policy statement on globalization and poverty, A Shared Future: Reducing Global Poverty as part of its May 2002 Policy Forum on "The Economics and Politics of Globalization: A Global Perspective from the International Network of Private Business Organizations". The paper contends that business and government leaders in the developed world have an obligation to, and an interest in, reducing poverty worldwide. It focuses on three critical areas: setting sound economic policies, improving governance and rooting out corruption, and investing in human and social capital.

A complete transcript of CED's May 15-16 Forum on The Economics and Politics of Globalization" is available, featuring remarks by Richard Holbrooke, George Soros, Joseph Stiglitz, and a panel of distinguished international business leaders. [read]

A short policy statement, From Protest to Progress: Addressing Labor and Environmental Conditions Through Freer Trade, was released on July 16, 2001.

Read the transcript or listen to the broadcast of an interview with former CED Vice President Elliot Schwartz about From Protest to Progress. The interview was broadcast on Voice of America with reporter Linda Cashdan.

Paula Stern, President, The Stern Group, Inc. and Edmund Fitzgerald, Managing Director, Woodmont Associates serve as the project's co-chairs.