By Thomas J. Donohue, President and CEO, U.S. Chamber of Commerce

The man who coined the term “globalization” died in July, but the concept he gave a name to continues to generate heated debate, particularly in the United States. Despite a successful, growing economy that is increasingly tied to international commerce, many Americans are questioning the nation’s long-standing policies of openness in trade, investment, and immigration.

While globalization means different things to different people, there is one key question we must ask ourselves: should our nation continue its tradition of openness and engagement with the world in all respects, or should we attempt to wall off our country and our economy, retreating to a new form of isolationism?

I believe America must remain open to the world and lead. While a rapidly changing and dynamic economy can cause anxiety – with thousand of jobs disappearing even as thousands of new ones are created – walling ourselves off from the rest of the world will only hurt us, not help us.

Most Americans would be surprised to learn that:
· International trade is now equivalent to 27% of our entire $12 trillion economy
· Our exports to the world support at least 12 million American jobs, jobs that generally pay 18% more than other jobs
· International investors create 5.1 million jobs in our country, with salaries that are on average 15% higher
· Through direct foreign investment – plants, buildings, companies — Americans “own” more of the rest of the world than the world “owns” in America
Engaging in free and fair trade is increasingly important to small and mid-size businesses, who represent 97% of all U.S. exporters. With 95% of the world’s purchasing power outside our borders, the opportunities for America’s small businesses to expand into overseas markets are growing rapidly.

The advantages gained by tapping into overseas demand – higher output, more employment, lower prices, to name a few — could mean a make-or-break difference for many small companies struggling with weaker domestic demand.

America is not about retreating and closing off its borders. It’s about leading. No one knows more about leadership than America’s businesses, especially the entrepreneurs who run small businesses. If given a level playing field, we can compete and win in any market. Let’s keep that – and these other facts – in mind as the debate over globalization continues.