Exports, Keeping Economy In the Black

By May 7, 2008Economy, Trade

Good story in today’s Washington Post, “Buoyed by Foreign Money,” on export-driven economic growth, including a 5.5 annual rate of increased exports in the first quarter.

Locally, firms have shared in the growth, and they have a lot at stake should it tail off. Virginia’s export shipments totaled $16.9 billion in 2007, up 56 percent from 2003. Meanwhile, Maryland’s export shipments totaled $8.9 billion in 2007, an increase of 18 percent from the year before and 81 percent from 2003.

The story quotes the NAM’s David Huether, our chief economist.

“What is happening now in the economy really shows why it is important for the U.S. economy to be engaged globally,” Huether said. “When there are slowdowns in certain parts of the domestic economy, it is a real benefit when there is another pillar holding things up.”

This related Bloomberg story is of interest, big picturewise, “German Economy to Grow More Slowly, IW Institute Says.”

The survey partly reflects that companies are still benefiting from export growth and consumer demand that’s growing as unemployment falls and real wages expand, the IW said. “Robust” economic growth this year in the euro-region will likely deter the European Central Bank from lowering interest rates, Michael Huether, the IW’s director, said in an interview. “Lower interest rates are just not on the agenda.”

Hold on, there. An economist named Huether?

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