I believe that this productivity increase might not have occurred were it not for the policy adjustments that were made starting in the late 1970s and continuing even today. Furthermore, the opening of many nations’ economies to our goods and services reflects, in my judgment, the fact that the world’s policymakers have, in general, abandoned the economic policies that were found to be counterproductive.
In the end, free trade, deregulation, sound fiscal policy, and sound monetary policy have all played a role in the strength of the US economy. These same factors are emerging as equally important in other economies. Economic prosperity, trade and global integration In economics, nothing is more fundamental than trade.