The Two Economies (New York Times)

The global demand for smart machines, energy and consumer products has put America on track to double its exports by 2015 as President Obama promised in 2010. This export boom could lead to an economic recovery, but it may require some bipartisan understanding. The American sector that operates in the global arena and the American sector that doesn’t have to contend with global competition – health care, education and government – are two interrelated economies. A lot of productivity is coming out of the global sector, but not a lot of jobs. It’s just the opposite for the sector removed from the global front. Republicans like the efficient globalized sector, while Democrats feel health care, education and government need protection from the streamlined global economy. America’s economic recovery could be hampered if the two political parties don’t make the effort to understand how the two sectors work together.