WASHINGTON Jan 19 (Reuters) - Whipped by the recession and financial crisis, U.S. cities are looking far beyond their borders to grow their local economies.
At a meeting this week in the U.S. capital, mayors from across the country have focused intently on the promise of exports for generating jobs and economic activity.
"The largest single opportunity to create jobs at a local level may well be in helping a small business in Minneapolis-St. Paul, or any other American city, sell to the globe," said Minneapolis Mayor R.T. Rybak. "Our economy is growing again, but nowhere near as fast as the rest of the world."
Metropolitan areas account for 88 percent of the nation's exports, according to a study conducted by IHS Global Insight and released by the U.S. Conference of Mayors. Moreover, the 20 biggest metropolitan areas make up 50 percent of the total U.S. share of exports.
The housing bust put many people in the construction industry out of work, and it was followed by a recession that caused thousands of layoffs. In 2011, local and state governments, crunched by revenue drops, slashed their payrolls, primarily in education.
Now the national unemployment rate has been above 8 percent for 35 straight months. While it has recently edged down to 8.5 percent, cities - where most Americans live and work - are eager for it to drop faster.
As president of the conference, Los Angeles Mayor Antonio Villaraigosa is calling on cities to draft metropolitan export plans and coordinate within regions to create industry clusters and fill gaps in services.
"Generally, our export systems are fragmented and un-focused. They're not integrated to get the greatest return on investment," Villaraigosa told a meeting of the mayors.
EXPORTS ALSO APPEAL TO STATES
State governments see economic promise in exports, as well. Last February, the National Governors Association signed a concord with China to increase economic opportunities, with Washington Governor Christine Gregoire saying that "expanding exports is key to our economic recovery."
IHS found that for smaller cities, exports can have a large impact, noting that exports represent more than half the economy of Peoria, Illinois.
Northern cities tend to export to Canada, while southern cities send goods and services to Mexico, Venezuela and Canada, IHS found.
At the meeting, mayors defined exports widely, mentioning tourism and education as two promising sectors.
"The old way of looking at exports was a product you loaded onto a container," Rybak said. "That's still the case, but it's also the service performed by the consultant."
Cities could face challenges boosting exports, from slowness at the federal level in authorizing money for infrastructure repairs to taxpayer reticence to sending officials on foreign trips.
There is also the problem of the U.S. trade deficit, which widened in November to its largest in five months. Imports rose 1.3 percent that month, while exports fell 0.9 percent.
Bruce Katz, who leads the metropolitan policy program at the Brookings Institution, told the mayors that when it comes to exports the United States is an "emerging market."
"For a long time, the U.S. has been very inward focused. We're a very large market ... we haven't had to look out," he said. "Because domestic demand is crippled after this recession, and global demand is rising ... we've got to make the case to look outside our borders."
Brookings, a Washington think tank, is collaborating with the mayors to track cities' export programs.
Rybak, whose constituents do not all smile on sending out trade delegations, said "developing a local export plan doesn't mean spending more money. In fact, we need to do a better job of taking existing organizations and resources and aligning them."
His city is working to use established "sister city" relationships, reaching out to foreign graduates of local universities, and finding jobs for high school students originally from places such as Somalia at global companies.
(Reporting By Lisa Lambert; Editing by Gary Crosse and Jan Paschal)
Our 2024 Coverage Needs You
It's Another Trump-Biden Showdown — And We Need Your Help
The Future Of Democracy Is At Stake
Our 2024 Coverage Needs You
Your Loyalty Means The World To Us
As Americans head to the polls in 2024, the very future of our country is at stake. At HuffPost, we believe that a free press is critical to creating well-informed voters. That's why our journalism is free for everyone, even though other newsrooms retreat behind expensive paywalls.
Our journalists will continue to cover the twists and turns during this historic presidential election. With your help, we'll bring you hard-hitting investigations, well-researched analysis and timely takes you can't find elsewhere. Reporting in this current political climate is a responsibility we do not take lightly, and we thank you for your support.
Contribute as little as $2 to keep our news free for all.
Can't afford to donate? Support HuffPost by creating a free account and log in while you read.
The 2024 election is heating up, and women's rights, health care, voting rights, and the very future of democracy are all at stake. Donald Trump will face Joe Biden in the most consequential vote of our time. And HuffPost will be there, covering every twist and turn. America's future hangs in the balance. Would you consider contributing to support our journalism and keep it free for all during this critical season?
HuffPost believes news should be accessible to everyone, regardless of their ability to pay for it. We rely on readers like you to help fund our work. Any contribution you can make — even as little as $2 — goes directly toward supporting the impactful journalism that we will continue to produce this year. Thank you for being part of our story.
Can't afford to donate? Support HuffPost by creating a free account and log in while you read.
It's official: Donald Trump will face Joe Biden this fall in the presidential election. As we face the most consequential presidential election of our time, HuffPost is committed to bringing you up-to-date, accurate news about the 2024 race. While other outlets have retreated behind paywalls, you can trust our news will stay free.
But we can't do it without your help. Reader funding is one of the key ways we support our newsroom. Would you consider making a donation to help fund our news during this critical time? Your contributions are vital to supporting a free press.
Contribute as little as $2 to keep our journalism free and accessible to all.
Can't afford to donate? Support HuffPost by creating a free account and log in while you read.
As Americans head to the polls in 2024, the very future of our country is at stake. At HuffPost, we believe that a free press is critical to creating well-informed voters. That's why our journalism is free for everyone, even though other newsrooms retreat behind expensive paywalls.
Our journalists will continue to cover the twists and turns during this historic presidential election. With your help, we'll bring you hard-hitting investigations, well-researched analysis and timely takes you can't find elsewhere. Reporting in this current political climate is a responsibility we do not take lightly, and we thank you for your support.
Contribute as little as $2 to keep our news free for all.
Can't afford to donate? Support HuffPost by creating a free account and log in while you read.
Dear HuffPost Reader
Thank you for your past contribution to HuffPost. We are sincerely grateful for readers like you who help us ensure that we can keep our journalism free for everyone.
The stakes are high this year, and our 2024 coverage could use continued support. Would you consider becoming a regular HuffPost contributor?
Dear HuffPost Reader
Thank you for your past contribution to HuffPost. We are sincerely grateful for readers like you who help us ensure that we can keep our journalism free for everyone.
The stakes are high this year, and our 2024 coverage could use continued support. If circumstances have changed since you last contributed, we hope you'll consider contributing to HuffPost once more.
Support HuffPostAlready contributed? Log in to hide these messages.