Third World Economic Gains Give a Lift to U.S. Exporters
The third world is giving the American economy an unexpected and much-needed lift, by increasing its imports of American goods by almost one-third over the last two years, with another large jump anticipated this year. American sales to the nonindustrialized world rose to $167 billion last year, up 14 percent over the previous year and largely offsetting weak demand from Europe and Japan, both plagued by economic slumps. Exports to the third world jumped to more than 37 percent of total United States exports last year, from 32 percent in 1990. Several Factors Cited Administration officials attribute the export boom to several factors. The rapidly industrializing countries of Asia are growing at a phenomenal pace, enabling them to purchase more American metal-cutting machines and Madonna records. Mexico, Argentina and other Latin American countries have recently lowered many tariffs and removed other trade barriers, while the region's growth is picking up after years of stagnation.