The U. S. has made it illegal for its firms to bribe foreign officials to get contracts. But in many countries bribery is not against the law. Experts say that firms based in countries which permit bribery have an advantage over firms in countries which don't. Now the U. S. is pressing other countries to bar their firms from bribing foreign officials. Uncle Sam, Salesman Politicians' enthusiasm for promoting national exports has been growing, both in the U. S. and in countries around the world.
Analysts say governments have four main ways to promote domestic products abroad.
Governments can get around that by subsidizing research and development by up to 75 percent of an industrial firm's research costs or half the cost of product development under WTO rules. Governments can also boost exports by manipulating the exchange rate of their currency, by gathering information on foreign markets for domestic sellers, or conducting trade missions by government authorities. The U. S. Commerce Department estimates that 90 percent of its work is on behalf of small companies. But officials admit there has been only a slight increase in small firms' share of American exports. They are being lured by fast-growing overseas markets and lower trade barriers.