Microsoft Calls for Protectionist Policies to Be Avoided

Microsoft is calling out for governments and businesses to steer clear of protectionist policies, despite their potential appeal in the context of the global economic downturn. The Redmond company, through the voice of General Counsel Brad Smith, indicated that a strong focus on sustaining social responsibility actions was the desired strategy in a tough economy rather than attempting to become isolated from the rest of the world.

“I spoke at the American Chamber of Commerce in Sao Paulo, one of the largest business groups in the world, and addressed Microsoft’s support for decisive government action to accelerate economic activity,” Smith said. “At the same time, we also believe governments must be careful to avoid protectionist policies that would have negative long-term consequences.”

Smith uses the way governments reacted to the 1929 stock market crash with measures designed to insulate their economies as an example. Microsoft's general counsel warned that the strategies had failed in the past century, and that both businesses and governments needed to learn from past mistakes. “The business community around the world needs to be an advocate for trade, economic development, and workforce policies that resist protectionist impulses and provide a sustainable foundation for long-term economic growth,” Smith explained.

Essentially, Microsoft is lobbying for businesses and governments to “act creatively” in order to produce new jobs and new economic opportunities. The software giant is doing its fair share of the heavy lifting, Smith underlined, with such projects as Elevate America. In the end, a comprehensive strategy to fight the global economic crisis should involve a balance of both short-term and long-term measures set up not only to deal with the present problems, but also to create the foundation for future growth. “Despite tight budgets and cost controls that all companies are facing, businesses need to sustain their important social responsibility activities, despite the current economic hardships,” Smith concluded.