Hank Paulson Opens His Window
By Jeannine Patané • 2 September 2006

     The four corners that support the dome of the rotunda have different words engraved in each corner: Law, Philosophy, Theology and Medicine. At floor level, vases, pottery and other vessels are displayed in glass cases, which are wedged in between the omnipresent pillars; four pillars on every side of the room are supporting the balconies. The late morning sunlight filters through the eastern arched window, between the corners of Philosophy and Theology, with its light resting on many of the attendees that are sitting in the center of the library’s rotunda.

     The people who congregated into this space are here to listen to U.S. Treasury Secretary Henry Paulson’s first public remarks since he was sworn into office in July 2006. The Low Memorial Library Rotunda at Columbia Business School was a classic venue for Mr. Paulson’s first public speech.
     Mr. Paulson said he chose New York City for his first speech because it is, “Unquestionably the world’s financial capital.” He continued, “New York is home to financial institutions that are leaders in the U.S. and every major market around the globe.”
     Like the library’s strong pillars that support the balconies above, Mr. Paulson’s confidence in long-term economic strength was evident in his first address to the public.
     Although a majority of Mr. Paulson’s remarks were addressed towards the U.S. economy, his economic philosophy is applicable on a global level. When he spoke of the challenges of across-the-board economic confidence, he said, “Often the pendulum swings too far and we need to go through a period of readjustment.” One of our current challenges he puts into question is how to achieve the right regulatory balance; it’s a question that many countries continue to work on.
     Mr. Paulson believes the way we handle a problem is, “We shine a light on it and move quickly to clean it up.” He shares, “I have always tried to live by the philosophy that when there is a big problem that needs fixing, you should run toward it, rather than away from it.”
     Mr. Paulson’s philosophy is also consistent when he speaks of free trade, “If we are to retain our competitive advantage, we need to welcome competition, and not run away from it.” He advocates countries to open their markets to goods, services and capital. His experience with international markets and economies has taught him that, “Nations that reform their economies, and open themselves to trade and competition, benefit their own citizens greatly. They see more jobs and higher living standards, and those nations that don’t take these steps are left behind.”
     Henry Paulson doesn’t see himself as a metaphorical way ahead to higher levels like steps, but instead, “just a window on U.S. capitalism.” Hopefully, he will let the light shine brightly through, so we can move towards our economic challenges, and we will learn how to encourage better productivity and increase financial well-being for all of our world.

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