HOW HE SEES IT The importance of being sharp

By JAMES KILTS
SCRIPPS HOWARD NEWS SERVICE
I know a thing or two about shaving. Use a sharp blade. Apply plenty of shaving cream. And remember to turn the lights on.
This Nov. 2, Americans will go to the polls to make choices that will profoundly affect our future -- and that of our children. But when it comes to some of the most important issues, like Social Security, taxes and free trade, our country might as well be shaving in the dark.
In a survey recently commissioned by The Gillette Co., only 25 percent of adults could correctly answer 11 elementary questions on economics. On questions about specific policies like raising the minimum wage and free trade agreements, most respondents did not understand the potential impact on our economy.
Our politicians, newsmakers and journalists, who should be framing the issues and educating the public, are of little help, preferring oversimplified slogans and solutions to detailed discussion and debate.
Critical subjects such as outsourcing and globalization often get buried in emotional catch phrases like "exporting America" and "America for sale."
Personal experience
As the CEO of a company that does business in every corner of the globe, I also know something about international trade and the immense benefits it has brought to a business started and still based in Boston.
Understanding basic economics is essential to running a Fortune 500 company.
But it's also essential to daily life -- and participating in a successful democracy. Americans need the educational background and tools to make their own informed decisions about issues that will affect their livelihoods and careers.
The place to start is our education system. Economics doesn't have to be the dismal science, but our schools need to do a better job of making it enlightening and entertaining. Only 13 states require some type of economics education in high school, and few teachers today have any training in the subject.
As we say at Gillette, sometimes you have go back to retrofit. When it comes to economics, this means bringing our teachers and high schools up to speed.
Retraining
Teacher training is where innovative groups like the Foundation for Teaching Economics -- which Gillette helps fund -- are making a lot of progress.
According to FTE, many teachers are actually eager to learn about free markets, and are excited to bring economics instruction back into the classroom.
Our schools shouldn't stop there. They should encourage real life projects in which students establish for-profit entrepreneurial ventures outside the classroom. That's hands-on learning at its best. And it results in a fundamental understanding of tax policies, interest rates and government regulation beyond any classroom instruction. It also gives students a taste for the thrills, risks and rewards of organizing and operating a business.
Economics taught well at the high school level will not only give us better-informed citizens, but it will bring them much-needed practical help.
With retirement investments, insurance plans, mortgage financing and even stock options a part of more and more young adults' lives, knowing the ground rules of the game has concrete benefits.
Knowing your options is fundamental to both economics and democracy. This November, we have a lot of choices to make. How do we deal with the globalization of the economy? How do we fund Social Security and pay for military operations? Should we cut taxes? Many people think -- wrongly -- that economics gives only one correct answer to questions like these. In fact, it shows us how to make choices intelligently, in full knowledge of the true costs.
By all means let's have a national dialogue about the choices that confront us this election year. But let's also get serious about long-term strategies to raise economic literacy. As a long-time Gillette user, I can tell you the only thing I value more than a sharp razor is a sharp mind.
XJames Kilts is the chairman, president and CEO of The Gillette Co.