JACKSON, Wyo. — Federal Reserve Chairman Ben Bernanke cautioned lawmakers to avoid the temptation to impose protectionist trade policies as the United States grapples with fierce competition from globalization.

Globalization has shrunk the world and made countries increasingly connected through economic ties. The opportunities for companies to sell their goods to more and more countries can generate wealth and boost living standards. That has benefited some workers, but has hurt those left behind in the changing worldwide economic landscape.

"Further progress in global economic integration should not be taken for granted," Bernanke told an economics conference that explored the forces of globalization.

"Geopolitical concerns, including international tensions and the risks of terrorism, already constrain the pace of worldwide economic integration and may do so even more in the future," he told the gathering organized by the Federal Reserve Bank of Kansas City.

Bernanke's remarks came amid higher trade tensions between the U.S. and China, and as global trade talks have stalled. Americans also are increasingly anxious about the potential of losing their jobs to workers in China and India, two emerging economic giants.

Against that backdrop, U.S. lawmakers — as they have through the years — may be tempted to enact protectionist measures to try to slow globalization.

Bernanke said that would be unwise.

"The challenge for policymakers is to ensure that the benefits of global economic integration are sufficiently widely shared — for example, by helping displaced workers get the necessary training to take advantage of new opportunities," he said.

New technologies and faster communication make it easier for companies to look beyond national borders for cheaper workers. In the U.S., factory jobs have been lost to overseas competition or moved offshore, and some service-sector jobs have moved overseas.

President Bush wants to sharpen America's competitive edge by bolstering math and science education, and encouraging research and development.

The United States racked up a record $716.7 billion trade deficit last year, the fourth year running in which the deficit swelled to an all-time high. Last year's imbalance with China alone mushroomed to $202 billion, the largest ever with a single country.

Lawmakers in Congress have suggested hefty tariffs on Chinese goods, among other measures, to clamp down on China and its currency practices. Critics contend China is keeping its currency artificially low, giving it an unfair trade advantage, hurting U.S. exports and contributing to the loss of U.S. factory jobs.