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> But even these anemic numbers mask serious mismeasurement of manufacturing output. More than 110 percent of all real manufacturing growth during this period w
by anamoulous 10y ago
> But even these anemic numbers mask serious mismeasurement of manufacturing output. More than 110 percent of all real manufacturing growth during this period was driven by a single sector, computers and electrical components (NAICS 334), whose output has been shown by numerous academic studies to be seriously overstated as a result of the very rapid rate of progress in computer processing speeds. Because this one sector (NAICS 334) accounted for all the output growth from 2000 to 2009, the other 18 major manufacturing industries were as a group producing less at the end of 2009 than they were in 2000.
http://www2.itif.org/2015-myth-american-manufacturing-renaissance.pdf http://www2.itif.org/2015-myth-american-manufacturing-renais...
- adventured 10y agoIt's particularly obvious that "computers and electrical components" do not account for the manufacturing output index climbing from 100 to 130+ between 2009 and 2016 and hitting a new historical high.
- anamoulous 10y ago> It hasn't decreased, it has significantly expanded since NAFTA was created "computers and electrical components" account for a good deal of the expansion in this time period. Output is growing but it's lagging behind GDP growth. A heavy amount of the growth after the recession comes from the automobile sector. It's uncertain how sustainable that is. It's just more complicated than trumpeting that manufacturing is at an all-time high. There are real concerns underneath those numbers.