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There are other factors here: Automation. East asia remains the manufacturing powerhouse of the world, but even that region is losing production jobs in absolu
by oxymoron 11y ago
There are other factors here:
Automation. East asia remains the manufacturing powerhouse of the world, but even that region is losing production jobs in absolute numbers. Low skilled labour opportunities are disappearing everywhere.
Transport. Free trade doesn't cause a sudden loss of jobs to abroad. Cheap and effiecient logistics did. The incentives for moving jobs abroad is there with or without trade treaties.
Regulation and incentives. Not sure if it remains the case but most of the major US tech companies including the likes of Microsoft, Dell and Intel used to be headquartered on Ireland due to tax incentives.
Unions. Love 'em or hate 'em, they do cause disturbances in the market equilibriums.
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All of this has happened without treaties with either the EU nor the pacific countries. Some automotive factories may have ended up in Mexico, but NAFTA is hardly the reason that the US is where it's at.
- gonzo 11y ago> Automation > ... > Transport Now combine them. There was an article on HN yesterday about autonomous semi trucks. about the only thing that will stop this is the cost of energy, which is all but artificially low right now. If/when it climbs, the economy is in for the mother of all "resets".
- collyw 11y agoI would still say its more down to misallocation of capital. As someone else pointed out, you only need to look around you to see that there is no shortage of work needing done. Are your streets clean? Are all the roads in perfect condition? Has everyone got good healthcare?