Study: China really is to blame for millions of lost U.S. manufacturing jobs

By Jeffry Bartsh, for MarketWatch

May 14, 2018

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Millions of Americans who lost manufacturing jobs during the 2000s have long ”known” China was to blame, not robots. Evidently many academics who’ve studied the issue are finally drawing the same conclusion.

For years economists have viewed the increased role of automation in the computer age as the culprit for some 6 million lost jobs from 1999 to 2010 — one-third of all U.S. manufacturing employment. Firms adopted new technologies to boost production, the thinking goes, and put workers out of the job in the process. Plants could make more stuff with fewer people.

The study's findings boil down to this: The government for decades has vastly overestimated the growth of productivity in the American manufacturing sector. It’s been growing no faster, really, than the rest of the economy. What that means is, the adoption of technology is not the chief reason why millions of working-class Americans lost their jobs in a vast region stretching from the mouth of the Mississippi river to the shores of the Great Lakes. Nor was it inevitable.

Read the full story.

 

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