Tuesday, August 24, 2010

Can Government Affect Manufacturing Employment?

CHART OF THE DAY: Here's The Trend Obama Is Fighting, If He Wants To Save American Manufacturing
The economy goes in and out, and from time to time the US manufacturing sector booms. But this chart, put together by Paul Kedrosky, makes it pretty clear: as a share of total non-farm payrolls, manufacturing jobs are only going in one direction (down).

This just shows you that as much as you all think government can "save" jobs, and keep manufacturing jobs in the U.S., it cannot. There are other, larger forces at work (like huge hourly wage discrepancies between countries that the market naturally wants to even out) that simply are too powerful. All the power and money you give to the government, and it cannot provide what it tells you it can. Aren't you starting to feel foolish?

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