“The only thing we are exporting are jobs and factories. Since we are becoming more service based all the time, I wonder at the value of this stat anyway.”
The free traders told me for years that exporting jobs and factories was good for America.
Could it be they were wrong? They seemed so sure.
I’ve never seen anyone say “exporting jobs and factories was good for America.” And I’ve been here for years. Maybe you’re simply making things up?
You are absolutely correct. One principle of free trade (NAFTA, etc) is that production will readjust globally, to the benefit of all.
Labor-intensive industries would leave the USA, headed for cheaper-labor regions. High-tech industries would stay in the USA, and expand to fill the void left by the older industries.
Well, the first part of that all came true. The older industries (clothing production, funiture making, etc.) are mostly all gone now.
But nothing filled that void. In fact, it's quite the opposite. We are now seeing high-tech industries leaving the USA as well.
As just one example, General Electric recently announced that it's moving its 115-year-old X-ray business from Wisconsin to China.