The truth about offshoring

The truth about offshoring | CNET “It is true that America has lost jobs in the last three years, and the technology sector has been harder-hit than many others. But the job loss has not been as huge as some politicians and news reports would have you believe. America’s unemployment rate currently is around 5.7 percent, not especially high by historical standards, and among the lowest in the world. It’s certainly the envy of France (9.3 percent), Germany (9 percent), and Canada (6.8 percent).

Just as candlemakers and farriers lost their jobs a century ago, free trade results in temporary disruptions. But in the long run, free trade is vital to a society’s overall health. In the 1990s, developing countries hostile to foreign trade experienced average growth rates of negative 1.1 percent per year, while developing countries that embraced freer trade enjoyed growth of positive 5 percent annually. ”

I’m heartened to see popular press outlets carrying more enlightened stories about the realities of job loss, free trade and the U.S. economy. I’m no longer naive enough to believe that the average U.S. citizen will read and understand what’s being said… but at least there’s some balance in the madness & spin.

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