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Manufacturing’s job crisis

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Presentation on theme: "Manufacturing’s job crisis"— Presentation transcript:

1 Manufacturing’s job crisis

2 Productivity, demand, and trade

3 Productivity

4 Demand

5

6 Trade deficit in manufactures

7 An accounting framework

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11 A closer look: durable vs. non-durables

12 Contributions to job-loss: 1998-2003

13 Contributions to job-loss: 2000-2003

14 Contributions to job-loss: 2001-2003

15 Productivity growth: durables vs. non-durables

16 Productivity: Durables – NAICS 3341 and 3344
Computer and peripheral equipment Semiconductors and electronic components

17 Manufactures trade deficit + Value of the dollar

18 Real, broad $ index: Time to breathe easy?

19 Broad, major vs. OTIP indices

20 Top 6 Deficit trading partners

21 Deficit-weighted exchange rate change

22 Policy options 1) Dollar policy: continue negotiations with countries that peg their currency for competitive advantage 2) Legacy cost relief for retiree health and pension benefits 3) Health care, as always


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