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Books > Business & Economics > Economics > International economics > International trade
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Job Loss from Imports - Measuring the Costs (Paperback)
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Job Loss from Imports - Measuring the Costs (Paperback)
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There is an important question lost in the debate over the number
of jobs created or destroyed by trade liberalization: as the
dynamic American economy continues to change, with freer trade and
technological advances, what kind of work will Americans do? In a
dynamic economy jobs are created and lost, and workers are
displaced. Moving beyond the recent public policy focus on how many
workers will be affected, this study focuses on understanding how
these workers will be affected. Using worker-level data from the
Displaced Worker Surveys, Lori G. Kletzer asks and answers a number
of key questions about the cost of trade-related job loss. How do
these workers compare to those displaced from other manufacturing
industries? How sizeable are the earnings losses? What can we learn
from the pattern of reemployment and earnings that will aid in the
(re)design of adjustment services? The costs of import-competing
job loss are high for some workers, but not starkly higher than the
costs of other types of manufacturing job loss. For many
manufacturing displaced workers, the best outcome, in terms of
minimizing medium-term earnings losses, is to regain employment in
the "old economy," back in manufacturing. New jobs in the service
economy tend to result in larger earnings losses. This report
reveals a narrow, but significant, group of workers for whom
import-competing job loss is very costly. For other workers,
realized costs are smaller. Understanding this range of outcomes
should assist policymakers in targeting assistance to address the
real costs of import-competing job loss.
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