In 2013, a trio of academics showed convincing evidence that increased trade with China beginning in the early 2000s and the resulting flood of cheap imports had been an unmitigated disaster for many US communities, destroying their manufacturing lifeblood.
The results of what they called the “China shock” were gut-wrenching: the loss of 1 million US manufacturing jobs and 2.4 million jobs in total by 2011.
If in retrospect all that seems obvious, it’s only because the research by David Autor, an MIT labor economist, and his colleagues has become an accepted, albeit often distorted, political narrative these days: China destroyed all our manufacturing jobs! Though the nuances are often ignored, the results help explain at least some of today's political unrest. It’s reflected in rising calls for US protectionism, President Trump’s broad tariffs on imported goods, and nostalgia for the lost days of domestic manufacturing glory.
Our editor at large David Rotman recently spoke to Autor about what he considers a far more urgent problem——what some are calling China shock 2.0—and the lessons it holds for today's manufacturing challenges. Read the full story.
Three things I’m into into right now
In each issue of our print magazine, we ask a member of staff to tell us about three things they’re loving at the moment. For our latest edition, which was all about power, I was in the hotseat! Check out my (frankly amazing) recommendations here, and subscribe to catch future editions here.
The must-reads