As long as America has a labour force of competitive, skilled workers, it will still reap the benefits of innovation and benefit from trade. An interesting question is what wages and jobs would have been if more [iPod] production had taken place in America. If that had been the case, iPods would have been more expensive. Apple would have faced less demand for the new models that are constantly being trotted out. This probably would have meant fewer well-paid skilled jobs.
Interesting analysis. This reminded me that the reason I chose to study economics is because my first economics class exposed how rudimentary the thinking of most people I knew and myself was.
Far too often people focus on the wrong things when trying to analyze the economic benefits and costs. Much of the time what they portray as benefits of their preferred policy would be true under the alternative as well or is just flat out wrong.
Posts
0 comments:
Post a Comment