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Cities Adapt With Mixed Results
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Some manufacturing towns have done worse than others during this period of a surge in Chinese imports. Dunn, North Carolina is one of these towns. It is 40 miles south of Raleigh. In the 10 counties clustered around Raleigh factory employment declined by 40% between 1990 and 2007. Per capita cost of government payments for benefits such as unemployment insurance, food stamps, increased by 74%. Cleveland by contrast was relatively insulated and adapted to the imports by moving into areas of manufacturing that required more technology and complexity. Autor and Hanson studied 722 county clusters throughout the U.S. to discern the impact of the surge in imports and free trade.
Regional U.S. economies- N. Carolina
09/27/2011
Grouped Articles
Cities Adapt With Mixed Results
Wall Street Journal 09/27/2011
The Mahoning Valley in northeastern Ohio, and other parts of Ohio in the U.S. Presidential election of 2012.
11/02/2008
The Mahoning Valley with its auto plants and union voters in northeastern Ohio. Journal reporters talk to voters to gauge the mood of public opinion in a state that is key to the U.S. elections in 2012. They find a mood of pessimism and despondency about the future.
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Cities like Washington D.C., San Francisco, Raleigh, N.C., have high proportion of college graduates in the population- as high as 40% in Washigton D.C.- with resuliting lower unemployment of about 7.5% or less. Other cities like Dayton and Youngstown in Ohio and Bakersfield, California, have a low proportion of college graduates- 20% in Dayton- and high unemployment of about 10.5%
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Experts who agree that its beneficial for the U.S. to lift exports through devaluation of the currency.
10/15/2009
This includes Krugman, recent Nobel Prize winner, Morici, University of Maryland, Hatzius of Goldman and Kasman of JP Morgan. Other experts also welcome the depreciation ogf the dollar as long as it is not a sudden drop. With consumers strapped, quantitiative easing reaching its limits, the stimulus in place, rising unemployment in 2010 and very poor capacity utilization, exports are a sure way to lift the economy. Morici and Krugman see a Chinese disconnect with it siphonig growth away from other countries through keeping its currency low. Morici cites the example of solar panels where China requires 75% domestic content for imports.
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Varying impact of imports on U.S. cities and counties
09/27/2011
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Free trade and its impact on counties and communities across the U.S.
09/27/2011
About one-third to two-thirds of the benefits from trade are erased by the cost of government payments in the form of unemployment insurance, food stamps and disability benefits for U.S. communities that fare worse from a surge in imports. This is one of the conclusions in a research study by professors Hanson and Autor of 722 clusters of counties in the U.S.
Linked Articles
Cities Adapt With Mixed Results
Wall Street Journal 09/27/2011
Tallying the Toll of U.S.-China Trade
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