> You could argue that globalization has pulled millions of chinese peasants out of poverty, and helped creating a middle class in China, which is already increasing the pressure on the regime to transition to a democracy.
Of course the college-educated middle-class service industry isn't paying for this in any way, they're the ones pocketing the difference between domestic wages and Chinese ones.
> In any case, as some pointed out here, outsourcing to China is only the first step in the destruction of these jobs. Robotics is likely going to replace many of these jobs in the next 20y, which might bring back some industry into the West, ie more jobs but more sophisticated jobs.
Productivity growth is the lowest it's ever been, and when it was the highest, wages were rising fastest and employment was at its peak. Automation, as it increases worker productivity, should also increase wages - adding to quality of life as people can consume more or choose to work less. The question is whether the government will make sure that a large proportion of the benefits of productivity are distributed to the workers, or will it allow those benefits to be entirely skimmed by the financial industry, creating an increasing hole in demand for anything other than luxury goods.
Of course the college-educated middle-class service industry isn't paying for this in any way, they're the ones pocketing the difference between domestic wages and Chinese ones.
> In any case, as some pointed out here, outsourcing to China is only the first step in the destruction of these jobs. Robotics is likely going to replace many of these jobs in the next 20y, which might bring back some industry into the West, ie more jobs but more sophisticated jobs.
Productivity growth is the lowest it's ever been, and when it was the highest, wages were rising fastest and employment was at its peak. Automation, as it increases worker productivity, should also increase wages - adding to quality of life as people can consume more or choose to work less. The question is whether the government will make sure that a large proportion of the benefits of productivity are distributed to the workers, or will it allow those benefits to be entirely skimmed by the financial industry, creating an increasing hole in demand for anything other than luxury goods.