Quote:
Originally posted by snowman
Yeh, um right, trade deficit bad. But overall in terms that mean something, what is the overall economics effect. What would an economics professor say?
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An economics professor would say that a trade deficit is NOT NECESSARILY a bad thing. It shows that the economy is growing faster than the local supply.
I for one am not too worried about offshoring. Low cost labor jobs tend to be offshored, high paying engineering etc. tends to stay here. I dunno if you guys in Ca have noticed, but Silicon Valley isn't exactly empty. In fact, it is growing at a very fast rate. Even alot of the companies that were sending work to computer mills in India have now decided it's more economic to keep the work here.
It's telling that most of the people holding doctorates in the US were born elsewhere: We import brain power. Well, at least we did, until 2001 and immigration became a *****. Why are all these people coming to get higher education and work here? It's because this is where all the jobs requiring doctorates are!
Anyway...both The Economist and Newsweek had articles on this last month.