There is an increasing number of papers, particularly in the US, on the fact that developed countries lose manufacturing jobs due to globalisation and trade rather than automation, such as this Quartz paper ‘The epic mistake about manufacturing that’s cost Americans millions of jobs‘. This is particularly trendy, of course, in view of the need to justify Donald Trump stance on the need for protectionism.
My view is that those papers raise an obsolete debate. They are missing the most important point: the economy transforms and the future is not in manufacturing jobs. We’ll never get them back. What’s the point in wishing those jobs to return? Of course in the previous century those were high value added, safe jobs for the middle class. But in the Collaborative Age, manufacturing jobs will become like what farm jobs have become in the Industrial Age: low value jobs.
The economy is changing, fast, and it might look like a “manufacturing job implosion” like the paper says. And this is certainly dramatic for many people. But those jobs won’t come back, even with some backward policies around protectionism. Their value is evaporating. Governments should better help people find new, high value added occupations into the Collaborative Age.