Six Reasons Manufacturing is Crucial to the Economy:
Without a robust revival in the manufacturing sector, we can kiss our status as a great economic power goodbye.
Paul Krugman recently argued that “manufacturing is one of the bright spots of a generally disappointing recovery, and there are signs — preliminary, but hopeful, nonetheless — that a sustained comeback may be under way.” He points out that the gap between what we sell and what we buy has been improving. This must be set against a background of a manufacturing decline in the United States of historic dimensions; even without adjusting for inflation, the trade deficit in goods for the United States between 2000 and 2010 was 7 trillion dollars. A turnaround in the attention of more perceptive economists and a turnaround in manufacturing may be in the works. But before that, the crucial question is: Why is manufacturing so important?
Read the entire article from the Roosevelt Institute Here.