Question

In: Economics

*** DISCUSS ABOUT GLOBALIZATION AND ITS IMPACTS IN THE U.S a/ Find an example of one...

*** DISCUSS ABOUT GLOBALIZATION AND ITS IMPACTS IN THE U.S

a/ Find an example of one lost his/her job to a robot or automation because of globalization.

b/ My professor said that "President Trump thinks he can bring back traditional manufacturing in big ways, but this has not worked out, and, as you show, it's not because of outsourcing. Other countries are not to blame, but we are to blame for not creating a more educated, sophisticated workforce" I do not understand clearly. PLEASE EXPLAIN THE WHOLE IDEA AND GIVE SOME EVIDENCE/EXAMPLE TOWARD THIS EVALUATION.

Solutions

Expert Solution

As per Trump, Citizens of US are not getting jobs because companies are hiring people from other countries (because of easy immigration policy of US), also companies are able to outsource their jobs to people living outside the US. And trump thinks that by changing the immigration policies and taking other steps he can make these companies hire US citizens.

But here we need to understand why these companies are hiring people from other countries or why they are outsourcing. One of the major reason is that supply of skilled employees in US are not enough to fulfill the demand of these companies. They are outsourcing, it does not mean that they are not hiring the local employees. it simply means that local supply is not enough.

Reason/evidence behind the low supply:

just observe the High school drop out rates in America. or even if you observe the difference between number of high school graduates and number of college graduates. you will find out that a lot of people do not pursue higher studies in US, which make them ineligible for high skilled jobs. Hence either companies hire employees from other countries or outsource their work.

A lot of companies have their back offices in India to perform IT and data analytics for the whole company. Simple reason behind this is that a lot of skilled laborers are available there which can fulfill the demands of these companies.

for example, Wells Fargo do not provide their banking services in India but they do have their back office in India and full fledged Data analytics team


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