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What’s the Best Way To Help Low-Income Workers? Automate Low-Income Jobs.

As we celebrate Labor Day, reducing unemployment and getting the COVID-impacted economy back to some semblance of normality is clearly the top economic task. But when that is done the economy will still face a critical labor market problem: too many workers earning too little. A recent Brookings study found that 44 percent of American adults workers make very little, with median annual earnings of just $18,000.

To Counter China, Some Republicans Are Abandoning Free-Market Orthodoxy

Jeanne Whalen reports on Republican enthusiasm for industrial policy, citing American Compass’s Moving the Chains report.

How Trump Has Changed the Republicans

The Saturday Essay features American Compass’s efforts to construct a new conservative governing philosophy.

How Corporate Actual Responsibility, Not Social Responsibility, Would Look

American Compass’s Oren Cass outlines the arguments from an open letter sent to the Business Roundtable calling for corporate actual responsibility.

Industrial Security Policy: New Missions for DoD, SBA and CFIUS

Thanks to the near-criminal negligence of neoliberal globalist policymakers in both the Democratic and Republican parties, America’s national industrial base, the foundation of its global power, has eroded to the point of collapse.

Intel’s Stumble is Very Bad for America

America used to dominate the semiconductor industry, but that leadership position is increasingly fragile. There are two parallel forces at work: the rise of our competitors and the decline of our domestic champions.

China and Civic Piety

The Chinese Communist Party’s efforts to eradicate the Uighur Muslim population in favor of the Han majority are horrifying. Programmatic abortions and sterilizations, slave labor, and “re-education” camps recall atrocities of the past. At the same time, the CCP’s ambitions for Hong Kong outrage westerners committed to liberty and the rule of law. And its record for the treatment of prisoners and religious dissidents is miserable. 

Why Neither Party Focuses on the Key Economic Issue: Enterprise Capabilities

The partisan rancor in Washington is worse than any time in the last century. But surprisingly when it comes to economic policy, both parties share a common view: policy needn’t be concerned about enterprise capabilities.

Rebuilding American Industry: Devil Is in the Details

David Goldman features his Moving the Chains symposium essay, “The Reshoring Imperative,” with new commentary directed at Joe Biden’s “Buy American” campaign.

On Buy American: Trump Should Listen to Steve Bannon, Not Steve Moore

A 2020 presidential contender unveiled a 700 billion dollar ‘Buy American’ plan today to rebuild America’s manufacturing sector devastated by the coronavirus.

Corporations in the Community of Communities

How should businesses balance shareholder interests with obligations to their workers, communities, and nation?

agricultural automation
All Productivity is Good: Even Automation

One of the few times when I have found myself in agreement with Paul Krugman is when he famously wrote, “Productivity isn’t everything, but in the long run it is almost everything.” Yet, today, this statement is not only passé, but downright suspect, at least among many U.S. elites. For in a world characterized by neo-Luddite fear of new technologies and outlandish claims that technology will destroy most of our jobs, public and elite opinion has shifted to a view that “productivity is almost nothing, especially if any worker loses their job from it.”

U.S. Capitol Building at Dusk.
Steps in the Right Direction: Two Proposals for Funding U.S. Semiconductor Foundries

There are many reasons to be pessimistic about the future of this country at the moment, and most of them are hard to ignore. But there are also new glimmers of hope appearing in important areas, even if they don’t get much media attention.

An Industrial Policy by any Another Name…

The opinion pages of both the Financial Times and Wall Street Journal have featured calls for industrial policy in the past week, an encouraging trend toward realism about the necessary role for government in a free-market economy.

Should There be Legal and Ethical Limits to National Developmentalism?

ITIF recently released a report about how “innovation mercantilist” policies were instrumental in enabling China to dominate the global telecom equipment industry, and how that rise came at the expense Read more…

America Cottons on to Industrial Policy Again

Recently, I suggested that the United States would do well to emulate some aspects of China’s economic development model, largely on the grounds that this still constituted the optimal route to reindustrialization. If done correctly, reindustrialization can provide a key means of generating high quality jobs in the U.S. and a corresponding break from today’s prevailing market fundamentalist model characterized by precarious employment prospects, wage stagnation and the loss of many of the attributes long associated with a prosperous and stable middle class.

Contain China if Necessary, but Emulate Features of its Industrial Policy to Ensure Long Term Economic Prosperity

Robert Atkinson of the Information Technology and Innovation Foundation has just written a very compelling analysis of China’s national industrial policy, especially in relation to the exponential growth of its telecommunications industry. Some of the key findings of the paper, “How China’s Mercantilist Policies Have Undermined Global Innovation in the Telecom Equipment Industry” are as follows:

America Must Fight For Global Industry Leadership Again

American Compass’s Wells King outlines the proposals from the “Moving the Chains” reshoring policy symposium.

Unexplored Pathways

A Response to David P. Goldman

Don’t Give Up on Bringing Manufacturing Back to the U.S.

Columnist Noah Smith appraises American Compass’s reshoring policy symposium: “Moving the Chains.”

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