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Why the 2000s Were a Lost Decade for American Manufacturing

March 14, 2013
| Blogs & Op-eds

ITIF estimates that over 60% of U.S. manufacturing job losses in the 2000s were due to competitiveness challenges, rather than productivity gains. While this was occurring, and while our leaders could not agree on whether it was a problem, other nations such as China and India were greatly increasing market share in the same industrial sectors, through coordinated national efforts to expand innovation, productivity and exports. We can expect overall manufacturing output, and the jobs that are based on it, to continue to recede unless we address the real problems we face. Namely, how do we make American firms more globally competitive to increase output, production and real growth? But that will be the topic for another day.