Ricochet is the best place on the internet to discuss the issues of the day, either through commenting on posts or writing your own for our active and dynamic community in a fully moderated environment. In addition, the Ricochet Audio Network offers over 50 original podcasts with new episodes released every day.
So Donald Trump is taking credit for saving nearly half of the 2,000 Carrier manufacturing jobs that were headed to Mexico. The manner in which this happened troubles me greatly. And now he has his sights set on another Indiana manufacturer:
I think it is also important to put this all in context with the massive monthly job churn in the US economy. From the Bureau of Labor Statistics:
Large numbers of hires and separations occur every month throughout the business cycle. Net employment change results from the relationship between hires and separations. … There were 1.5 million layoffs and discharges in September, a decrease of 218,000 from August.
And some further context:
I actually had to really juice up the green Carrier bar because, compared to the monthly job churn number, it really didn’t register visually. It was imperceptible. One might have also compared the 800 jobs saved to the 178,000 net new jobs created in November, or 223 Carrier Units.
Of course those Carrier jobs are pretty darn important to the workers themselves. Obviously. But rather than ad hoc presidential interventions, I would much rather create a better domestic growth environment, while making sure workers can ably transition to new jobs, even in other regions. That would seem the better long-run path both for US workers and their children who will some day be entering the labor force. As I wrote last week:
Workers have a responsibility to make sure they are preparing themselves to prosper in a modern, technological advanced, dynamic economy with no promise of lifetime employment at one firm. After all, Trump, in his Carrier speech, said he wouldn’t penalize firms for moving factories within the US. The goal should be an economy of maximum competitive intensity with workers helped by a modernized safety net.