Comércio Internac/tional Business
Desabafos sobre a matéria/Opinions on the subject08 abril 2005
Please come forward!
From their model I fail to see how Johnson & Stafford (1993) and Samuelson (2004) may infer a net loss in the wellbeing of the U.S., i.e. a real absolute decline in their GDP, due to an improvement in their trading partners' productivity in the formerly U.S. exporting sector. The only possibility I envision this could happen is through a terms of trade deterioration of the exported goods (à la immiserizing growth), but not of the "formerly" exporting sector goods, that is, in the now import competing industry, where the Chinese and Indians were supposedly taking the lead through productivity gains, offshore outsourcing, enhanced services exports, etc., all induced also by broadband Internet use and other communications improvements.
If someone out there sees what I'm not seeing, please come forward and write me to pascoa@eeg.uminho.pt
C.M.
From their model I fail to see how Johnson & Stafford (1993) and Samuelson (2004) may infer a net loss in the wellbeing of the U.S., i.e. a real absolute decline in their GDP, due to an improvement in their trading partners' productivity in the formerly U.S. exporting sector. The only possibility I envision this could happen is through a terms of trade deterioration of the exported goods (à la immiserizing growth), but not of the "formerly" exporting sector goods, that is, in the now import competing industry, where the Chinese and Indians were supposedly taking the lead through productivity gains, offshore outsourcing, enhanced services exports, etc., all induced also by broadband Internet use and other communications improvements.
If someone out there sees what I'm not seeing, please come forward and write me to pascoa@eeg.uminho.pt
C.M.
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