1. Productivity and employment are generally inversely related, though this is not an effective argument against productivity or technology that promotes productivity.
2. More ATMs does not equal fewer jobs. In fact, it may mean the opposite.
3. Complements vs. Substitutes - Most technology is complementary to labor rather than a labor substitution.
4. Wages in China are increasing at a very rapid rate, NOT DECREASING
5. What is important is the ratio of wages over the Marginal Product of Labor. By decreasing this ratio, technology may actually save jobs by making the workers of more advanced countries more efficient. It is not necessarily cheaper to export jobs to countries with lower wages.
6. We have larger deficits with Germany and Japan than with China. China may even run a trade deficit in the near-future.
7. Statistics are meaningless without context.
8. If trade deficits kill jobs, trade surpluses must create jobs, right? NO
9. Roundabout Production
10. Due to diversity of tastes and interests, it is hard to completely eradicate any industry by providing free goods. For instance, even if on Jan 1 every year Korea sent us enough free cars for every person in the nation, the car industry would still survive since not everyone would prefer the Korean car.
11. NAFTA is good. Since it has passed, jobs have continued to increase.
AND FINALLY:
"You can always profit by doing something." - Rizzo on a gourmet chip company which sells burnt chips profitably.
"I think I understand how the world works. I really do. You should write that down. OMG my Econ professor just mentioned belief!" - Professor Rizzo.
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