What The “Global Economy” Means for You
William Barnet and Bernard Cornet, University of Kansas Economists, say “Anyone who is sure about the future does not understand what is happening.”
Thomas Friedman in Lexus and the Olive Tree writes that “globalization is the inexorable integration of markets, nation-states and technologies to a degree never witnessed before—in a way that is enabling individuals and corporations and nation-states to reach around the world farther, faster, deeper, and cheaper than ever before.”
“Networking is ever more easy with Phones, Internet, cheap airfares, and round the world and round the clock mass media.” Because of that “picking a career gets harder and harder.”
Economist Bernard Cornet said about his father’s advice: “Be the best in your field. This is the only way. There is no other. This is the way it was in the Industrial Revolution and will be tomorrow.”
Anyone who retains the fantasy of having one career rather than five “should consider careers that are protected from competition at a distance by permanently high transaction costs.” A hair stylist, for example, is a safer bet than being an auto worker.
“The rapidity of change is a challenge. There have always been winners and losers from trade—but with some time for losers to adjust and become future winners. Outsourcing in its most recently appearing form provide little time to adjust.”
“Some jobs may vanish”. Cornet believes that “the battle with China over unskilled or semiskilled manufacturing jobs, for example, is already lost.”