william the wie
Gold Member
- Nov 18, 2009
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The tipping point for Chinese labor costs to rise to the point where it costs less to manufacture in North America than in China was supposed to happen in 2015 and turn the US back into net exporting country. It seem to have happened earlier than that by about two years with foreign investment in the US having become greater than that in China earlier this year. The increased employment effects of this transition are greater in Red states, PAN states in Mexico and Conservative dominated areas of Canada which should lead to compounding political effects. Is this a negative feedback loop that will avoid a bubble or a positive feedback loop that could lead not just to bubbles but secessionist movements?