Additional resources available from the Center for Economic Education are The Economic Educator newsletter, a video tape of more detail of several segments of the live telecast, which also includes a 30 minute cable TV interview on the program, Inside Academia, with an MTSU MBA student, Martin Murray, who recently completed a very interesting study of the General Motors-Shanghai joint venture. The U.S. is the main objector to China's inclusion, arguing that China must first do more to lower trade barriers. These are emotional issues for the American public. Conventional economic theory argues that individuals and nations are better off by trading. But this in turn means that many jobs will be lost and gained.
Economists take the position that there is a net gain in jobs for all nations through trade.
This is known as the theory of comparative advantage, and is a core principle in economics. However, issues arise with respect to who gains and loses what kinds of jobs. American policy seems driven by the acceptance that we are a high tech, high value added society and the jobs created by trade will thus be high income jobs. The falling incomes in low skill jobs are a fact, not theory. A second policy related issue is what kinds of education will sharpen our global competitiveness.