Re: [OPE-L] A new anomaly for the Ricardian theory of international trade

[Gerald_A_Levy@xxxxxxx]

Jurriaan:

As it happens I attended a talk last night on other problems for the
conventional (Heckscher-Ohlin-Samuelson) theory of trade.  The
talk by Lee Price was titled "Offshoring: Problems of Conventional
Trade Theory and Policy Put in Sharp Relief."   The specific issue
that he looked at was the "offshoring" (rather than "outsourcing") of
software-related jobs.  He was looking not at "service industry"
jobs as such but at jobs in all sectors which might be described as
being "white collar" and "digital jobs" and how the offshoring of
those jobs will  increasingly affect the terms of trade among nations,
especially the ToT between the US and China and India.  Will
Millberg promised to put the entire paper up on the CEPA website
some time today so try checking later today or tomorrow at:
http://www.newschool.edu/cepa/events/events_epwksp.htm

There was much else of interest that was discussed including the
uneven demand for skills in different "digital" occupations
and a recent trend showing that the income gap between high
school graduates and those with a college degree (a bachelor's
degree, but not necessarily a graduate degree) has been
narrowing sharply, a reversal of a historical trend.

In solidarity, Jerry