by Grace aka costofcollege
Today we have an open thread. Here’s a topic to get us started.
Refute his argument, if you can. The author touches on topics previously discussed here, like the possibility of a growing class of “unemployables”. He focuses on the role of the technology sector.
A common assumption was that new jobs in new industries would take up displaced workers. Unfortunately, the reality has been different.
The number of people employed in technology has remained modest, around 5% to 6% of the workforce. By one estimate, only 0.5% of the U.S. labor force is employed in industries that did not exist in 2000. In Silicon Valley, only 1.8% of workers are employed in new industries.
One reason is that many new industries are not labor-intensive, and when they are, the tasks are outsourced to the cheapest supplier in the world. A leading technology company like Google GOOG, -0.02% has only around 60,000 employees worldwide.