With Trump’s new tariffs now in effect, get an overview of the state of manufacturing in America and its role in the US economy.
“There’s no author whose books I look forward to more than Vaclav Smil.” —Bill Gates
In Made in the USA, Vaclav Smil powerfully rebuts the notion that manufacturing is a relic of predigital history and that the loss of American manufacturing is a desirable evolutionary step toward a pure service economy. Smil argues that no advanced economy can prosper without a strong, innovative manufacturing sector and the jobs it creates.
Smil explains how manufacturing became a fundamental force behind America’s economic, strategic, and social dominance. He describes American manufacturing’s rapid rise at the end of the 19th century, its consolidation and modernization between WW1 and WW2, its role as an enabler of mass consumption after 1945, and its decline. Some economists argue that shipping low-value jobs overseas matters little because the high-value work remains in the United States. But, asks Smil, do we want a society that consists of a small population of workers doing high-value-added work and masses of unemployed?
Smil assesses various suggestions for solving America’s manufacturing crisis, including lowering corporate tax rates, promoting research and development, and improving public education. Will America act to preserve and reinvigorate its manufacturing? It is crucial to our social and economic well-being; but, Smil warns, the odds are no better than even.
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