Chinese Economy and Trade

Professors Autor and Hanson talked about the impact of Chinese economic growth on U.S. trade and labor markets. Topics included the effects of past free-trade agreements as well as the recently signed Trans-Pacific Partnership (TPP) trade agreement. They discussed the deficiencies of the labor market adjustment to China’s unexpected growth and the political consequences. In response to a question, Professor Hanson called presumptive 2016 Republican presidential nominee Donald Trump’s proposal to increase tariffs on China a plan with no economic foundation. Professors Autor and Hanson presented their paper “The China Shock: Learning from Labor Market Adjustment to Large Changes in Trade” and then were joined in discussion by Jared Bernstein, a former economist with the Obama administration, before responding to questions from members of the audience. close