Mar
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Unemployment – Tina Jing Ru Shen
March 23, 2015 | Leave a Comment
Most developing countries, as we know, are suffering from severe poverty and inability to follow new technological, political, social and economic expectations. Because of their lacking economy and failure to sufficiently catch up to the new world, social and political unrest plagues most developing countries. When I hear about the chaos that befalls on the people of poor, third-world countries, I feel grateful that my country is one of the highly developed nations that lead the world. But, after contemplating on a few of the articles for this class, I am beginning to wonder if our rapid development is beneficial to all Americans. The questions for this class are: is being one of the most developed countries in the world as good as we thought? Are we just the opposite extreme from struggling third-world countries?
The article that triggered me to think of these questions is Nelson Schwartz’s. His article slightly resembles the article we read last class by Goodman. Schwartz mentions that some people have lost faith in landing jobs, so they choose to not work and just live off of social security benefits for the disabled. However, unlike Goodman, Schwartz does not seem to be accusing those unemployed workers as being lazy. In fact, he suggests that the lack of jobs suitable for these workers is to blame.
Since most jobs are becoming specialized, professional service jobs, the job market is much more selective and competitive. I still believe that bringing manufacturing back plays a big role in shifting the focus of the United States economy. Our country is made up of a heterogeneous mix of people, so everyone seeks and are prepared for opportunities on varying levels. We cannot expect that everyone wants to be a doctor and have gotten PhDs. Due to different incomes and family backgrounds, some people will work in labor-intensive work (such as manufacturing, mining, logging and construction), and others will want to be high-level professionals.
As Schwartz mentioned, we are a dichotomy of unskilled laborers and skilled professionals. However, our balance in this job ecosystem has been tipped towards skilled professionals. We need to bring labor back to the country so that people can make better livings, and do not overuse government benefits.
Another proposal is raising the minimum wage, which was discussed by Ben Wolcott and the United States Conference of Mayors. However, I look forward to knowing in detail how raising the minimum wage increased employment rates. Is it because workers found a greater motivation to the higher-paying jobs than before the wage was raised? But I do not think that raising minimum wage is the best way to improve unemployment. We discussed a few classes ago that a possible consequence of raising minimum wage is that companies will selectively hire more skilled workers, even if the job does not require much skill.
The report from the United States Conference of Mayors was relieving, because so many mayors are determined to reduce income inequality in their cities. In addition to raising the minimum wage, offering more labor jobs may also be a good option. This may be a difficult feat, as large companies that exploit labor jobs overseas will most likely lobby against it. But it will be effective in providing more jobs to people who did not have the opportunity to get higher education for professional careers.
