Tom Keene Talks to JPMorgan Chase’s James Glassman

Tom talks with JPMorgan Chase senior economist James Glassman about the big barriers to employment in the U.S.

Have you ever witnessed structural employment like what we have now?
We started to get a taste in the last cycle that the job market was becoming more difficult for young people when you went into recession. Well, this has really become a much more amplified version of that. The younger you are, the fewer of your generation that have a job. Experience and education and skills count a lot more now. So you tend to suffer if you’re the one needing experience and you don’t have it
Would you ascribe this challenge to globalization?
Very much so. The flip side is there’s lots of new markets opening up, and the business sector is the one that first benefits. Eventually this benefit will come to households, to workers. But the truth is, we’re in the middle of a very dramatic change.
Should we set up a public policy that makes for fairer trade
This idea that life is not fair and trade is not fair—part of the reason we’re getting that sense is that there are a lot of impoverished areas of the world that are opening up and want to go to work. And there are a lot of people out there who want to do the jobs a lot of our unskilled people used to do. And we have to figure how to inform our people of that and give them the impression that you’ve got to work hard if you want to be competing with this global phenomenon.

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