Why
manufacturing matters to economic superpowers
While it has become increasingly automated and
globalised over the past several decades, it still holds a special place in the
national psyche in the US and other big exporting nations, such as Germany,
China and Japan. In the US, for example, although manufacturing represents just
11 per cent of gross domestic product and 8 per cent of direct employment, it
drives 20 per cent of the country’s capital investment, 30 per cent of
productivity growth, 60 per cent of exports and 70 per cent of business
R&D, according to figures from the McKinsey Global Institute.
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