No Help for Displaced Workers
THE SOURCE: “Does Trade Adjustment Assistance Make a Difference?” by Kara M. Reynolds and John S. Palatucci, in Contemporary Economic Policy, Jan. 2012.
As globalization pulls jobs from American factories, the federal government has created programs to help displaced workers find positions with pay comparable to the ones lost. These initiatives make for reassuring political speeches, but do they actually achieve their objective?
In the case of the four-decade-old U.S. Trade Adjustment Assistance Program (TAA), which helps workers whose jobs were axed because of increased imports, the answer is no, write associate professor Kara M. Reynolds and student John S. Palatucci, both of American University’s Department of Economics.
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