Factors Underlying the Decline in Manufacturing Employment Since 2000
"...The steep decline in manufacturing employment since 2000 is associated with two interrelated developments: rapid gains in productivity (output per hour) in U.S.
manufacturing and increased competition from foreign producers. Competition from overseas helped spur U.S. firms to boost productivity, but that competition
has also dampened demand for goods produced in the United States, despite domestic manufacturers’ efforts to reduce costs through productivity enhancements."