The Nation - News from Oct. 16, 1988

The $170.3-billion trade deficit the United States suffered last year cost the country 5.1 million jobs, 60% in manufacturing and the remaining 40% in associated services, according to a study released by a labor-backed research institute. The Economic Policy Institute sought to determine how many jobs would have been created if the record trade deficit had been completely eliminated and imports and exports had been in balance. Job losses, the study said, had been spread evenly around the country with 1.43 million in the West, 1.38 million in the Midwest, 1.29 million in the Northeast and 1.04 million in the South. Eliminating the trade deficit, the survey said, would create 2.7 million jobs because of higher exports and create 2.4 million jobs because of lower imports, with all regions regaining more jobs by expanding foreign markets than by limiting imports. However, Robert Ortner, Commerce undersecretary for economic affairs, said the study failed to take into account the fact that many workers who have lost jobs to foreign competition have found work elsewhere.