Asia is potentially posing economic challenges for America. Jobs in the US are going to people in Asia more than ever. Back in the 1940s this was just relegated to the textile and clothing industries but now it has expanded into electronics, steel and shipbuilding, which is concerning for the US, especially since various regions in Asia are simultaneously encountering substantial economic expansion.
But there is more to the picture than this. Asia is also actually creating a lot of jobs for Americans in the fields on tourism, trade, FDI, immigration and education (Asian students who study at American universities). Furthermore, over 710,000 jobs in the America are supported by exports to Japan. True, the Japan-American affiliation is one of the world’s closest, wide-ranging and constructive bilateral ones to exist. Both are huge global powers (US being the first, Japan being the third) with high per capital wealth, quality of life and military spending. Indeed, according to the Japan Matters for America project set up by the East-West Center and Sasakawa USA, there have been substantially positive economic and employment gains from this partnership.
Looking at some relatively recent figures we find that in 2012, American exported $408 billion in good to Japan. A year earlier, services accounted for $156 billion (which was higher than the EU, Canada and Mexico). Indeed, Asia is actually the largest place US exports are sent, with particularly high numbers since the fiscal downturn of 2009.
It is also noteworthy that it is only Japan which is a major trading partner with America (in 2014 ranking number four for good exports). In the same year that was true for America in Japan. The exports in 2013 were said to have supported 17,000 Pennsylvanian jobs, while bolstering productivity most notably in manufacturing, transportation and retail. Furthermore, the Asia-Pacific region FDI results in the creation of jobs in America. The estimation of Japanese FDI in America was that it accounts for over 700,000 jobs.
America is therefore, definitely benefiting from Japan, in education (Japanese students studying in the US contribute $600 million to their economy) and with over 9.4 million Japanese visitors to the US, in 2014 that added $17 billion to the US economy.
Japan and America are clearly good for each other. Americans need to stop worrying about the power of their Asian friends and instead, start embracing it.