You have reached your limit of free articles this month.

Enjoy unlimited access to

Starting at just 99¢ for 8 weeks.


  • ePAPER

You have read of premium articles.

Get unlimited access to all of our breaking news, in-depth coverage and interactive features. Starting at just 99c for 8 weeks.


Welcome to

Your source for Clark and Champaign counties’ hometown news. All readers have free access to a limited number of stories every month.

If you are a News-Sun subscriber, please take a moment to login for unlimited access.

breaking news

Clark County health ranking drops, experts point to OD crisis as cause

Report: Cutting trade deficit would create thousands of Ohio jobs

Stopping currency manipulation by other nations and reducing the trade deficit would create between 94,000 and nearly 200,000 jobs in Ohio, according to a new study of the state’s economy.

The study is to be released Thursday by the Economic Policy Institute, a labor-business sponsored think tank that advocates for domestic manufacturing. It said ending currency manipulation by other nations would reduce the U.S. goods trade deficit by $190 billion to $400 billion over three years.

It would also create a manufacturing-based recovery for Ohio, said EPI’s Director of Trade and Manufacturing Policy Research Robert Scott, creating between 2.2 million and 4.7 million U.S. jobs and between 94,900 to 199,700 jobs in Ohio, one of the nation’s top manufacturing states. Scott said the calculation is based on a model including Gross Domestic Product, employment by industry and how the deficit hits revenues and spending.

EPI said that between February 2010, when manufacturing employment fell to its lowest point, and October 2012, manufacturing has added 504,000 jobs, constituting 11.1 percent of U.S. jobs created in that period, including about 50,000 in Ohio. But between March 1998 and October 2012, the U. S. lost 5.7 million manufacturing jobs, mostly due to the growing U.S. trade deficit created by importing goods from abroad.

“By artificially lowering the cost of U.S. imports and raising the cost of U.S. exports, currency manipulation distorts international trade flows, which leads to goods trade deficits that displace U.S. jobs, particularly in the manufacturing sector,” EPI said. “Because currency manipulation is the largest single cause of U.S. trade deficits, halting global currency manipulation by making it illegal for China and other currency manipulators to purchase U.S. Treasury bills and other government assets is the best way to reduce the U.S. trade deficit, create jobs and rebuild the economy.”

Ending currency rigging would create jobs, but to keep momentum going, EPI recommends expanding investments in manufacturing R&D and technology, public financial support to small and medium-sized manufacturers, and developing school-to-work job training for non-college educated workers like apprenticeship programs found in Germany.

A similar study was released in December by C . Fred Bergsten and Joseph E. Gagnon, both former high level federal officials now with the Peterson Institute for International Economics. They said the U.S. has lost up to five million jobs by failing to respond to currency manipulation, particularly from China, Denmark, Korea, Malaysia, Singapore, Switzerland, and Taiwan, with China the largest.

They recommend the U.S. and its allies seek voluntary agreement from the manipulators. But if that doesn’t work, the U.S. should take countermeasures including restricting purchases of U.S. assets by China and making a case before the World Trade Organization.

Late Wednesday, Ohio Sen. Sherrod Brown said the federal government should act on the reports. “Our nation’s record trade deficit is more than just a statistic: it affects real jobs in important industries. When industry and the government get tough on cheaters and enforce our trade laws, America wins. That’s why we need to act now on the recommendations published in this new report—and stand up for Ohio’s workers and businesses,” Brown said.

Reader Comments ...

Next Up in Ohio

SEE IT: 'Fresh Prince of Bel-Air' cast reunites on Instagram
SEE IT: 'Fresh Prince of Bel-Air' cast reunites on Instagram

This reunion should bring a smile to the faces of '90s kids everywhere. More than 20 years after "The Fresh Prince of Bel-Air" came to an end, the cast was pictured "chillin' out, maxin', relaxin' all cool" Monday night in a photo shared to Instagram by Alfonso Ribeiro, aka Carlton Banks. "Always amazing to spend an afternoon...
Darlene Cates, 'What's Eating Gilbert Grape' star, dead at 69
Darlene Cates, 'What's Eating Gilbert Grape' star, dead at 69

Rest in peace, Darlene Cates. The actress who played Gilbert’s mother in the 1993 film "What's Eating Gilbert Grape" died in her sleep Sunday. She was 69 years old. Cates was reportedly discovered when she appeared on an episode of “Sally Jessy Raphael.” The show was titled “Too Heavy to Leave Their House.&rdquo...
Donald Trump's childhood home sells for 'yuge' profit
Donald Trump's childhood home sells for 'yuge' profit

A real estate prospector just profited big-league from the sale of President Donald Trump's childhood home. According to CNN, the 2,500-square-foot New York Tudor has a new owner just three months after Michael Davis bought the property in Queens' Jamaica Estates neighborhood for $1.4 million. Last week, an unnamed bidder reportedly shelled out $2...
Security changes coming to Magic Kingdom
Security changes coming to Magic Kingdom

Security changes coming to Disney’s Magic Kingdom may affect how long guests spend in the security line. The theme park is moving the lines to outside the transportation and ticket center, where guests will be screened as soon as they get off the tram coming from the parking lot. Security barricades are already in the ground and tents are up...
New study shows no long-term cognitive benefits to breast-feeding
New study shows no long-term cognitive benefits to breast-feeding

A new study shows there are no long-term benefits to breast-feeding. The study, which was published in the journal Pediatrics says after age 5, there are no cognitive differences between children who were breast-fed and those who were not. Advocates of breast-feeding say it’s the short-term benefits that are important. For instance, Rae Summerbell...
More Stories