manufacturing it at home. The lace that remains, beyond what the labour and capital employed on the cloth, might have fabricated at home, is the amount of the advantage which England derives from the exchange. In other words, it would make sense for England to trade broadcloth for lace if it were easier for England to make the broadcloth and vice versa. At present, I’d argue that we have effectively “comparative advantaged” ourselves out of some vital industries. And that’s had huge implications for jobs and security. But that’s about to change... But what do you do if and when “the lace” is actually a necessity... whether it be cleaning products to kill a deadly virus, drugs to manage a disease, or technology components that are so necessary that their absence could compromise the underlying security and economic health of a nation? These are the issues we now face. At present, I’d argue that we have effectively “comparative advantaged” ourselves out of some vital industries. And that’s had huge implications for jobs and security. But that’s about to change... MADE IN THE USA
THE MOVE TO ONSHORE SEMICONDUCTOR MANUFACTURING
To its credit, the Biden administration – like the Trump administration before it – recognizes the dangers of being overly dependent on foreign producers. As such, Biden has proposed $52 billion to assist the semiconductor industry in bringing more manufacturing “on shore.” The federal government is smart to look at new ways to insulate the U.S. from the pressure associated with having such a sensitive industry overseas. Not to overdramatize, but those who control the chips are effectively controlling the electronics. For national security reasons, we have every reason to want to ensure that these chips are made here at home. This is why in January of 2021, Congress passed legislation within the National Defense Authorization Act that included provisions many hope will lead to more U.S. production of semiconductors. The provisions include incentives to encourage the construction or modernization of facilities related to the “fabrication, assembly, testing, advanced
packaging, or advanced research and development of semiconductors.”
Currently, the most sophisticated production of semiconductors, the five-nanometer node, is happening in Taiwan and in South Korea (Samsung). These countries are providing the chips for U.S.-based tech giants like AMD, Facebook, Google, Nvidia, Qualcomm, and others. Historically, Intel had been the chip provider of choice for most American
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