Economics Research Paper Example | Topics and Well Written Essays - 1000 words - 3

Economics - Research Paper Example Immigration of Chinese to the U.S. proved one of the very important points in this economic shift. Impact of Chinese immigration to U.S over decline of Michigan furniture market cannot be denied. Plafker (2008) discussed how important it has become for the local/domestic U.S. furniture market to add value to its products. To remain competitive, the market needs to outsource less and become more productive in their own efforts. Plafker (2008) noted that while historically, the furniture industry in Michigan had thrived on local timber, most manufacturers had been forced to scale back or close down completely due to a lack of innovation and diversification within their manufacturing processes. Usually due to economic, political or social reasons, people from one country move to another country for permanent residence. This phenomenon is called as immigration. Looking at the map of immigration trend in the world, it is obvious that most of the immigration in last few decades have been from the most densely populated region of the world to the world’s most economically stable region. The immigration has been frequent to the extent that it has increased the competition for jobs and unemployment to the level that the shift of whole economic activities and industries can be seen from older region of dominance to newer ones. Taking the case of Michigan furniture industry, it can be seen that most of the profitable ventures related to Michigan based furniture industry are now operational in China. As the map shows, even in the recent years, the trend has been of migration from China, to the U.S and not other way round. As a result, Chinese work force has literally taken over the U.S work force, especially considering the point that Chinese have the capability of offering economy of scale at the best possible level in this world. The world economy has changed in the 21st century and so is the furniture industry. At present 70% of