Dylan Stephenson

SBU 240 01
Ink Drop: Article summary
9-13-2018

Article Summary: Globalization Isn't America's Problem, Education is

https://www.washingtonpost.com/news/storyline/wp/2014/12/19/globalization-isnt-americas-
problem-education-is/?noredirect=on&utm_term=.2d26d503c99d
Introduction
The article “Globalization Isn't America's Problem, Education is” by Peter Blair Henry is
about how the blame for inequality in America should not be placed on globalization, but rather
a lack of accessible higher level education in the U.S. The article begins by mentioning
globalization which is “the shift towards a more integrated and interdependent world economy”
(Hill, Hult, Richardson, & McKaig, 2018). Many people often attribute issues such as stagnant
middle to working classes, unemployment, and especially growing inequality to globalization.
Henry explains that globalization is to blame, but not in the ways usually thought of (Ex.
outsourcing taking away jobs from low working classes). The reasoning that the expanding
world economy is doing harm to low and middle class citizens in the U.S is because the balance
of low- to high-skilled workers is not matching well with the supply-demand side of the
economy. The demand for high skilled workers is growing due to technological advancements,
in both the U.S and other international countries. As for the supply side, the U.S has too many
low skilled workers and not enough high skilled workers to meet the demands.
This imbalance in labor market supply and demand is Henry’s reasoning for the
inequality issues in the U.S. His solution is simply to transform these low skilled workers into
higher skilled workers. Higher level education such as college is needed for a highly skilled
worker. The issue is that accessibility to higher level education is not the same for everyone.

Key Points
Globalization
The author Peter Blair Henry explains globalization as part of the problem, but not the part that
needs solved. He explains that globalization has in some ways altered the middle and lower class
conditions but it isn’t the problem. The problem he later on explains is that the U.S does not have
enough skilled workers.
Supply and Demand
Originally there was a large demand in the U.S for lower skilled workers, now with advances in
technology, higher skilled workers are need. The demand for higher skilled workers is
increasing, while the demand for lesser skilled workers is decreasing. The supply of high skilled
workers is low, while the supply of low skilled workers is still too high. This mismatch is what is
increase the gap between the rich and poor.
Education
Henry’s solution is to turn these low skilled workers into higher skilled workers by the means of
education. He says that with higher level education, the problem can be solved. The people in
higher level jobs will increase their income, while the smaller amounts of lower skilled workers
will make them more valuable, also increasing their income. This works in theory, but many
lower income families cannot afford to pay for college. Lower income citizens have an 8%
chance on going to college while the upper income classes have an 85% chance to attend college.
Without the same access to higher level education, the inequality issues will keep increasing.
Without accessibility to higher level education, the problem of inequality is only getting worse.

Summary
(what is the take away or lesson learned or information that resonated with you after reading this
article? How might this help to inform your study of International Business?)

When an issue arises and there is something to blame, many times people will just accept the
reasoning without question. In the example, globalization is to blame for a weak middle classes
and increase in the inequality in the U.S. When Peter Blair Henry took a deeper look into it, he
found that it isn’t globalization that is hurting the U.S but rather a lack of balance in labor supply
and demand. The root of this issue are inaccessibility to higher level education. Rather than just
accepting reasoning, doing research of your own is very important to form your own opinion and
thoughts on a topic. As for international business studies, their will always be more than one
view towards a topic and they should all be considered when researching.

References (include properly formatted APA Reference list)