WEDNESDAY, SEPTEMBER 5, 1979
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TURNING TO THE UNITED KINGDOM, MR. JORDAN QUOTED IN DETAIL FROM AN OFFICIAL BRITISH GOVERNMENT REPORT, WHICH INCLUDED AN ESTIMATE ON - AMONGST OTHER INFLUENCES - THE IMPACT OF TRADE WITH THE NIC'S ON EMPLOYMENT.
OF 24 INDUSTRY GROUPS, INCLUDING TEXTILES AND CLOTHING, THAT WERE STUDIED THERE WAS A NET REDUCTION OF EMPLOYMENT, BETWEEN 1970 AND 1975, OF 113 700.
ONLY 92 000 OF THESE LOST JOBS WERE LOST BECAUSE OF THE DETERIORATION IN THE BALANCE OF EXTERNAL TRADE OF THE
INDUSTRIES CONCERNED, AND OF THESE 92 000, THE DEVELOPING COUNTRIES ACCOUNTED FOR A LITTLE OVER ONE QUARTER (26 000), REPRESENTING A NET LOSS FROM IMPORTS OF 38 800 AND A NET GAIN FROM EXPORTS OF 12 000,
SO OF THE NET REDUCTION OF 113 700, THE DEVELOPING COUNTRIES WERE RESPONSIBLE FOR ONLY 26 000, OVER A FIVE YEAR PERIOD.
+HERE WE HAVE ANOTHER VERY IMPORTANT POINT, WHICH I HAVE ALREADY MENTIONED IN CONNECTION WITH THE OECD AS A WHOLE,+ SAID MR. JORDAN.
+ IT IS VERY MISLEADING TO LOOK AT JOB LOSS' FROM IMPORTS IN ISOLATION, INSTEAD WE SHOULD LOOK AT THE TOTAL EFFECT OF TRADE - BOTH WAYS - ON EMPLOYMENT, TO SEE WHETHER 'JOB LOSS' IN DECLINING, UNCOMPETITIVE INDUSTRIES HAS BEEN OFFSET BY NEW - AND OFTEN BETTER-PAID - JOBS IN NEW INDUSTRIES THAT HAVE BETTER GROWTH PROSPECTS,+ HE SAID.
DEALING WITH THE EFFECTS OF PROTECTIONISM ON DEVELOPED COUNTRIES, MR. JORDAN QUOTED MR. LONG, THE GATT DIRECTOR- GENERAL, ÁS SAYING THAT ALTHOUGH IN THE SHORT RUN PUTTING UP BARRIERS TO KEEP OUT IMPORTS MIGHT SAVE A FEW JOBS, IN THE LONGER RUN IT WOULD MEAN MORE INFLATION, MORE RESTRICTIVE POLICIES AND, HENCE, MORE UNEMPLOYMENT.
EXAMINING SOME STATISTICS ON THE U.S. TEXTILE AND CLOTHING BUSINESS, MR. JORDAN SAID THAT WHILST THE DOLLAR VALUE OF IMPORTS HAD RISEN, SO HAD THE VALUE OF DOMESTIC PRODUCTION.
AS A PERCENTAGE OF APPARENT CONSUMPTION, IMPORTS FROM ALL SOURCES WERE ABOUT 10 PER CENT IN 1970 AND 11 PER CENT IN 1977, OF WHICH THOSE FROM DEVELOPING COUNTRIES WERE ABOUT EIGHT PER CENT IN 1970 AND, IN 1977, ONLY SEVEN AND A HALF PER CENT.
OVER THE SAME PERIOD THE DEVELOPING COUNTRIES' SHARE OF U.S. TEXTILE IMPORTS DECLINED FROM 62 PER CENT TO 40 PER CENT- AND THEIR SHARE OF CLOTHING IMPORTS FELL FROM 93 TO 80 PER CENT.
+THOSE FIGURES MAKE IT DIFFICULT TO BELIEVE THAT ANY DECLINE IN EMPLOYMENT CAN HAVE BEEN DUE TO IMPORTS FROM DEVELOPING COUNTRIES,+ SAID MR. JORDAN.
/+IT IS