The Global Auction: The Broken Promises of Education, Jobs, and Incomes

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1 Oxford Scholarship Online You are looking at 1-10 of 44 items for: keywords : Manilius sociology scgocc Introduction acprof:oso/ This introductory chapter discusses the concept of the American Dream, which can no longer be kept within national borders. It first looks at the opportunity bargain, where the role of the state is limited to making opportunities for people through education. It studies the competition for jobs, as well as globalization in Asia. It also reveals that people are forced to depend on a job market that is unable to cope with the rising tide of political, individual, and social expectations. The chapter ends with a section on how America can create a new opportunity bargain. The Global Auction: The Broken Promises of Education, Jobs, and Incomes Item type: book acprof:oso/ For decades, the idea that more education will lead to greater individual and national prosperity has been a cornerstone of developed economies. Indeed, it is almost universally believed that college diplomas give Americans and Europeans a competitive advantage in the global knowledge wars. Challenging this conventional wisdom, this book forces us to reconsider our deeply held and mistaken views about how the global economy really works and how to thrive in it. Drawing on cutting-edge research based on a major international study, the chapters show that the competition for good, middle-class jobs is now a worldwide competition an auction for cut-priced brainpower fueled by an explosion of higher education across the world. They highlight a fundamental power shift in favor of corporate bosses and emerging Page 1 of 5

2 economies such as China and India, a change that is driving the new global high-skill, low-wage workforce. Fighting for a dwindling supply of good jobs will compel the middle classes to devote more time, money, and effort to set themselves apart in a bare-knuckle competition that will leave many disappointed. The chapters urges a new conversation about the kind of society we want to live in and about the kind of global economy that can benefit workers, but without condemning millions in emerging economies to a life of poverty. The book is a radical rethinking of the ideas that stand at the heart of the American Dream. It offers an expose of the realities of the global struggle for middle class jobs, a competition that threatens the livelihoods of millions of American and European workers and their families. The False Promise acprof:oso/ This chapter shows how the neoliberal opportunity bargain of individual freedom and national prosperity was supposed to unfold. It first examines the transition from muscle power to brain power, which helped increase productive capacity. It then considers the relationship between nation-states based on the free trade and comparative advantage principles. Here it determines that the increase in the global knowledge economy helped remove most of the sources of conflict and disagreement between nations. The chapter also looks at the increased need for knowledge workers and the importance of keeping faith in the face of economic crashes. Knowledge Wars acprof:oso/ This chapter explains why concerns about the education system in America in bringing the opportunity bargain are well founded. It begins by studying the globalization of highly skilled workers, or those who have Page 2 of 5

3 achieved a college education. It then emphasizes the need to form a link between learning, economic development, and education. Finally, the chapter shows some early signs of America losing part of its advantage in the knowledge wars through a retreat from science, technology, engineering, and math (STEM) subjects. The Quality-Cost Revolution acprof:oso/ This chapter discusses the quality-cost revolution, starting with the role of companies in moving price competition up the value chain. This is followed by a section on the competition for profit, where the chapter notes that the American, Japanese, and European corporations were the ones initially responsible for motivating the quality-cost revolution. It also determines the sustainability of Asia's low-cost model and examines inside-out economic development. Digital Taylorism acprof:oso/ This chapter introduces Frederick Winslow Taylor's system of scientific management, which was achieved through the application of knowledge to work. It shows that there has been an information technology (IT) revolution, despite the failure of Thomas Friedman, along with many others, to understand its full significance. The chapter discusses mechanical Taylorism, which states that the application of knowledge, not muscle power, is the source of productivity. It then moves on to consider digital Taylorism, where the knowledge of technicians, managers, and professionals is translated into working knowledge by codifying, capturing, and digitalizing their work. The chapter also looks at the industrialization of knowledge work and considers the future of knowledge work. Page 3 of 5

4 The War for Talent acprof:oso/ This chapter examines the war for talent, especially during a period where there are fewer talented workers. It studies the emergence of talent management, and looks at the globalization of the war for talent. It then considers the question of hiring the brightest and the best, and introduces national competition. The final section in the chapter focuses on the consequences of the mismanagement of talent. Managing in the Global Auction acprof:oso/ This chapter studies the growing importance connected to the way companies are restructuring their global division of labor. It starts with a section on the human resources of a company, who are considered as the sum total of individual skills, knowledge, and know-how that the company has at its disposal. It shows how the global auction has provided companies more strategic choices on how to create a new global division of labor. The next section examines the tension between competitive demands to cut long-term commitments and costs in order to maintain the loyalty, experience, and skills of their workforce. Finally, it considers two waves of offshoring. High Skills, Low Wages acprof:oso/ Page 4 of 5

5 This chapter considers the full impact of the global auction, as well as the influence of having access to college credentials. It examines the possibility that decreasing returns to human capital will be blamed on the aftermath of an economic crash instead of a secular shift in the global balance of economic power. This is followed by a study of the American corporate elites and those who do not have a college degree. The discussion also looks at earnings, which are part of the total rewards for workers. The chapter also examines human capital, the global middle class, the importance of the national context in shaping the global auction for American workers, and the introduction of new technologies as a source of income inequalities. The Trap acprof:oso/ This chapter looks at the concept of the opportunity trap. It shows that opportunity has previously bonded the individual to society, but is now a source of intense social conflict. The chapter also determines the breaking of the meritocratic link among rewards, education, and jobs that cannot be solved by further investments in human capital. Page 5 of 5

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