Carnegie Mellon's Erica Fuchs to discuss implications of offshoring

Carnegie Mellon University's Erica Fuchs will be a keynote speaker from 9:30 to 11 a.m., Wednesday, Feb. 3 at an event hosted by The Information Technology and Innovation Foundation (ITIF) at the U.S. House of Representatives Rayburn Office Building in Washington, D.C. Fuchs will speak about the impact of manufacturing location on technology competitiveness.

Fuchs, an assistant professor in the Department of Engineering and Public Policy at Carnegie Mellon, will discuss how manufacturing offshore changes the economic viability of emerging technologies in both the automotive and photonic semiconductor industries.

"In both cases, my results show that when U.S. firms shift production from the U.S. to countries like China, the most advanced technologies that were developed in the U.S. no longer pay," said Fuchs, a former fellow at the United Nations in Beijing, China.

Among other issues, Fuchs explains how the above-described phenomena leave the most advanced technologies abandoned, and create a barrier to pursuing innovation in the United States.

Robert Atkinson, president of the ITIF and event host, praised Fuchs for her insightful work. "Her study shows the important relationship between trade and innovation and calls for urgent attention to develop a more robust national innovation and competitiveness policy," Atkinson said. The ITIF's "Atlantic Century" report shows America coming in last place out of 40 nations for innovative competitiveness in areas such as research and development and college graduates.

U.S. Rep. David Wu, D-Ore., who also will speak at the ITIF event, knows that innovation is key to sustained economic growth.

"Investing in cutting-edge small businesses is the best way to drive the long-term economic growth and job creation that our country needs," said Wu, chair of the Science Committee's Subcommittee on Technology and Innovation. "We must foster innovative ideas and then give American companies the support they need to turn new technologies into commercial products and services."

Carnegie Mellon's Fuchs will propose a new framework by which firms and nations should approach offshoring and discuss the implications of her results for the role of government in technology development.

Provided by Carnegie Mellon University