NAFTA & Tariffs Agreements

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Apparently, my professor is not in agreement with what I have given thus far.

Anyone have any ideas?

Following was his response:

The job losses to foreign countries have not been limited to low-skilled positions. And that may not necessarily be a real concern in the long run.

There are more than 3 Million white-collar jobs that are expected to move overseas in the next decade. Obviously in IT, and other skilled positions: JP Morgan, and Morgan Stanley have hired hundreds of equity research analysts in Asia since 2003.
In the early part of 2003 GE also hired 300 hired lawyers in India to handle their internal corporate legal matters.

How should we expect this phoenomenon affect the US economy at the macro-level, short run and long run?

Areas of focus:
1)creative destruction
2)reduction in absolute advantage, or total elimination of absolute advantage, will never have any impact on the law of comparative advantage, which is the only relevant concept to trade.
3)Aggregate Expenditures = Aggregate Income

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