Manufacturing's Future, The Electric Tech Stack, and Automation

In this episode of Econ 102, Noah Smith and Erik Torenberg discuss a range of topics, starting with Noah's experience at an industrial policy conference in Canada and contrasting Canadian culture with that of the United States. They delve into the concept of industrial policy, particularly its application in Canada and the United States, and the idea of an "electric tech stack" and its implications for manufacturing. The conversation shifts to the possibility of a manufacturing boom in the U.S., the role of government, and the importance of promoting upstream industries and exports. They analyze China's economic strategies, including the phenomenon of "involution" or "Nezhuang," and its potential parallels in the American AI industry. Finally, they address domestic issues such as political violence, cancel culture, and the impact of social media on political polarization, drawing parallels with historical periods of unrest.