The Great Recession that started in 2007 has forced many observers to write an obituary for hi-tech electronics products and transistor technology nodes manufacturing for the US semiconductor industry. Trade liberalization policies that have permitted US-headquartered Multi-National Corporations (MNCs) to establish manufacturing bases in Low Labor Cost (LLC) countries have been one cause of the loss of dominance. This process of offshore outsourcing has disrupted the US supply chain for electronics and semiconductor goods.
It began with MNCs increasing their influence in trade agreements such as the General Agreement on Tariffs and Trade (GATT) and, later, the World Trade Organization (WTO) to promote "free trade" by lowering and abolishing trade barriers between member countries - which include the United States . This opportunistic capitalism on the part of MNCs, caused (i) micro-economic fallouts due to the unemployment of former workers at those MNCs that moved manufacturing abroad, as well as (ii) macro-economic disasters due to decreased exports and increased (duty-free) imports, thereby increasing trade imbalances and deficits and affecting the market value of the US dollar .
In order to backshore and insource US manufacturing jobs lost due to outsourcing offshore, proper incentives are required to bring manufacturing to US rural areas (having much lower cost-of-living relative to cities).  Also, by setting up more rural universities and effecting a mutually beneficial collaboration between the rural universities and industries, the costs for R&D can be reduced. Furthermore, an altered cooperative structure for companies, with employees involved in company management decisions and sharing company profits, would enable companies to address home needs and also benefit their employees to thereby enhance consumer purchasing capacity and demand; this would result in the growth of our overall economy.  These solutions can help to rejuvenate the US electronics and semiconductor industry, restore prosperity for working class Americans, preserve the incentive for hard work and the realization of the American dream.
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