A New Strategy For Manufacturing Growth In US

This study by the Brookings Intitute describes a new way for manufacturing companies in the US to achieve competitive advantages.  The call it the high road strategy.  It is based upon the advantages that can be derived by geographic clustering.  It is an alternative to the prevailing strategy of seeking advantage by lowering the cost of labor.  It also provides an incentive for geographic areas to invest in developing high value added clusters as an alternative to the use of incentives to influence firm migration to their area.  Those incentives cost states and localities around $70 billion per year.  That limits their ability to invest in education and other ways of adding value.