In the United States, factories produce about 75 percent of what the country consumes, but the right decisions by both business and political leaders could push that to 95 percent, say University of Michigan (U-M) researchers.

However, a huge portion of U.S. manufacturing—as much as 40 percent—hangs in the balance and could either stay in this country or go elsewhere in the coming years, based on policy decisions, they say.

According to Wally Hopp and Roman Kapuscinski of U-M’s Ross School of Business, how the United States shapes education policy, worker training, the tax code, the regulatory environment, and its relationship with Mexico will determine whether manufacturing continues to rebound or spirals into permanent decline.

Hopp and Kapuscinski are co-authors of “Manufacturing’s Wake-Up Call,” a study by U-M’s Tauber Institute for Global Operations and consulting firm Booz & Co.

 …