here and we're goeng to talk to expert peter navarro, author of "death by china." a nasty story. stocks aren't looking at it and they should. china, wow. ♪ ♪ [ male announcer ] its lightweight construction makes it nimble... ♪ its road gripping performance makes it a cadillac. introducing the all-new cadillac xts. available with advanced haldex all-wheel drive. [ engine revving ] it's bringing the future forward. humans -- sometimes life trips us up. and sometimes, we trip ourselves up, but that's okay. at liberty mutual insurance we can "untrip" you as you go through your life with personalized policies and discounts when you need them most. just call... and speak with a licensed representative about saving on your policy when you get married, move into a new house... [crash!] or add a car to your policy. don't forget to ask about saving up to 10% when you combine your auto and home insurance with liberty mutual. security, coverage, and savings. all the things humans need to make our beautifully imperfect world a little less imperfect. call... and lock in your rat

peter navarro, can the middle class maintain the standard of living the way things are going right nowutely not. if you look at germany, 25% of their work force is in manufacturing. here in america it's down to 9%. we simply cannot generate a decent standard of living at a 3.5% gdp growth rate per year unless we have manufacturing. i'm talking about things like making automobiles and aircraft and sophisticated medical equipment. we can do this here. but the problem we face in this country is that our biggest trading partner not only cheats in terms of illegal subsidies and currency manipulation, it protects its own markets. the idea was, oh, great, they've got 1.3 billion people. the fact of the matter is the chinese won't let us into their markets unless we surrender our technology. this is a structural problem we've had for ten years now, i'd love to hear the white house, mitt romney, congressional leaders start talking about the best jobs program is trade reform with china. >> let's bring diane in your 'from detroit? >> this is been going on since the early 80s. we had output increa

joining us now to explain how all this happened and tell us what we can do to fix it is economist peter navarro, produced, and directed death by china and "forbes" columnist gordon chang who appears in the film, lived and worked in china for nearly two decades. gentlemen, thanks so much for joining us. >> good to be here. >> so, peter, if you could just open up by explaining a bit the book and the movie are called death by china. how from an economic perspective is china killing us? >> crystal, it's unfair trade practices. if you go back to the year 2001 when china was allowed to get into the world trade organization and essentially invade our markets, since that time our economy has grown at one-third of the rate it used to. we lost 20 million jobs because of that. 50,000 factories have disappeared. and, basically, they use what i call in the film weapons of job destruction. it is basically five things, the export subsidies, currency manipulation, ungodly counterfeiting and piracy and of course working conditions and the ability basically to put anything in the air, anything in the water, and