A decade ago, the U.S. tech sector was the envy of the world.
Today, it’s a shadow of its former self.
The economy is so much larger, its jobs are so scarce, and tech firms are so understaffed, it is hard to say how many jobs remain in the U, even though the tech sector has more than doubled in size since the Great Recession began more than a decade ago.
“I’m just happy to see people are leaving the country,” said Mark Zandi, chief economist at Moody’s Analytics.
“The country is not as rich as it used to be.”
The economy grew by an annualized rate of 2.3 percent in the first quarter of 2018, according to figures from the Bureau of Labor Statistics.
That’s a far cry from the 7.7 percent expansion in the third quarter of 2009.
The U.K. and China are the only two countries that have posted annualized growth rates in excess of 3 percent.
The U.N. Office for Budget and Economic Policy estimated that tech jobs will shrink by about 7 percent by 2024.
The trend is so strong that the OECD predicts the tech industry will lose 4.2 million jobs by 2024, as its job market becomes more saturated with graduates.
The industry is already facing challenges with the arrival of new workers, like the Unexpected Effect, where graduates tend to leave and migrate to more lucrative positions.
Some tech workers are leaving because of the rising costs of living and the growing number of Americans who can’t find jobs.
Some are leaving for other reasons, like financial difficulties or a feeling of entitlement, said Aaron Schatz, a senior research analyst at research firm IHS Global Insight.
Schatz is optimistic about the future, saying the tech-savvy generation of workers who left the country in the 1980s and 1990s will likely stay for many years.
“There are a lot of young people who will not be here forever, and will be a part of this tech ecosystem for a long time,” Schatz said.
But the tech bubble may be just starting to burst.
The tech industry is expected to grow at an annual rate of about 3 percent this year, down from an average of 5.1 percent in 2018.
The bubble has been inflated by several factors.
Many of the companies that made it big were acquired by companies that then struggled.
The housing bubble, which led to the bursting of the housing bubble in 2007, also played a role.
The rise in the stock market is likely to be offset by the shrinking of the U’s economy.