“…While globalization has been conspicuously absent in recent sociological research on rising wage inequality in the United States (see Myles and Myers 2007), in part because measures of international trade volume, foreign direct investment, and outsourcing are not highly correlated with inequality trends (Burtless 1995;Lee, Nielsen, and Alderson 2007;Morris and Western 1999), globalization is nonetheless important for understanding earnings restructuring because it contributes to the competitive pressures to which firms respond. Canak and Miller (1990) found that labor costs became the object of U.S. firms' restructuring strategies during the 1970s precisely because, in a period of increasing globalization, they were viewed as one of the few elements of production actually within the firm's control. And while indicators of global capital mobility do not coincide temporally with rising earnings inequality, increasing too late to explain American earnings restructuring, U.S. firms exploited spatial variation within the United States long before the widespread use of offshoring and foreign direct investment.…”