Making it in America

1. June 2017

2. Table of Contents
2
• Methodology & Sample Design
• Key Findings
• Detailed Findings
• Section 1: Country & Economy
• Section 2: Corporate America & Government
• Section 3: Automation, Innovation & Manufacturing

3. Purpose and Methodology
3
• The Making it in America: The View from America survey developed by Burson-Marsteller
and conducted by research firm PSB sheds light on Americans’ sentiments about the
current state of the economy, as well as their feelings about the future.
• From June 1-5, 2017, PSB conducted 1500 interviews with a General Population Survey*.
The margin of error for the total sample is +/- 2.53% and larger for subgroups. The data
was weighted to be nationally representative.
• This survey builds off the June 2017 Executive Survey* by McKinsey & Company, which
surveyed 259 U.S. Business Leaders representing the full range of regions, industries,
company sizes, functional specialties, and tenures.
*Please note that on the following slides the terminology “Americans” and
“American Population” refers to the General Population Survey and “Business
Leaders” refers to the Executive Survey.
METHODOLOGY & SAMPLE DESIGN

4. Audience, Sample Size and Margin of Error
4
Audiences Sample Size Margin of Error
General Population “Americans” n = 1500 ±2.53%
U.S. Business Leaders n = 259 ±6.09%
American Adults by Region Sample Size Margin of Error
Northeast n = 270 ±5.96%
Midwest n = 315 ±5.52%
South n = 570 ±4.1%
West n = 345 ±5.28%
American Adults by Education Sample Size Margin of Error
High school or less n = 585 ±4.05%
Some college n = 480 ±4.47%
College n = 435 ±4.7%
American Adults by Political Party Sample Size Margin of Error
Democrats n = 602 ±3.99%
Republicans n = 406 ±4.86%
Independents n = 462 ±4.56%
METHODOLOGY & SAMPLE DESIGN

5. Key Findings

6. Key Findings
6
Despite divisions,
67% of Americans are
optimistic about
their future.
1
Government and
business are expected
to work together to
open economic
opportunity.
2
Americans have their
doubts about how they
will fare. But, if they
have the right tools
they still believe they
can and will succeed.
3

7. Section 1: Country & Economy
7
1. Americans are concerned about the present, but optimistic about
the future. However, opinions about the economy and the future
are somewhat driven by education level.
• A large part of Americans’ optimism is driven by the belief that jobs are safe.
• Emotions about the future differ by education level, with college educated more
optimistic about their future.
• Whether high cost of living/inflation, the gap between rich and poor, or taxes, the
most important issues facing the U.S. economy primarily relate to money.
• More-educated Americans and Business Leaders tend to agree on issues related to
the economy and the path forward.
KEY FINDINGS

8. Section 2: Corporate America & Government
8
2. There is general distrust of business leaders and the government,
but government and business are expected to work together to open
economic opportunity.
• Business Leaders say the profitability and competitiveness of their industry will stay
the same or increase over the next five years.
• Across education levels, Americans trust companies but distrust Business Leaders.
• Americans believe that large companies have a more positive impact on them than
the government.
• However, they say that business and government working together will be
important to the path forward.
KEY FINDINGS

9. Section 3: Automation, Innovation, and Manufacturing
9
3. Americans recognize that automation will decrease the overall number of jobs, particularly
in the manufacturing sector, but believe technology will positively impact their lives. They
are optimistic about the future of technology and its impact on manufacturing.
• Americans believe technology will positively impact their lives through increased productivity and a
better work/life balance. However, they also note that corporate profits will be the biggest beneficiary.
• Despite recognizing the benefits of technology, both Americans and Business Leaders agree that
automation will eliminate jobs overall and there will be fewer manufacturing jobs in the future.
• Compared to today, Americans say manufacturing jobs in the future will be better paying in part because
manufacturing jobs of the future will require operation of automated manufacturing systems and other
advanced skills such as mechanical or electrical engineering.
• U.S. Business Leaders say the South is the most appealing location for manufacturing over the next five
years, while Americans often says the region they live in is most likely to succeed.
KEY FINDINGS

10. Detailed Findings

11. Section 1
Country & Economy

12. Concerned about the present, Americans are optimistic
about the future
12
9%
24%
48%
19%Very optimistic
Somewhat optimistic
Somewhat pessimistic
And, 59% say they are at least somewhat
optimistic about the future of
manufacturing in the U.S.
Today:
58% say the country
is headed down the
wrong track
52% say the
economy is headed
down the wrong
track Very pessimistic
Tomorrow: 67% say they are at least
somewhat optimistic about
their own future
DETAILED FINDINGS: COUNTRY & ECONOMY

13. 9
62
28
Yes No Don't know
22
60
17
Yes No Don't know
A large part of American optimism is driven by the belief
that their jobs are safe
13Q30: Do you think you will be laid off sometime in the next five years? Showing %
Q31: In five years, do you think machines could replace your job? Showing %
I will be laid off in the next five years A machine could replace my job in five years
Showing American Population
DETAILED FINDINGS: COUNTRY & ECONOMY

14. Opinions about the economy and the future somewhat
differ by education level
14
Percent who say
technology will make overall employment better
five years from now
machines could replace their job in five years
they feel educated in the right skills to succeed
in the 21st century
technology will make job satisfaction better
five years from now
technology will make wages/ salaries better
five years from now
the American economy is headed in the right direction
High School or Less College or More
49% 45% 55%
22% 30% 14%
54% 42% 71%
59% 55% 65%
33% 30% 38%
American Population
DETAILED FINDINGS: COUNTRY & ECONOMY
53% 49% 57%

15. Optimistic 23% 21% 28%
Insecure 18% 19% 17%
Scared 16% 18% 12%
Pessimistic 12% 10% 15%
Confused 7% 9% 5%
Overwhelmed 7% 9% 5%
Confident 6% 5% 5%
Despair 6% 5% 5%
Disinterested 2% 2% 2%
Excited 2% 1% 3%
Isolated 1% .% 2%
Emotions about the future vary depending on education
15
Q. 34: What
emotion best
describes how you
feel about the
future of the U.S.
economy?
DETAILED FINDINGS: COUNTRY & ECONOMY
High School or Less College or MoreAmerican Population

16. 47
38
34
33
32
20
18
16
12
12
12
High cost of living/inflation
Unemployment/jobs
Gap between rich and poor
Federal budget deficit/Federal debt
Taxes
Corporate corruption
Loss of manufacturing jobs
Falling or stagnant wages
Fuel/oil prices
Foreign trade/trade deficit
Technology that replaces traditional jobs
Whether high cost of living/inflation, the gap between rich and poor, or taxes, the
most important issues facing the U.S. economy primarily relate to money
16Q12: What are the top most important issues facing the U.S. economy? Please select up to three. Showing %, Ranked
Showing American Population
Top issues facing the U.S. Economy
DETAILED FINDINGS: COUNTRY & ECONOMY

17. More-educated Americans and Business Leaders tend to agree
17
18% 13% 23% 34%reading comprehension and/or critical
thinking is most important for success in
U.S.-based manufacturing jobs of the future
infrastructure is most important public
policy issue for job creation
Percent who say
high tech industry is most likely to create
jobs in the next five years
Business
Leaders
21% 15%
31%
58%
40% 37% 48% 52%
Note: Business Leaders data from McKinsey Global Institute Making it in America survey, June 2017
High School
or Less
College
or More
American
Population
DETAILED FINDINGS: COUNTRY & ECONOMY

18. Section 2
Corporate America
& Government

19. Business Leaders say the profitability and competitiveness of their
industry will stay the same or increase over the next five years
19
1 2
19
29
42
7
Executive Q25: Thinking of your own industry in the U.S., how do you expect its profitability and competitiveness will change, if at all, over the next five years?
Showing %
The profitability and competitiveness of my own
industry in the U.S. in five years will…
Showing Business Leaders
Significantly increase
Somewhat increase
Significantly decrease
Somewhat decrease
Stay about the same
Don’t know
78%
21%
DETAILED FINDINGS: CORPORATE AMERICA & GOVERNMENT

20. Across education levels, Americans trust companies but distrust
Business Leaders
20
FavorableUnfavorable
39%
54%
96%
Business
Leaders
Large
Companies
Small
Businesses
61%
46%
4%
73% say wage gap
between workers and
execs will grow in the
next five years
88% say technology
will benefit business
profits in the next five
years
DETAILED FINDINGS: CORPORATE AMERICA & GOVERNMENT

21. However, Americans believe that large companies have a more
positive impact on them
21
OR
The federal government has a more positive
impact on me than large companies do
41%
Large companies have a more positive
impact on me than the federal government
does
59%
Which of the following do you agree with more?
Showing American Population
Q24: Which of the following do you agree with more? Showing %
DETAILED FINDINGS: CORPORATE AMERICA & GOVERNMENT

22. Business and government working together will be important to
the path forward
22
57%
35%
8%
Major role
Minor role
No role
In strengthening the economy,
the federal government should
play a…
In strengthening the economy, the federal
government should…
61%
22%
10%
Promote training and
education for displaced
workers
Enact policies to protect
those jobs
Increase corporate taxes to
fund programs for
displaced workers
63% say the most important role of government
is to protect American workers
86% support tax credits for companies that pay for workers to
train in other, more modern work skills
DETAILED FINDINGS: CORPORATE AMERICA & GOVERNMENT

23. Section 3
Automation, Innovation
& Manufacturing

24. 2 4
8 8 10 12 13
10 17
27 33
37 39 43
55
56
53
47 42 39 34
32
23
13 12 11 10 9
Business profits Productivity at
work
Work/life
balance
Job satisfaction Wages/salaries Overall
employment
Job stability
Americans believe technology will positively impact their lives through increased
productivity and a better work/life balance. However, they also note that corporate
profits will be the biggest beneficiary of technology
24Q41: Five years from now, do you think technology will be making the following better or worse? Showing %
Much better
Somewhat
better
Much worse
Somewhat
worse
How technology will affect the following five years from now…
Showing American Population
DETAILED FINDINGS: AUTOMATION, INNOVATION & MANUFACTURING

25. 21
43
11 13
5
8
25
43
8
20
3 2
Eliminate significant
number of jobs
Eliminate moderate
number of jobs
No effect Create moderate
number of jobs
Create significant
number of jobs
Don't know
American Population Business Leaders
Despite recognizing the benefits of technology, both Americans and
Business Leaders agree that automation will eliminate jobs in the future
25
How advancements in automation and machine intelligence will affect
the net number of jobs in the U.S. over the next 20 years
Q35: How do you expect advances in automation and machine intelligence will affect the net number of jobs in the U.S. over the next 20 years? Showing %
Executive Q29: How do you expect advances in automation and machine intelligence will affect the net number of jobs in the U.S. over the next 20 years? Showing %
Eliminate jobs Create jobs
DETAILED FINDINGS: AUTOMATION, INNOVATION & MANUFACTURING

26. Half of Business Leaders believe there will be a decrease in manufacturing’s
share of total jobs in the U.S. economy over the next five years
26
2
7
46
24
20
2
Significantly increase
Somewhat increase
Significantly decrease
Somewhat decrease
Stay about the same
Don’t know
Manufacturing jobs as a share of total jobs in the US economy
over the next five years will…
Showing Business Leaders
53%
Executive Q26. How do you expect that manufacturing jobs as a share of total jobs in the U.S. economy will change, if at all, over the next five years?
DETAILED FINDINGS: AUTOMATION, INNOVATION & MANUFACTURING

27. While Americans believe technology will eliminate jobs in the
manufacturing sector, they say the future of manufacturing is bright
27
Q49: Looking ahead in five years, do you think there will be more or fewer jobs in U.S. manufacturing than there are now? Showing %
Q48: Thinking specifically about manufacturing, how optimistic are you about the future of manufacturing in the U.S.? Showing %
8
33
49
11
American population
Very optimistic
Somewhat
optimistic
Very pessimistic
Somewhat
pessimistic
Optimism about future of manufacturing
60%
14
42
35
9
American population
Many more jobs
Somewhat
more jobs
Many fewer jobs
Somewhat
fewer jobs
Prediction of U.S. manufacturing jobs
in five years compared to today
56%
DETAILED FINDINGS: AUTOMATION, INNOVATION & MANUFACTURING

28. Compared to today, Americans say manufacturing jobs in the
future will be better paying…
28Q54: Will U.S. manufacturing jobs five years from now be better paying or worse paying than today? Showing %
7
33
31
12
4
13
Significantly better
paying
Somewhat better
paying
Not better nor
worse
Somewhat worse
paying
Significantly worse
paying
Don't know
How U.S. manufacturing jobs will pay five years from now compared to today
Better paying Worse paying
Showing American Population
DETAILED FINDINGS: AUTOMATION, INNOVATION & MANUFACTURING

29. 29
Q52: Which of the following skills do you believe will be most important for success in U.S.-based manufacturing jobs of the future? Please select up to three.
Showing %, Ranked by Business Leaders
Executive Q28: Which of the following skills do you believe will be most important for success in U.S.-based manufacturing jobs of the future? Showing % Top 7
19
21
24
32
34
38
53
18
32
38
17
18
20
30
Coding
Computer-aided design
Knowledge of mechanical and/or electrical engineering
Process engineering
Reading comprehension and/or critical thinking
Data analytics
Operation of automated manufacturing systems
American Population Business Leaders
Skills important to success in U.S. manufacturing jobs of the future
…in part because manufacturing jobs of the future will require knowledge of
automated manufacturing systems and other advanced skills such as mechanical
or electrical engineering
DETAILED FINDINGS: AUTOMATION, INNOVATION & MANUFACTURING

30. 62
58
48
37
35
23
22
Labor costs
Availability of skilled
and/or educated workers
Regulatory environment
Proximity to supply chain
Strong infrastructure
Market opportunities in a
given economy
Proximity to customer
demand 7
1
12
19
51
10
Business Leaders say labor costs and skilled workers are most important when deciding where to
base manufacturing production and believe these factors will have a positive impact on the
number of manufacturing jobs
30
Executive Q23: In your view, what are factors that U.S. manufacturing companies consider most important when deciding where to base their production?
Showing % Top 7
Executive Q24: What kind of impact, if any, do you believe these factors will have on the number of jobs the US manufacturing sector has the potential to create?
Showing %
Showing Business Leaders
Most important factors when deciding
where to base manufacturing
61%
Very positive
Somewhat positive
Very negative
Somewhat negative
Neutral
Don’t know
Impact of factors on the number of jobs the
US manufacturing sector has the potential to create
DETAILED FINDINGS: AUTOMATION, INNOVATION & MANUFACTURING

31. Business Leaders believe the South is most likely to succeed in manufacturing, while
Americans think it will be the Midwest or Northeast
31Americans Q53: Of the following U.S. regions, which do you believe will be most likely to succeed in manufacturing in the next five years?
Please select up to three. Showing %
Pacific Mountain West North
Central
East North
Central
Middle Atlantic New England West South
Central
East South
Central
South Atlantic
American Population 20% 13% 13% 28% 23% 13% 16% 16% 21%
Business Leaders 10% 19% 22% 30% 8% 5% 41% 37% 37%
American adults often chose their own region.
MIDWEST
SOUTH West South
Central
East South
Central
South
Atlantic
Most appealing/likely to succeed in manufacturing in the next five years
DETAILED FINDINGS: AUTOMATION, INNOVATION & MANUFACTURING
WEST
Pacific Mountain West North
Central
East North
Central
NORTHEAST
Middle
Atlantic
New
England

32. Appendix

33. Americans and Business Leaders are more uncertain of the economy in the longer
term, with half saying people entering the workforce over the next 20 years will be
the same or better and many saying it will be worse
33
Q33: How do you believe the economic well-being of people entering the workforce over the next 20 years will compare with your own today? Showing %
Executive Q30: How do you believe the economic well-being of people entering your home country’s workforce over the next 20 years will compare with your own
today? Showing %
11
2
12
5
26
41
23 26
21
24
8 2
52%
52%
Much better
Somewhat better
Much worse
Somewhat worse
About the same
Don’t know
American Population Business Leaders
The economic well-being of people entering the
workforce over the next 20 years will be…
38% 46%
Compared to the American
population, Business
Leaders are more likely to
say the economic well-
being of people in the
future will be worse
APPENDIX

34. Americans say training and education are needed for job creation
34
What government should do about the loss of jobs due
to automation and machine intelligence
61
22
10 6
Promote job training
and education
programs for displaced
workers
Enact policies to
protect those jobs
Increase corporate
taxes to fund social and
other programs for
displaced workers
Nothing
Q36: What, if anything, do you think the government should do about the loss of jobs to automation and machine intelligence? Showing %
Showing American Population
APPENDIX

35. 46
36
22
11
Have the companies pay a different
tax rate
Have the companies train American
workers for new skills
Block imports of
foreign/manufactured good
previously manufactured in America
Nothing
Americans – regardless of party – say the government should incentivize companies to
train workers in modern skills and keep business in the U.S.
35
How government should handle U.S. companies that manufacture products in foreign countries
Q59: Do you support or oppose tax credits for companies that pay for workers to train in other, more modern work skills? Showing %
Q60: What, if anything, should the government do to U.S. companies that manufacture products in foreign countries? Showing %
Showing American Population
2 11 57 29
Strongly support
Somewhat
support
Strongly oppose Somewhat
oppose
86%
Support/opposition to tax credits for companies that pay for workers to train in more modern work skills
APPENDIX

36. Business Leaders say spending more on infrastructure is the public-policy action most likely to
support future job creation, while Americans say it is lowering healthcare costs and providing
more resources for job training
36Q37: Of the following public-policy actions, which do you believe will most support job creation in the U.S.? Select up to three. Showing %; Sorted by Business Leaders
Executive Q22: Of the following public-policy actions, which do you believe will most support future job creation in the U.S.? Showing % Top 10 responses
9
14
15
19
19
27
31
33
34
58
15
11
21
16
17
9
35
31
36
21
Bigger tax incentives for hiring
Expanding private sector partnerships with educational
institutions
Making trade deals that benefit more U.S. businesses
Reforming immigration policy
Developing a system of more portable healthcare, retirement
and other benefits for temporary and/or contract workers
Reforming regulatory policy
Providing more resources for job training and/or workforce
development
Better enabling U.S.businesses to bring overseas earnings back
into the country
Lowering healthcare costs
Spending more on infrastructure
American Population Business Leaders
Public-policy actions that will most support job creation in the U.S.
APPENDIX

37. 42
39
30
23
23
21
18
15
13
11
10
8
4
4
2
1
Health care
Education
Renewable energy and/or green technologies
High tech
Oil and gas
Traditional manufacturing
Consumer goods
Construction
Advanced manufacturing
Financial services
Retail
Business services
Hospitality
Media and entertainment
Pharma
Chemicals
Industries most important to a successful U.S. economy
Americans say healthcare, education, and energy will be most important to
a successful U.S. economy
37Q15: Which of the following industries do you believe are most important to a successful U.S. economy? Please select up to three. Showing %, Ranked
Showing American Population
APPENDIX

38. Thank you