The CHIPS Act aims to boost U.S. chip production but faces challenges and cost concerns.

The 2022 CHIPS Act, aimed at boosting U.S. semiconductor production and reducing reliance on foreign chips, will significantly increase domestic manufacturing but at high costs. A Peterson Institute report questions the law's cost-effectiveness, suggesting alternatives like chip stockpiles or incentives for larger inventories. Achieving the goal of a 20% U.S. share of advanced chips by 2030 faces challenges, including labor and electricity shortages and competition from countries offering generous tax incentives.

2 months ago
77 Articles