Their concepts seemed dead right since Soviet-style socialism was falling apart. Yet in 1992, the Reagan-Thatcher ideals faced their first big challenge from presidential candidate E. Ross Perot. He predicted that the flight of United States jobs to Mexico would create a "giant sucking sound" if the North American Free Trade Agreement among Canada, Mexico and the U.S. were approved. The next year, President Bill Clinton, buying the Reagan-Thatcher line, persuaded Congress to pass NAFTA.

It has taken six years, but Virginians are finally hearing the swoosh of jobs leaving the state. NAFTA has helped decimate the state’s apparel industry and, to a lesser extent, its textile sector. Globalization could strike other low-wage industries next. Not many in the state seem to have noticed. They’ve been distracted by the strong economy and the boom in high technology.

Well, we at Virginia Business have noticed. So we assembled a reporting team to prepare this issue’s four-part special report, "Globalization Hits Home." Our lead story was prepared by Page Boinest Melton, who started her career at the Danville Register & Bee in the heart of apparel country. She later reported for UPI and worked in state government and in public policy. Leslie Moore, a free-lancer based in Mexico City, examines what happens when the industries relocate to Mexico. She also got her start in journalism at the Danville newspaper. Our editorial assistant, Holly Rodriguez, who has a keen interest in race relations, takes a look at the growing Hispanic population in the Old Dominion. Finally, our publisher, James A. Bacon, weighs in with a commentary on why Virginia needs to focus on job retraining to deal with globalization. He covered the apparel and furniture industries as a reporter for the Martinsville Bulletin in the late 1970s.

We hope you find our special report enlightening.