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The (Mostly False) Globalization Narrative
Investors Business Daily ^ | August 05, 2016 | Robert J. Samuelson

Posted on 08/07/2016 7:49:30 AM PDT by expat_panama

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To: Iron Munro
--we make more steel now than when Reagan was president.

...steel production per capita has fallen...

We can agree on the 'per-capita' production drop besides the fact that total U.S. steel production is more than it was w/ Reagan.  On top of those two facts we might also want to understand that the value of the products made of steel is at an all time high.  Back in 1942 this is what we made w/ steel that cost 38¢/ton. 

There are U.S. manufactured precision scalpels for sale I can show you that cost several thousand dollars per ounce.

21 posted on 08/07/2016 9:47:22 AM PDT by expat_panama
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To: Will88
I don't seem to know from the article you posted

Hey, don't stop learning now, there's a lot more going on in the world besides just what's in this article.    There are also lots of ways to digging up U.S. steel consumption numbers, and if you ever get up the time and energy pse ping me if you end up starting a thread on the subject.

22 posted on 08/07/2016 9:53:51 AM PDT by expat_panama
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To: expat_panama

The only thing Globalism has going for it is good propaganda.

I’ve read a few books about the decline of the US auto industry and one of the big factors was Japanese steel being about 1,500 to 3,000$ cheaper per car than US steel on average. This imbalanced was caused by the Japanese government monkeying with the steel market and the US ignoring it. US automakers where handicapped with higher wages and much worse handicapped by trade manipulation which is why US car quality was so much less for the same priced car.


23 posted on 08/07/2016 10:09:38 AM PDT by RedWulf (End Free trade.)
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To: expat_panama
In 1989 the gun turret on the Battleship USS Iowa blew up.

The explosion took out Turret no. 2 and its two 16 inch guns that had been on the ship since it was built in the 1940-1942 time frame.

These 16 inch guns could fire a 2,700 lb armor-piercing shell a distance of 20 nautical miles (about 23 land miles).

When the smoke cleared the Navy announced that the gunn turret would not be repaired and the guns would not be replaced.

One of the reasons given was that the US no longer had the industrial capacity, equipment or technology to manufacture new 16 inch guns
to replace guns built around 1941 - 48 years earlier!

And that was 27 years ago!

USS Iowa (BB 61) explosion and fire, April 19, 1989. (Official U.S. Navy photograph)


24 posted on 08/07/2016 10:49:30 AM PDT by Iron Munro (If Illegals voted Rebublican 50 Million Democrats Would Be Screaming "Build The Wall!")
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To: expat_panama

State gov’t is not helping.

At least 9,000 companies have left California from 2008 to 2015
http://www.breitbart.com/california/2016/08/06/9000-companies-left-california-since-2008/

The top 10 states that California businesses have relocated to over the last seven years are in the following order: (1) Texas; (2) Nevada; (3) Arizona; (4) Colorado; (5) Washington; (6) Oregon; (7) North Carolina; (8) Florida; (9) Georgia; and (10) Virginia.


25 posted on 08/07/2016 11:30:06 AM PDT by minnesota_bound
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To: expat_panama

You miss the point. The government and most people present data that tells the story they want to tell. Do you think that nice little unemployment figure that’s now around 4.9% tells the whole story?

And if you think the scant data on steel presented by Samuelson proved anything, well.... I guess you love that 4.9% unemployment.

The type data I discussed is not readily available and that’s probably no accident. Do you really think our government wants to put out stats that inform us of:

How much we consumed of a particular product or class of products.

How much of it was produced in the US.

How much of it was imported.


26 posted on 08/07/2016 11:32:52 AM PDT by Will88
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To: minnesota_bound

Steel production fell when beer cans started to be made from aluminum....... : )


27 posted on 08/07/2016 11:43:12 AM PDT by minnesota_bound
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To: Will88
The government and most people present data that tells the story they want to tell.

Sure, we've heard lots of folks say that but instead of going along and believing that every single federal employee (over 4 million --every boarder agent, every Marine, etc.) knows exactly what's going on and is intentionally making up numbers to back up the party line from Mr. BIG in Central Command, my take is that there are a lot stories we're getting from different people in the government.  Yeah, some are bogus and at the same time some are backed up w/ hard facts.  I see it as my job to tell which is which.

28 posted on 08/07/2016 12:16:51 PM PDT by expat_panama
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To: expat_panama

So would a compete de - industrialized USA be a bad thing? On the present trajectory we are heading for de - industrialization. So what’s to stop it from happening?


29 posted on 08/07/2016 12:21:32 PM PDT by central_va (I won't be reconstructed and I do not give a damn.)
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To: expat_panama
If the 55,000 factories closed since 2001 had remained open would industrial output be:
  1. Higher
  2. Lower
  3. Same

Would unemployment today be higher or lower if the 55,000 factories were still churning out product?

30 posted on 08/07/2016 12:25:39 PM PDT by central_va (I won't be reconstructed and I do not give a damn.)
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To: expat_panama; central_va
I found some Census data on steel imports, but the number I am looking at is difficult to believe. If I am reading the graphs posted by you and central_va correctly, then the US produced about 7 million metric tons of steel in 2015.

If I am reading this Census data correctly, the US imported 35 million metric tons of steel products for consumption in 2015. Are we really importing five times more steel than we're producing? - You can look at page 2 and page 6 at the link to get that total by steel commodity type and by country of origin.

Much of that 35 million in imported metric tons are steel products. Not sure what the 7 million US metric tons includes or if it is only some raw from of steel. But the metric tons difference of 35 and 7 is huge.

Interestingly, China is a much smaller part of the total than one might guess, just 2.1 million metric tons.

Maybe both of you can look it over and comment now or later. I plan to continue checking into this as I have the time and interest. Or maybe one of you has a figure for metric tons of steel products produced in the US.

US Census link (Annual totals at top, far right)

Final: U.S. Imports for Consumption of Steel Products December 2015

31 posted on 08/07/2016 12:32:36 PM PDT by Will88
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To: expat_panama
Yeah, some are bogus and at the same time some are backed up w/ hard facts. I see it as my job to tell which is which.

Well, if you think that Samuelson backed his story up with hard facts, then you missed on this one.

32 posted on 08/07/2016 12:34:40 PM PDT by Will88
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To: Iron Munro
...the US no longer had the industrial capacity, equipment or technology to manufacture new 16 inch guns to replace guns built around 1941...

--and a lot of folks do not believe we got the power to reestablish that capacity in a matter of weeks if we wanted to.    What we can say for sure is that in 1941 it would've taken a longer than a few weeks to develop the "industrial capacity, equipment or technology" to build this:

OK so we're probably now going to hear our labor thug freepers complain this kind of craft puts too many sailors out of work.  All I can say is that the purpose of the U.S. Navy is to protect America and with foodstamps for the unemployed we go to the Dept. of Agriculture.

33 posted on 08/07/2016 12:36:02 PM PDT by expat_panama
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To: expat_panama

you’ve been pushing this stuff pretty continuously. what the article doesn’t mention is that the chinese have over produced steel so now they’re dumping steel around the world.
China has conducted a ‘war’—not trade—with steel, experts say
http://www.cnbc.com/2016/05/20/china-steel-overcapacity-war.html

basically running a 500 billion annual trade deficit with china is unsustainable. it feeds the chinese appetite for power in the same way that expensive oil feeds the gulf states appetite for power.

More money for the chinese means they own more of california and expand into the south china sea.

More money for the gulf states and they set up their stupid mosques all over the world so they can bomb people into submission to their stupid god.

heaven help you if you’re a westerner.

you breathe but only because the sun shines and the rain falls on both the just and the unjust. not because of any of your own native genius. Don’t confuse wisdom for luck. that’s what the heathen do.


34 posted on 08/07/2016 12:39:04 PM PDT by ckilmer (q e)
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To: Will88

Those census numbers seem to match what I see when it comes to the steel/iron products used in the rail industry.

The sources are usually from these countries: Korea, Japan, Canada, Mexico, Brazil, China, Poland, Czech Republic, and the USA.

For a new model locomotive from the two main companies that sell on the US market, I would estimate about 0% to 10% max US steel content.

The majority of steel 133# rail is from Korea. They even have special ships to transport the 400ft. lengths. Canadian companies make the bulk of the switch and turnouts used.

If it’s made out of cast iron, it comes out of mexico or brazil.

Most of the structural steel comes from Canada and the US.

Engines, engine parts, traction motors, and the bulk of all of the hardware are from china, with some from mexico and brazil.


35 posted on 08/07/2016 3:21:36 PM PDT by factoryrat (We are the producers, the creators. Grow it, mine it, build it.)
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To: Iron Munro

That’s what happens when military goes from defending the nation to becoming a “Global Force for Good.”


36 posted on 08/07/2016 3:25:06 PM PDT by dfwgator
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To: Iron Munro

There’s a lot of antiquated technology we can’t build anymore. Because it’s antiquated. 16 inch guns are post dated technology, this is cruise missile missile world, giant guns to hit things 23 miles away are useless.


37 posted on 08/07/2016 3:29:52 PM PDT by discostu (If you need to load or unload go to the white zone, you'll love it, it's a way of life)
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To: factoryrat
The majority of steel 133# rail is from Korea. They even have special ships to transport the 400ft. lengths. Canadian companies make the bulk of the switch and turnouts used.

400' length? I'd like to see how that's produced.

I'm still shocked that while the US produces around 7 or 8 metric tons of steel now, that we import over 30 metric tons most years. Of course, the 30 is steel products, but those products are largely products that would have a very high steel content, so comparing metric tons to metric tons would still be mostly valid.

I looked back and the lowest years for imports were 2009 (13.4 tons) and 2010 (20 tons) when tariffs were imposed as punishment for dumping.

So, we're consistently importing about four times as many metric tons of steel are we're producing. Explains all the shut down steel mills in parts of the US, including Birmingham which isn't too far from where I live.

38 posted on 08/07/2016 3:47:06 PM PDT by Will88
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To: discostu
There’s a lot of antiquated technology we can’t build anymore. Because it’s antiquated. 16 inch guns are post dated technology, this is cruise missile missile world, giant guns to hit things 23 miles away are useless.

The point of the story wasn't about building more 16 inch guns, it was about the loss of industrial capability and know how.


39 posted on 08/07/2016 3:48:24 PM PDT by Iron Munro (If Illegals voted Rebublican 50 Million Democrats Would Be Screaming "Build The Wall!")
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To: central_va

>So would a compete de - industrialized USA be a bad thing? On the present trajectory we are heading for de - industrialization. So what’s to stop it from happening?

They have a specialized term that describes de-indrustialized nations: The 3ed world. Export raw materials and food stuffs and import finished products at huge mark ups. Everyone but the elite live like peasants.

It can be stopped through protectionism.


40 posted on 08/07/2016 3:51:40 PM PDT by RedWulf (End Free trade.)
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