The Jobs Problem

Newsmax ^ | Wednesday, Jan. 14, 2004 | Paul Craig Roberts

[looscnnn]

Points out the common sense of what is going on with jobs being sent overseas.

[RLK]

There has been no recovery. There has been nothing but spin. It will get worse.

[hapy]

what will get worse the job market or the spin?

[lainde]

bttt

[reed_inthe_wind]

Another factor of production is entrepreneurial spirit.

[rj45mis]

Union wages contribute significantly to the corporate decision to move operations out of country. When you're paying a high school dropout $30/hr to produce consumer goods while allowing comparable goods imported at 1/3 the cost, what CEO will choose the former? It's a no brainer!

[RockyMtnMan]

But jobs are a "lagging" indicator. </sarcasm>

I would love to hear when the "lag" time should be over and hiring of these new "high skill" jobs is to occure. If it takes 10 years to create these new high end jobs then we should expect a severe economic depression until then.

[RLK]

what will get worse the job market or the spin?

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Both.

[RiflemanSharpe]

Both.

[RockyMtnMan]

It's difficult to justify giving a few million to a startup if their business plan doesn't include offshore labor. That doesn't employ very many American's in those scenarios. The boom of the 90's was a direct result of VC investment and hiring domestically. Unfortunately most of those businesses were based on "irrational exuberance" and did not have a real "entrepreneurial spirit" just a desire to fleece any poor sucker that would give them money.

If you want to compete with the global corporations of the world nowadays you have to buikd your business a brick at a time. If they notice you they might crush you or if your lucky buy you out. Don't expect a VC to loan any money to a startup that wants to compete in a space currently owned by a trans-national corporation, unless you've solved world-peace and hunger.

[pissant]

Get a grip. The economy even in Seattle is starting to simmer. The Northwest took it in the shorts with the collapse of the over-inflated Tech sector.

With a 3rd quarter 8.2 GDP growth, someone is creating wealth. Who might that be? Maybe the construction industry (wood products, concrete, window manufacturer's, electricians, etc.) the software industry (Microsoft is doing fine), Aerospace (Boeing is profitable again).

The US economy is the most Dynamic in the world. Industries rise & industries fail. The same doom and gloomers were bitching during the early to mid eighties when companies were axing people and restructuring. Yet Reagan's unshackling of the business community led to a 18 year boom cycle.

I hope as we enter this new boom cycle, the critics will settle down and get a job that makes 'em happy.

[Dane]

Union wages contribute significantly to the corporate decision to move operations out of country. When you're paying a high school dropout $30/hr to produce consumer goods while allowing comparable goods imported at 1/3 the cost, what CEO will choose the former? It's a no brainer!

Nah, it's more like a reason for RLK and looscnn to go ballistic. Afterall to them business owners are evil and the enemy.

[RiflemanSharpe]

I have not seen the job market improve one bit. I have been looking at want ads on line and in the paper the number and quality of ads has not gone up in the past 7-8 months, the lentgh of time I have looked.

[looscnnn]

You got that.......wrong. I had my own business, before I had to move to South Carolina. Granted I was the only employee and I worked a full time job also, but I had hopes of the business becoming viable. Also, my relatives work/ed for one of the big 3 in the auto industry and I can agree with the statement about the unions.

Before you make a moronic statement like that again, you better get all the facts.

[GigaDittos]

If all the jobs are going overseas, how come the Mexicans aren't following them? Are they even too mundane for the Mexicans?
Is there some point in this scenario where enough jobs go overseas and most Americans will be sitting around twiddling their thumbs with nothing to do? I wonder if that is even possible. Has any culture ever been able to exist on a permanent vacation?

[ctonious]

No worries mates, we will abandon the low-tech horse-and-buggy-whip industries of manufacturing, electronics assembly, software programming and IT - and with our hyper-educated youth leading the way, leapfrog into Martian habitat fabrication, nano-burger-technology and quantum nursing homery.

[RussianConservative]

Because Mexican factory closes and move to China and because US give them FREE education and welfare...and Mexico socialist failure for 200+ years.

[GigaDittos]

Didn't they say the same thing when the Japanese were kicking our butts in the late 70's and 80's? Now it appears that the Koreans are japanesing the Japanese, and the Chinese are japanesing the Koreans, and etc.... but the Americans are still here along with the Japanese and Koreans. This ripple effect apparently isn't the country killer we thought. I believe there is a reason why all these industries are changing and moving EXCEPT defense, space, computers and software. Hmmmmm, why is this? Could it be that any area of innovation stays HERE???

[GigaDittos]

Every country has free education, and since ours sucks so bad, why don't they move to some other country like Canada, where they can even get free socialist medicine? I'm surprise the African-Americans are allowing them to share the welfare budget with them.