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America’s Has-Been Economy
Chronicles ^ | Friday, March 18, 2005 | Paul Craig Roberts

Posted on 03/20/2005 8:11:01 AM PST by A. Pole

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To: America's Resolve

Okay, I just couldn't imagine a lot of IT jobs in rural Iowa.

And yes, outsourcing is about the money. Did anyone say different? I don't mean just on this thread, I mean anyone, anywhere?

Speaking just for myself, if I were me, I'd do what I had to do -- drive a cab, work a warehouse jobs, substitute teach, do the minimum wage thing -- and then update my skill set. Because if the IT jobs are anything like the blue collar jobs, then they ain't coming back. Ever.


301 posted on 03/21/2005 7:51:25 PM PST by durasell (Friends are so alarming, My lover's never charming...)
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To: A. Pole
What type of knowledge? What field would you recommend to the students?

Spacecraft design and operations. Something tells me that the spacecraft is going to do for the 2010's what the computer did in the 80's

302 posted on 03/21/2005 8:58:00 PM PST by Centurion2000 (Nations do not survive by setting examples for others. Nations survive by making examples of others)
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To: A. Pole

Once the real estate bubble pops, lookout.


303 posted on 03/21/2005 9:00:27 PM PST by John Lenin (What problem ?)
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To: hedgetrimmer

Pray tell how is there 'slavery' in India due to outsourcing?


304 posted on 03/21/2005 10:09:56 PM PST by Cronos (Never forget 9/11)
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To: Cronos

My statement was that the people who negotiate free trade deals negotiate with countries that allow slave labor. Two of these countries are India and China.

My question was how is it that America can allow trade policy to be changed so that American companies can do business with slave nations? America banned slavery within its borders and the companies doing business with China and India are insured by the US taxpayers through OPIC and are often in public private partnerships with the US government. Companies insure by American citizens and that partner with the US government should by rights, not do business with slave nations on the authority of the 14th amendment.


305 posted on 03/21/2005 10:36:34 PM PST by hedgetrimmer
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To: hedgetrimmer

Show me proof that the factories in the Pearl River Delta put a gun to the heads of the women who work there. Those women would be consigned to a life in the fields or in prostitution if it wern't for those factories. Same thing in India.


306 posted on 03/21/2005 10:39:09 PM PST by Clemenza (Alcohol Tobacco & Firearms: The Other Holy Trinity)
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To: A. Pole
To demonstrate in a way compelling to you that Japanese policy was closer to the optimum than the alternative one is beyond human strength. Even designing an alternative economical policy for the mere sake of comparison is a PhD assignment.

Great, but you said:

Pragmatic (not ideological) national policy combining market and well calibrated government intervention usually worked very well.

Surely you can say how well Japan did since 1989. Don't need a PhD to gather the historical data, do you?

You said government intervention usually worked very well. Back that up with some data. If it's not too much trouble. Unless you're gonna admit you were wrong. That intervention doesn't work very well.

307 posted on 03/21/2005 11:12:58 PM PST by Toddsterpatriot (Maybe it's not the Alinsky Method. Maybe you appear ridiculous because you are ridiculous!!!)
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To: Clemenza
Show me proof that the factories in the Pearl River Delta put a gun to the heads of the women who work there.

I had one of these jokers argue that child labor in these countries is so bad, the kids are better off starving to death.

308 posted on 03/21/2005 11:14:27 PM PST by Toddsterpatriot (Maybe it's not the Alinsky Method. Maybe you appear ridiculous because you are ridiculous!!!)
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To: oceanview

I dont agree US Tech is dead. Nokia just licensed Microsoft patents for all their cellphones.


309 posted on 03/21/2005 11:18:18 PM PST by BurbankKarl
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To: Toddsterpatriot
I can foresee the day when some smart operator buys a "functional obsolete oil tanker" and converts it into 80,000 ton floating cabinet workshop, and stocks same with happy Chinese workers at $.40 an hour. They'll be able to a a complete kitchen in the time it takes the varnish to dry*. No big deal, except for the US workers who lose their jobs and vote Dimo. That is not a threat to national defense.
Steel and high quality castings and the like are essential to the national defense, hence any loss in this capacity does hurt us.(*Already been considered, but the money guys think the Chinese will stop the worker source once it becomes profitable)
310 posted on 03/21/2005 11:25:39 PM PST by investigateworld (Another California Refugee in Oregon)
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To: William Terrell

Toyota USA

Direct N.A. Employment 36,349
N.A. Dealer and Supplier Employment 200,000
Direct N.A. Investment $15,265,000,000
Cumulative N.A. Production 11,846,096
N.A. Vehicle Sales (2003) 2,072,190
Cumulative N.A. Vehicle Sales 34,452,600
N.A. Purchasing* $22,722,000,000
N.A. Toyota, Scion and Lexus Dealers 1,713
Total U.S. Philanthropy (since 1991) $227,000,000


Honda USA

25,000 US employees, 100,000 dealership employees and 600 US suppliers.

Alpharetta, GA Power Equipment Headquarters, Auto Zone, Finance, Parts Center
Honda Rider Education Center

Anna, OH Engine Plant
Honda's largest engine facility in the world, the Anna plant annually produces more than one million L-4 andV-6 engines.

Ann Arbor, MI Emissions Lab

Cantil, CA Testing

Colton, CA Honda Rider Education Center

Denver, CO Emissions Testing Lab

East Liberty, OH Automobile Plant

Using Honda's flexible manufacturing, this plant produces cars and light trucks on the same assembly line.

Transportation Research Center (Test Track)
Greensboro, NC R & D Center

Lincoln, AL Automobile and Engine Plant
Opened in 2001, this is our newest North American Automobile Plant, producing the Odyssey minivan, the Pilot and V-6 engine.

Marysville, OH Motorcycle Plant
Honda's first U.S. production facility, the Marysville Motorcycle Plant has produced more than 1.8 million motorcycles and ATVs since 1979.

Automobile Plant One of the most integrated and flexible auto plants in North America, it houses stamping, welding, paint, plastic injection molding and assembly under one roof.

Mojave Desert, CA R & D Test Track

Raymond, OH R & D Center

Russells Point, OH Transmission Plant

Santa Clarita, CA Honda Performance Development (Auto Racing)

Swepsonville, NC Power Equipment Plant

This facility has an annual production capacity of 1.5 million multi-purpose power equipment engines.

R & D Center
Irving, TX Honda Rider Education Center

Troy, OH Honda Rider Education Center

Timmonville, SC All-Terrain Vehicle Plant
Personal Watercraft Plant
Honda's primary ATV plant in North America also handles engine assembly under the same roof and, in 2002, opened a second plant for personal watercraft production.

Torrance, CA U.S. Sales & Marketing Headquarters
R & D Center


311 posted on 03/21/2005 11:30:58 PM PST by BurbankKarl
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To: Centurion2000
Spacecraft design and operations. Something tells me that the spacecraft is going to do for the 2010's what the computer did in the 80's

And travelling to Mars.

312 posted on 03/22/2005 4:28:14 AM PST by A. Pole (The Law of Comparative Advantage: "Americans should not have children and should not go to college")
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To: Toddsterpatriot
Surely you can say how well Japan did since 1989. Don't need a PhD to gather the historical data, do you?

OK, let me help you then. Japan before 1989 was doing spectaculary well. After 1989 it slowed down but still is doing OK. Let us compare the unemployment and trade deficit with USA:

USA trade deficit in 2004: $665.9 billion
Japan trade surplus in 2004: 18.59 trillion yen ($180 billion)

USA unemployment in 2004: 5.5%
Japan unemployment in 2004: 4.5%

313 posted on 03/22/2005 4:43:10 AM PST by A. Pole (The Law of Comparative Advantage: "Americans should not have children and should not go to college")
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To: BurbankKarl

That's chump change. Remember, all the profits are being expatriated. /sarc


314 posted on 03/22/2005 7:44:20 AM PST by 1rudeboy
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To: Toddsterpatriot; Clemenza
Show me proof that the factories in the Pearl River Delta put a gun to the heads of the women who work there.

Are you trying to defend doing business with slavers?

Are you denying there is no slave labor in China? Maybe you should do your homework on the companies and countries you do business with before you give them your money.
315 posted on 03/22/2005 8:08:44 AM PST by hedgetrimmer
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To: Toddsterpatriot

"Why? Because your companies want to make money there. Your companies and politicians do not care about slave labor. They do not care about the execution of the innocent. They do not care about human rights. They care about copyrights and national security. But what they have done is to help turn China into an economic and military giant. But it is still a Communist giant which crushes human beings."

"Human dignity means nothing to your greedy politicians and corporate leaders. They see China as a great place to make money. And it does make good business sense. No unions. No strikes. Slave labor. The state maintains order for you. "

--Harry Wu


316 posted on 03/22/2005 8:10:46 AM PST by hedgetrimmer
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To: Toddsterpatriot; Clemenza

Free and Endless Supply of Workers

China¡¯s booming economy continues to increase through its use of slave labor or Laogai camps. Laogai means ¡°reform through labor.¡± It¡¯s a system of prison factories and detention centers set up by former Chinese leader Mao Zedong during the 1950¡¯s as a means to re-educate through labor and increase economic gain for the People¡¯s Republic of China. As of 1979, there were apparently only several thousand people being forced to work in the Laogai system. Today it has become an enormous source of free labor and financial profit for the Chinese government. According to estimates from the Laogai Research Foundation, there are 6.8 million people incarcerated in China¡¯s 1,100 labor institutions.

For those incarcerated in these facilities, the reality they face is long hours of brutal treatment with little sleep or food to sustain themselves. Reports of 20-hour work days and violent oppression force some detainees to choose suicide instead of being beaten, starved, or worked to death according to a paper by Stephen D. Marshall, ¡°Chinese Laogai: a hidden role in ¡®Developing Tibet.¡± Others mutilate or injure themselves in an effort to avoid the work. Inmates who fall behind or refuse to work are shocked with electric batons, beaten, sexually assaulted, or thrown into solitary confinement. Among those that make up the population in these labor camps are criminals, political prisoners, and practitioners of the spiritual practice Falun Gong, who reportedly now make up to half of those detained in the Laogai labor system.

Who Uses Slave Labor?

Forced labor has become both a form a torture and a source of great profit for China. With the enormous amount of free labor that comes from Laogai, China has lured many overseas businesses into its profit-through-slave-labor system. With ridiculously cheap wholesale labor costs many cannot resist the bait and unknowingly come to support this illegal practice.

Common everyday products ranging from artificial Christmas trees, Christmas tree lights, bracelets, tools and foodstuffs, et cetera are among some of the products manufactured and exported from these facilities. According to a 1998 House Committee on International Relations report, companies who reportedly have or had products made in China¡¯s Laogai are Midas, Staples, Chrysler, and Nestle¡ä. A recent report from one detainee in the Changji Labor Camp in Xinjiang states the Tianshan Wooltex Stock Corporation Ltd., a contractor to Changji Labor Camp, makes products for overseas companies such as Banana Republic, Neiman Marcus, Bon Genie, Holt Renfrew, French Connection and others. Orders from Banana Republic number between 200,000 and 280,000 pieces a year.

The products made in these facilities are produced by people who are forced to work in unsafe and unhealthy conditions. Detainees in Laogai have said that because of malnutrition, sleep deprivation and stress they often contract lice, scabies, hepatitis, tuberculosis, and other ailments. Sick detainees are still forced to work. Many are not allowed to take showers for long periods of time, allowing all manner of bodily substances to come into contact with the items they manufacture. These products are then shipped all over the world.

Stopping Laogai Products

Laws on the books that outlaw slave labor products have not been able to stop the tide of illegally and inhumanely manufactured merchandise from being shipped and traded worldwide. For example, since 1983 it has been illegal to import goods into the United States made through using slave labor. According to the Laogai Research Foundation China¡¯s government publicly guaranteed to stop the export of slave labor products in October 1991.

In 1992, China and the United States signed a Memorandum of Understanding (MOU) in an effort to enable the US access to information it needed to control its import ban on prison labor products. According to this MOU the Chinese government had committed itself to investigating all claims of slave labor.

The agreement proved to be worth little in real results, given the profits China stood to lose from its free source of labor the Laogai system provides. Brushing aside requests from the US for answers on the issue, China provides ¡°sanitized¡± camps for inspectors. Other tactics used to ensure production continues include false holding companies, changing addresses, and mixing labor camp output and non-prison businesses together.

¡°Thus, the commercial exploitation of slaves in China¡¯s labor camps is effectively an open secret in the world of commerce,¡± says Harry Wu, founder of the Laogai Research Foundation.

The High Cost of China's Laogai
(By Riordan Galluccio, The Epoch Times, 3/24/2004)


317 posted on 03/22/2005 8:22:22 AM PST by hedgetrimmer
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To: A. Pole

The graph shows that year-ended growth in Japanese real GDP has cycled around an average of 1.6 per cent since 1990, with peaks occurring in 1990, 1996 and 2000.

See, the best thing about a planned economy like Japan's is that growth is nice and steady. Not too fast, not too slow, just an ever larger economy, quarter by quarter, year over year.

Much higher growth than America's unplanned economy, as you can see.

318 posted on 03/22/2005 8:54:39 AM PST by Toddsterpatriot (Maybe it's not the Alinsky Method. Maybe you appear ridiculous because you are ridiculous!!!)
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To: 1rudeboy

Well, the money Nissan sends us every month is spent in CA.


319 posted on 03/22/2005 9:12:27 AM PST by BurbankKarl
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To: A. Pole
USA trade deficit in 2004: $665.9 billion
Japan trade surplus in 2004: 18.59 trillion yen ($180 billion)

So now trade surplus or deficit is the indicator of a successful or failed economy?

How about the Japanese federal deficit?

Budget:
revenues: $1.327 trillion
expenditures: $1.646 trillion,
Public debt: 154.6% of GDP (2003)

Japan

Compared to ours.

Budget:
revenues: $1.782 trillion
expenditures: $2.156 trillion,
Public debt: 62.4% of GDP (2003)

USA

Boy, that pragmatic (not ideological) national policy combining market and well calibrated government intervention sure is expensive. And all it got you since 1990 was 1.6% growth? Maybe they should try something new?

320 posted on 03/22/2005 9:22:38 AM PST by Toddsterpatriot (Maybe it's not the Alinsky Method. Maybe you appear ridiculous because you are ridiculous!!!)
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