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Goodbye, Production (and Maybe Innovation)
The New York Times ^ | December 24, 2006 | Louis Uchitelle

Posted on 12/31/2006 6:25:30 AM PST by A. Pole

AMERICAN manufacturers no longer make subway cars. They are imported now, and the skills required to make them are disappearing in the United States. Similarly, imports are an ever-bigger source of refrigerators, household furnishings, auto and aircraft parts, machine tools and a host of everyday consumer products much in demand in America, but increasingly not made here.

[...]

the experts shifted the emphasis from production to design and innovation. Let others produce what Americans think up.

[...]

But over the long run, can invention and design be separated from production? That question is rarely asked today. The debate instead centers on the loss of well-paying factory jobs and on the swelling trade deficit in manufactured goods. When the linkage does come up, the answer is surprisingly affirmative: Yes, invention and production are intertwined.

"Most innovation does not come from some disembodied laboratory," said Stephen S. Cohen, co-director of the Berkeley Roundtable on the International Economy at the University of California, Berkeley. "In order to innovate in what you make, you have to be pretty good at making it — and we are losing that ability."

[...]

Franklin J. Vargo, the association’s vice president for international economic affairs, sounds even more concerned than Mr. Cohen. "If manufacturing production declines in the United States," he said, "at some point we will go below critical mass and then the center of innovation will shift outside the country and that will really begin a decline in our living standards."

[...]

"It is hard to imagine," Mr. Tonelson said, "how an international economy can remain successful if it jettisons its most technologically advanced components."

[...]

(Excerpt) Read more at nytimes.com ...


TOPICS: Business/Economy; Culture/Society
KEYWORDS: alasandalack; depression; despair; doom; dustbowl; freetraitors; grapesofwrath; jobs; manufacturing; market; outsourcing; technology; trade; unions
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To: A. Pole

And we gripe when the Asian producers, particularly in China, copy our technology and designs, and send us cheap knock-off imitations...

Guess where they got the information on how to make those things...duh, we hired them to produce them in the first place. Give a professional burglar your house plans with all your valuable secrets marked plus the key to the front door and walk away, don't complain that your house is cleaned out when you return...


21 posted on 12/31/2006 6:45:10 AM PST by TheBattman (I've got TWO QUESTIONS for you....)
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To: DB
I do too many stupid things to be an AI program.

You are too modest.

22 posted on 12/31/2006 6:45:30 AM PST by A. Pole (M. Boskin: "It doesn't make any difference whether a country makes potato chips or computer chips!")
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To: A. Pole

"They are imported now, and the skills required to make them are disappearing in the United States."

BS. Americans can't weld and turn bolts? Freakin' NYT alarmist BS article.

I'm sorry you have trouble making a living. My people are doing great. But then again, we do stuff about it other than complain on FR.


23 posted on 12/31/2006 6:47:15 AM PST by L98Fiero (A fool who'll waste his life, God rest his guts.)
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To: Major_Risktaker; DB
[to DB:] What is your definition of wealth?

Having three DVD players and plasma screen?

24 posted on 12/31/2006 6:47:18 AM PST by A. Pole (M. Boskin: "It doesn't make any difference whether a country makes potato chips or computer chips!")
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To: A. Pole

Solutions please.


25 posted on 12/31/2006 6:48:11 AM PST by ItisaReligionofPeace
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To: canuck_conservative
The problem isn't unions (as much as that pains me to say).

It is government that give unions special protections.

If people want to join a union fine. If they all get fired and replaced the next day that is fine too. Why is it you are forced to join a union for all practical purposes if you work at a particular place? That is unAmerican in itself.
26 posted on 12/31/2006 6:48:31 AM PST by DB
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To: DB
I do too many stupid things to be an AI program.

I, on the other hand, am so ignorant, I don't even know what an "AI program" is.

It haunts me to think I may unknowingly be one.

27 posted on 12/31/2006 6:49:13 AM PST by Graybeard58 (Remember and pray for SSgt. Matt Maupin - MIA/POW- Iraq since 04/09/04)
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To: A. Pole

Yes, he is part of an AI program. It was designed by Americans, but built in India.


28 posted on 12/31/2006 6:49:53 AM PST by ItisaReligionofPeace
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To: ByteMercenary
If you could read, you would see that I wrote: "The artist and the label or the CD manufacturer."

Making my point that isn't the CD manufacturer making 10 cents on the CD pressing making the money.

P.S. I simply wrote my reply in the same manor as you wrote yours.

29 posted on 12/31/2006 6:52:20 AM PST by DB
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To: A. Pole
"In order to innovate in what you make, you have to be pretty good at making it — and we are losing that ability."

Minor point that is glossed over here - you can make something without having to make it in high volume production which incurs huge startup costs and high risk.

30 posted on 12/31/2006 6:52:36 AM PST by garbanzo (Government is not the solution to our problems. Government is the problem.)
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To: DB

Yup, I got problems with the the undemocratic principles of the "closed shop", too.

What really gets me is when public-sector unions go on strike, basically holding the ENTIRE INNOCENT PUBLIC hostage in their quest to satify their selfish demands (transit strikes, teacher strikes, etc.)



31 posted on 12/31/2006 6:54:24 AM PST by canuck_conservative
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To: ItisaReligionofPeace

Actaully I was "built" in Texas.


32 posted on 12/31/2006 6:54:29 AM PST by DB
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To: A. Pole


This is a silly argument.

Designing things and making them are two different issues entirely. Furthermore, when designing things, there are perhaps two or three people that actually have the skills to do it in any particular company. It's not like if a refrig is made in brazil that the entire USA can't made a fridge now. There will ALWAYS be people in the USA that will be able to make anything. Their salary will simply rise if there is brain drain.


33 posted on 12/31/2006 6:56:28 AM PST by Malsua
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To: Graybeard58

Artificial Intelligence (intelligence simulated by a machine).


34 posted on 12/31/2006 6:56:39 AM PST by DB
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To: A. Pole

Well, yes, that Americans "make too much" relative to cheap foreign labor is a very real issue, whether certain types of folk want to admit that or not. Unions tend to exacerbate labor expenses, which makes them a key component of the problem.


35 posted on 12/31/2006 6:56:44 AM PST by Sandreckoner
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To: Constitutional Patriot
The article also missed the whole part where American corporations are exporting jobs to countries that use slave or forced labor, long long hours, no benefits such as health care, pensions, 401k plans. Positions that pay a meager wages, sometime positions that punish workers for poor performance.

Engineers in the Eastern block make $900 a month. Manufacturing in China employs 3 workers to do the same thing as an American worker, and still not add up to the American wage or standard of living.

If were going to have a global economy, at least demand Congress level the playing field by negotiating fair trade deals rather than giving away the farm to our competitors overseas.
36 posted on 12/31/2006 6:57:40 AM PST by servantboy777
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To: A. Pole

Common. By any economic measure we are wealther now than ever before in history.


37 posted on 12/31/2006 6:58:41 AM PST by DB
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To: A. Pole
Whatever will America do without the buggy whip industry?

L

38 posted on 12/31/2006 6:58:43 AM PST by Lurker (History's most dangerous force is government and the crime syndicates that grow with it.)
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To: A. Pole
I have two words or maybe one IPOD.

This little device with all the creative accessories and the web based download system coupled with great marketing and imaging has produced phenomenal results for an American Company that manufacturers nothing in the USA.

One can say that this will eventually be copied, but look at Microsoft, one of the world's wealthiest companies with arguably the best distribution on earth cannot come up with a device to compete.

The challenge that Apple has is continuing to innovate.

It can and will be done right here in the good ol USA.

39 posted on 12/31/2006 6:59:12 AM PST by GWB00 (Barbara Streisand barely made it out of high school.)
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To: Constitutional Patriot

Do you mean like china where there are no freedoms?
How much of American manfacturing do you think was unionized before we swallowed the free trade pill?


40 posted on 12/31/2006 7:00:39 AM PST by em2vn
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