Posted on 09/22/2010 8:31:14 AM PDT by Tennessee Nana
All superb policy maneuvers, but I’m not sure that gets us in the ballpark with countries who are able to deploy quasi-slave labor.
VW claimed at the time they were closing the PA plant because people were buying Jettas and not Rabbits, plus the exchange rate between the Mark and the Dollar was not in their favor. At that time the Rabbit was built in PA and the Jetta in Germany. My question way back then was "why not just retool for the Jetta?" Seems like it would have been cheaper than shuttering the plant entirely. No doubt the GM/UAW connection contributed in large measure to the demise, but they weren't fessin' up to it at the time. Shocking, isn't it?
I wonder if any of the politicians who pimped this deal between Chattanooga and VW knew the track history of VW in PA before they made the deal? I seriously doubt it. On the upside, the VW plant is located on the old Volunteer Amunition Plant grounds. The soil is contaminated out there and the powers that be in 'Nooga have been trying for years to get someone to build something out there....
You better get an itemized audit and do the math.
They exceed the labor cost like the portion of an iceberg below the surface exceeds the visible portion. Automation has greatly reduced labor, regardless of wage or salary.
wonder if any of the politicians who pimped this deal between Chattanooga and VW knew the track history of VW in PA before they made the deal?
___________________________________________
Corker is supposed to be Superman when it comes to big business...
Thus all the OHs and Ahs and How wonderfuls...
The messiah of business..
Lots of bowing and scraping and kissing his feet...
All time stops when he speaks...
“It boils down to this.... VW employees have a 3 tooth minimum.”
That post will go over well..
Thanks for the educational tip.
However, those other countries ALREADY don’t have the regulation burden of the US.
Thus, even in the highly unlikely event that you are able to slash environmental/workplace/bureaucratic burdens, eliminating them down to the level of a China or Mexico, you are STILL dealing with a huge wage/benefits differential.
The wage/benefits differential, is smaller than the international shipping cost. And the wage differential is nowhere near as large as it was before the 80s.
“The wage/benefits differential, is smaller than the international shipping cost.”
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That sounds very unlikely, but I will take your word for it.
Good news, as it means we at least have a chance, if we can eliminate the lawyer/bureaucrat anchor weighing so heavily on our economy.
Eliminate.
That said, I would not start a plant in the US if I were a German manufacturer, either. At this point, you have to consider that Obama will force it to be unionized, even though Tennessee law does not allow union thugs to take over a plant. If Obama is stopped after the elections, then it would be safer to invest in the US, but even then, I would be wary. This is the country that elected the marxist after all. Germany never did that.
If there is a global war, followed by many civil wars, then the survivors get a reset.
IMO, the prime focus now should be on God, and shepherding the lost and hurting to him in the time to come. It may be an ugly time, but people who cant afford their old coping methods are left with time to look at and face their lives.
God is what they will need, and whom we should be serving anyway.
Second, retain knowledge of the constitution and the principles behind it, and preserve this for future generations.
Third, Teach sound Austrian school economics, in place of the Keynesian fog that the left used to get us here.
How is that going to happen in a country where many (if not most) members of an entire political party (the scumbag Democrats) believe that a piece of paper filed in Delaware pays taxes, and who actually want that piece of paper to pay more taxes?
I agree with the other poster who said VW is probably locating where they figure there is a more intelligent work force available.
This is exactly what the WH wants to happen.
America has too much. Mexico doesn’t have enough.
Everything is about redistribution of wealth. Our wealth.
Even the poorest American is still in the top 1% of the world’s wealthest.
It is America and every American that will bear the burden of redistributing our wealth to the rest of the world.
Just like allowing Mexico to drill in the Gulf where we cannot because it is an environmental risk...we even gave Mexico 2 billion to do it.
Everything that is happening is about eliminating America as one of the top countries, about eliminate freedon and capitalism as the best way for a country to go. This is all about leveling the global playing field to pave the way for a global government.
This is not going to end well.
Transnational or Global the economic market is truly without a boundary such as we think of with regard to countries/states, etc.
Example: Recently I was in local hospital in southeast Texas and the patient’s food tray had a 4 oz container of diced peaches on it [Dole]. I noticed some writing on the side and picked it up to read what it said.
Quote: “Peaches from Greece, Packaged in Thailand”. And I thought ‘transported and served in a local hospital room in Southeast Tx’. That’s reaching across the globe for a 4 oz serving of diced peaches.
Hey look everyone, it’s that guy who constantly posts anti-cable/tv stuff [apropos of nothing, at that] in FR!
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