We've Become a Nation of Takers, Not Makers. More people work for government than most industries.

Wall Street Journal ^ | 04/01/2011 | Stephen Moore

[SeekAndFind]

If you want to understand better why so many states—from New York to Wisconsin to California—are teetering on the brink of bankruptcy, consider this depressing statistic: Today in America there are nearly twice as many people working for the government (22.5 million) than in all of manufacturing (11.5 million). This is an almost exact reversal of the situation in 1960, when there were 15 million workers in manufacturing and 8.7 million collecting a paycheck from the government.

It gets worse. More Americans work for the government than work in construction, farming, fishing, forestry, manufacturing, mining and utilities combined. We have moved decisively from a nation of makers to a nation of takers. Nearly half of the $2.2 trillion cost of state and local governments is the $1 trillion-a-year tab for pay and benefits of state and local employees. Is it any wonder that so many states and cities cannot pay their bills?

Every state in America today except for two—Indiana and Wisconsin—has more government workers on the payroll than people manufacturing industrial goods. Consider California, which has the highest budget deficit in the history of the states. The not-so Golden State now has an incredible 2.4 million government employees—twice as many as people at work in manufacturing. New Jersey has just under two-and-a-half as many government employees as manufacturers. Florida's ratio is more than 3 to 1. So is New York's.

Even Michigan, at one time the auto capital of the world, and Pennsylvania, once the steel capital, have more government bureaucrats than people making things. The leaders in government hiring are Wyoming and New Mexico, which have hired more than six government workers for every manufacturing worker.

[ballplayer]

Sounds Like the Una bomber

[ballplayer]

Who is John Galt?

[The_Reader_David]

But in time of war, depending on the opponent, it may still be very bad to have to import ordinary, non-specialty steel and so many of our chips. Hence, my suggestion that strategically we should have retained more capacity in those sectors.

[redgolum]

A state can’t last long like this.

The East fell to the islamic hordes because they were LESS oppressive than the Christian empire. Taxes were lower, usury was banned, and most people could live their lives in relative peace. The late Eastern Empire has a huge state, which grew to expensive to maintain. But since the state workers had enough power to dethrone emperors, they could not be dealt with.

[muawiyah]

No doubt there's a "next generation" of technology sitting there ready to turn out the world's cheapest steel. At the moment we are going through a cycle of developing and using replacement products in construction and manufacturing. PLUS, we've developed a highly efficient steel/iron recycling systemm.

I think the long term prospects for steel are not all that good ~ even in time of war, and particularly for ships. We will be blasting them to pieces from space.

[jackv]

IIR communism keeps the people in three categories. They work for the government, are on welfare, or serve in the military.
We're getting their folks!

[P.O.E.]

One of the precursors to the Great Depression of the 30’s was the Industrial Revolution and mechanized farming. Stuff was cheaper, but fewer people had jobs, resulting in fewer buyers. No matter how cheap something is, if you have no income, you can't buy it.

Fast-forward to now, and you can see the parallels. Of course, there are many more factors (transfer payments, globalization, regulations, litigation, etc.), but the result is the same.

[cornfedcowboy]

One of the best articles I’ve read lately. Very good read!

[indthkr]

“Wealth is created on the shop floor.”

It doesn't help when our college age kids overwhelmingly choose to become lawyers and political science majors.

Those are the academics degrees of "pie slicers" not "pie makers".

[Carry_Okie]

Wonderful summary.

[Grunthor]

I heard somewhere that 35 percent of Americans get some kind of government check that they live on (I am one of them but hey, I earned it) another 5 to 10% WORK for some kind of government agency. I came to the conclusion that if you add that up, that’s Obama’s base right there.

[Victor]

"...who were the parties responsible for the destruction of U.S. Manufacturing?...."

Start with none other than William Jefferson Clinton, who along with Algore started cutting deals with the Chinese, although it was also Nixon who helped pave the way.

Both Clinton and GW Bush also tore down almost every trade barrier you can think of...NAFTA, WTO, etc which almost guaranteed American manufacturing's move to Mexico, China, India, and the like.

[Quickgun]

Less people here in Texas will allow a runaway govt., I’d hope.

[central_va]

Ok, I’ll put you in the statist category of Federal Bootlickers.

[JudgemAll]

Yeah, my lib friends who have ss and 401k and investments were stunned when I told them I vote with my wallet the way their Zero hero votes and bets against their retirement.

Therein lies the crux of left wing voting idiocy.

[JudgemAll]

NAFTA and proillegal of Bush rino fame idiots never realized that trial lawyers cant go to Mexico... or they did but were too much of wussies to acknowledge it. Let us see... many will have to pay their debts over this... “hey, Rinos, what’s that gay pedophile latino illegal indian doing on your daughter?”

It’s how feminist hypocrisy undertaking bullis leads to Islamificating fornicating.

[Jeff Winston]

Not just that, but then there’s people who claim that employing more govt workers means tax revenue goes up.

Haven't you heard that the best thing for the economy is to pay people unemployment?

[JudgemAll]

Texas using drug gov money to build scientific space centers? That’s redistributin, the right way... Texas knows how to care for Indians, it builds them a space center... good friend is good master if friendship is refused.

[SunkenCiv]

This is a groundless claim, that government employees work.

Thanks SeekAndFind.

[RobbyS]

Well, to be fair, there is also veteran’s preference. Retired military have a leg up on jobs with defense contractors. Many a guy has only had to change his suit.