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Trade gap could pinch our pocketbooks Record deficit might decrease standard of living
San Francisco Chronicle ^ | June 23, 2002 | Sam Zuckerman

Posted on 06/23/2002 3:28:18 AM PDT by sarcasm

Edited on 04/13/2004 2:40:25 AM PDT by Jim Robinson. [history]

Cars from Japan, wine from France, clothing from China -- for years, the United States has been running up its credit card balance, buying far more from the rest of the world than it sells.

In April, America's trade gap with the rest of the world climbed to $35.9 billion, the highest on record, the Commerce Department reported last week.


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


TOPICS: Business/Economy; News/Current Events
KEYWORDS:
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1 posted on 06/23/2002 3:28:19 AM PDT by sarcasm
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To: sarcasm
After all these huge trade deficits during the "new economy" of the '90s, and thanks to NAFTA and other trade aggreements, we may be just now waking up that: Record trade deficits will decrease our standard of living.
2 posted on 06/23/2002 3:39:10 AM PDT by Tuco-bad
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To: Tuco-bad
Don't you that there is a new paradigm - trade deficits don't matter.
3 posted on 06/23/2002 3:44:58 AM PDT by sarcasm
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To: Tuco-bad
THAT GIANT SUCKING SOUND YOU HEAR? Now who was it that said that and who was it doing all that laughing.Folks I am on a fixed income and those of you both Republican and Democrat thank all your lovely elected Congress people,bow down to them and their lies and shake in your boots when they tell you Social Security is going bankrupt but their retirement packages are in great shape and just got through improving them again.Plus old Kerrey has just told some of you what a lot of us already knew that there was not a SS Trust Fund anyway it was full of their I.O.Us and they have never had that money there anyway.If there is an honest politican in Congress he hasnt been there two terms yet.Buy the way that thundering sound you hear are those illegals coming across our borders to get what jobs that are left but at the rate they are coming dont worry be happy America will splinter nad break up just like Russia.WATCH-LOOK-& Listen and this ant old Ross saying that.
4 posted on 06/23/2002 3:55:03 AM PDT by gunnedah
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To: sarcasm
Surely this article must be mistaken. We've exported over 10,000 FACTORIES since 1993, and Klintoon, and Bob Dole, and Newt, and the Bush Dynasty and well ... they all promised us that these Fast-Tracked, Free Trade Agreements would eventually benefit the country.
5 posted on 06/23/2002 3:59:31 AM PDT by CIBvet
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To: CIBvet
The FTAA will solve all of the problems created by NAFTA and GATT.
6 posted on 06/23/2002 4:02:38 AM PDT by sarcasm
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To: arete
More gloom & doom.
7 posted on 06/23/2002 4:09:48 AM PDT by walden
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To: walden
One of the real problems is that the US does not make hardly any manufactured goods today that can be exported. MOst of our manufacturing has been sent overseas and all we are left with are so-called service jobs.

Outside of defense, airplanes, computers (?) and agriculture, there is not much left to export.

US companies through our financial markets will also find it difficult to obtain the capital to rebuild the manufacturing base that will let them compete. In many industries, our machinery and equipment are at least two, in not three, generations behind our competitors.

Trying to compete with out-moded equipment and high cost labor is a difficult task.

8 posted on 06/23/2002 4:17:04 AM PDT by rollin
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To: rollin
Add into the mix an aging Baby Boom generation that was fairly well educated and had good work ethitcs who are reaching retirement age, and the next generation that have poor educations and NO work ethics. You will see that service industry go down hill fast.
9 posted on 06/23/2002 4:57:00 AM PDT by GailA
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To: sarcasm
trade deficits don't matter.

Does your trade deficit with your dentist matter?

10 posted on 06/23/2002 5:47:16 AM PDT by jlogajan
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To: jlogajan
I was being, ummm, sarcastic.
11 posted on 06/23/2002 5:49:55 AM PDT by sarcasm
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To: Tuco-bad
huge trade deficits during the "new economy" of the '90s

ahhh, don't look now, but we've been running large merchandise trade deficits for over 30 years

Record trade deficits will decrease our standard of living

funny, our standard of living has been steadily increasing for the entire 30 year period, '90s included, over all income quintiles

if you want the details, i'll look up the links to the extensive statistics i posted proving this fact to a raving buchananite who used to rant about our "falling standard of living", but no longer does

u.s. trade deficits are an indication of demand for goods by u.s. consumers, and have largely coincided with u.s. growth, as they are in part a byproduct of it

the u.s. trade deficit will continue to temporarily increase in spite of the dollar's recent decline, as consumption patterns change more slowly than relative currency values, and about 10% more dollars are now required to buy the same amount of foreign goods versus 3 or 4 months ago

eventually, continued dollar weakness will reduce the u.s. trade deficit

all of which means precisely nothing, just as the trade balance between florida and georgia means nothing

12 posted on 06/23/2002 6:17:10 AM PDT by AntiScumbag
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To: AntiScumbag
Would you like to buy some seaside lots in North Dakota?

Would make a great place to spend your vacation from reality.

13 posted on 06/23/2002 9:55:20 AM PDT by rollin
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To: sarcasm
You're right ... all our country needs to do to solve our OUTRAGIOUS BALANCE OF TRADE DEFICIT is one more Fast-Tracked, Globalist trade agreement.

At the rate they've got us goin', won't belong until 1/2 the nation's families will be livin' out of junk cars in the WalChina-Mart parkinglot, waitin' for their 'check'

Welcome to the USSA Pres Bush ... not that YOU and YOURS will ever feel the change.

14 posted on 06/23/2002 11:26:28 AM PDT by CIBvet
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To: AntiScumbag
funny, our standard of living has been steadily increasing for the entire 30 year period, '90s included, over all income quintiles

Our standard of living has improved primarily due to improvements in technology (i.e., medical-care technology, Internet, personal computers), on the downside our standard of living has declined as of 911 because of our "open borders" policiy.

15 posted on 06/23/2002 5:00:18 PM PDT by Tuco-bad
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To: Tuco-bad
i guess that -

Record trade deficits will decrease our standard of living

is now inoperative, as you apparently now agree with me -

Our standard of living has improved

although -

primarily due to improvements in technology

is really a statement about increasing productivity, which is the only thing that can improve standards of living over time

however -

on the downside our standard of living has declined as of 911 because of our "open borders" policiy

is unsupported by the facts and just plain nonsensical

if you're thinking about economics as a profession, don't quit your day job just yet

16 posted on 06/23/2002 6:24:39 PM PDT by AntiScumbag
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To: rollin
whenever you feel up to making some sort of reasoned statement, as opposed to wasting bandwidth, just let me know

meanwhile, all you have demonstrated is that snide cracks remain the last refuge of those who can't make, or know they will lose, the argument

17 posted on 06/23/2002 6:37:40 PM PDT by AntiScumbag
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To: AntiScumbag
is really a statement about increasing productivity, which is the only thing that can improve standards of living over time

if you're thinking about economics as a profession, don't quit your day job just yet

Hmmm, let's say we triple defense spending this year, that would greatly incresae the GDP.

According to simple economic statistics this would greatly increase productivity.

Would you claim that this will increase the standard of living?

if you're thinking about economics as a profession, don't quit your day job just yet.

18 posted on 06/23/2002 7:00:00 PM PDT by Tuco-bad
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To: Tuco-bad
Hmmm, let's say we triple defense spending this year, that would greatly incresae the GDP.

According to simple economic statistics [sic] this would greatly increase productivity.

the only thing that is simple here is you

the absolute level of production of anything, defense goods or otherwise, says precisely nothing about efficiency of production

simple economic theory, somethng you obviously have no grasp of whatever, in fact holds that a sudden tripling of defense spending (or any other type of spending) would probably result in waste and inefficiency, reducing overall productivity

if you're thinking about economics as a profession, don't quit your day job just yet

the next time you embarrass yourself, you might at least try to make some pretense of being original

19 posted on 06/24/2002 5:37:22 AM PDT by AntiScumbag
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To: AntiScumbag
simple economic theory, somethng you obviously have no grasp of whatever, in fact holds that a sudden tripling of defense spending (or any other type of spending) would probably result in waste and inefficiency, reducing overall productivity

the next time you embarrass yourself, you might at least try to make some pretense of being original

Productivity is directly related to GDP, including defense spending.

the next time you embarrass yourself, you might at least try to make some pretense of being original

20 posted on 06/24/2002 6:40:19 AM PDT by Tuco-bad
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