Forging a case for U.S. jobs in manufacturing

The Arizona Republic ^ | August 24, 2003 | Jon Talton

[sarcasm]

Does it matter if Americans make stuff?

I'm using Alan Greenspan's brushoff term for American manufacturing. He used it last month during his congressional testimony, when asked about the loss of 2.7 million jobs over the past two years, most in factories and they're likely gone for good.

[Paul Ross]

Even President Bush recognized this shift when he pushed unsuccessfully for tariffs against foreign steel.

?? Uh, hey dude, what are you smoking?, those tariffs are still in place he ordered. And a good thing too. Of the 25 bankrupted steel corporations of the previous year and a half, only three are limping along under Chapter 11 reorganization. The rest have shut down permanently. Had they not been implemented by the President, we would have essentially lost our domestic integrated steel industry altogether, and for good.

[Paul Ross]

Actually, what Reagan believed in was free trade that was fair. So basically, although encouraging trade as much as possible under the rhetoric of free trade...he was a fierce Neo-Mercantilist, who made sure that the U.S. had a level playing field to compete on. Foreign steel that was dumped got tariffed. Foreign cars had to pay a stiff duty if they paid the workers substantially less than ours, and they also had to abide by import quotas.

[William Terrell]

But they still mean lost American jobs.

Nothing like moving America's manufacturing sector wholesale overseas. Overseas, workers don't pay US taxes, don't but US products, don't use American services.

[Paul Ross]

Overseas, workers don't pay US taxes, don't buy US products, don't use American services.

This is really critical. The pseudo-Free Traders have yet to address the negative fall-out of losing the 'multiplier-effect' these high-capital-investment industries have. And hence, the reverse, when they leave, we destroy much more economic infrastructure than they have a clue about. Switching to white collar jobs is no cure, (if it were even remotely possible) as it has a traditionally very low multiplier. And anyways, now the white collar jobs can be outsourced too.

Alan Greenspan represents the worst of the arrogants in this regard, as he truly is oblivious to the character of the economic activities going on. Of course, Alan Greenspan was the one who said, 'Whether electronics or potato chips' it makes no difference.' Or something on that order. How wrong he is. Hence the 'jobless recovery'. And pretty soon we are going to see that it in fact is a 'recovery-less recovery', and other gobbledy-gook. The euphemisms also show that they don't really understand that the purpose of their profession and positions is to enhance the U.S. quality of life...and ensure job growth and betterment. Instead, they seem to care only about macro-economic 'activity' and appear if not apathetic, outright hostile to the concerns of the dislocated workers, and unfair-trade-damaged economic sectors.

[judywillow]

The Federal Reserve chairman said, "Well, just remember that the nature of the economy is becoming increasingly conceptual, as distinct from physical . . .

That isn't as difficult to comprehend as it might appear at first blush. For instance, when a human becomes conceptual as dictinct from physical, it means he died...

[fortaydoos]

Better yet, in 25 years we can defend our nation against the ChiComs with conceptual bullets from conceptual guns.

[fortaydoos]

Admitting hollings is right on this is like admitting he is right that we need air to breathe; it's an obvious truth once you examine the facts.

[per loin]

Perhaps you would care to list those "powerful" nations of the world that lack manufacturing capacity?

[Paul Ross]

Better yet, in 25 years we can defend our nation against the ChiComs with conceptual bullets from conceptual guns.

LOL! Best wry poke of the day!

[afraidfortherepublic]

This is correct except your formula for creating wealth...

You have no argument from me. I was counting technology, ingenuity, skill etc. under the "labor" label. BTW, my formula for creating wealth also includes farming: land + labor & seed (or animals) + sale = profit (hopefully). I just didn't go into it so deeply.

Your comments on the machines sent overseas make a good point. In addition, the Aisans, Russians, etc. copy everything we send and then they no longer even need us a source for the machines. They copy our technology, without regard to patent, and sell it right back to us. And we are stupid enough to buy it and think that it is a good deal. :(

[afraidfortherepublic]

Huh????? Greenspan has been loosening credit...

Greenspan RAISED interest rates before he reduced them. He RAISED them percipitously in the summer of 2000 and the phone immediately stopped ringing. Customers stopped paying and started cancelling orders, or pushing them out. Just about any manufacturer will tell you the same story and will pick out the same date -- 3rd quarter 2000. I have NOT been on Mars. I've been toiling away in my own business and haven't seen a profitable month since July 2000. 9/11 was just the icing on the cake. Check with NAM (National Association of Manufactururers) if you don't believe me.

[GOP_1900AD]

Naturally, most corporate globalists (and, sadly, an increasing number of small time owner operators who have been duped by them) pledge allegience to the Powerpoint slides at Davos and not to the flag of the USA.

[GOP_1900AD]

There used to be an economic metric, used to assess how developed one country was versus another. The metric? "Value Added By Manufacturing."

[gogeo]

Dane, you are in the best position to judge what makes sense.

[William Terrell]

Also, Greenspan's hubris is centered on a world government, like other one worlders. He, and they, figure that traditionally hostile nations like China will fall right into place when they are hooked on production and trade. They wouldn't dare attack their primary market. What they have actually done is give these nations an unprecedented economic weapon, especially when they are manufacturing components and whole goods necessary to our national defense.

To them the world is just fulla sweet folks who's love of fat trade and material hedonism will override any idealogical conflicts.

If you were to lower the IQs of the lot one point, they wouldn't be able to keep their hearts beating.

[afraidfortherepublic]

Excellent point!