There have been a lot of good posts about this topic, many of which I agree with, but I think there is another theme that no one has touched on. Along with greedy management, excessively strong unions, obscene compensation for officers, there is also the topic of the American's consumer habits which have consistently pushed prices lower at the expense of quality. Our cultural bias to instantly gratify our wants, regardless of our ability to pay (hence the credit problem), has created the Walmarting of America. Quality doesn't drive decisions. Only price. Look how many posts there are on this forum by guys looking for the lowest possible price. The need to be "competitive" drives suppliers, manufacturers, and retailers to seek ever cheaper sources of goods and services. Tractors (or anything) made in less expensive economies, are purchased by the American consumer who is driven predominantly by price.
Complex topic, and I'm clearly no expert . . . but wanted to throw out another idea that I truly believe is involved in this issue.