Buying American

[CinderSchnauzer]

Here is a quote from the article:

"Buy American" is a dumb idea. It would not only not create prosperity, it would cost jobs and make us all poorer. On my Fox Business show last week, David R. Henderson, an economist at the Hoover Institution, explained why.
"Almost all economists say it's nonsense," he said. "And the reason is: We should buy things where they're cheapest. That frees up more of our resources to buy other things, and other Americans get jobs producing those things."

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While I don't think protectionism is the answer, the very potential flaw with the argument put forward in the article above is this - other Americans get jobs producing those things.

What exactly are "those things?"

What skill level and resources are needed to produce "those things?"

If North American labor was not able to compete and produce "things where they are cheapest" what makes the author think they will be able to produce "those things" at the required price point?

Given the diversity of the labor market / education levels / skill levels, it strikes me as highly unlikely (even if we are able to identify "those things" and jobs are created to produce "those things") there will ever be a match between the displaced / unemployed workers and the workforce required for "those things"

Put another way, we in North America have to produce something of value that can be exported, so in the long run we can actually pay for all the goods that are imported.

So what are "those things?"

 

[Obed]

In order for "free trade" to work in America's interests, there must be an even playing field. Our politicians open up trade with China with full understanding that America's workforce cannot compete, largely because of government generated or supported restraints. American businesses must comply with unemployment taxes, medicare/medicaide, family medical leave act, expensive environmental regulations, labor unions, healthcare, and a host of other regulations that companies in 3rd World don't face.

How can an American businesses compete against a such uneven stakes? They can't so companies have sent its labor overseas in areas where the onerous restrictions do not exist.

 

[mjncad]

I'll buy in to your definition of win-win, but it still only tells part of the story. Two participants in an international business deal may feel they are benefitting (otherwise they wouldn't do the deal!), but that doesn't mean there aren't losers as a result of the deal. If a North American manufacturer contracts a Chinese or Indonesian company to produce goods that were previously made in NA, then the manufacturer and the foreign company are pleased with the deal. However, the NA work force many not be so happy. In the big picture of things, the deal may have made production, and the world economy closer to optimum (ie more efficient), but that doesn't make the blow any easier to take for the workers who lose their jobs.
BOB

You make valid points and fleshed out my big picture blanket definition of win-win that I was using.

As to the original post linking to Diane Sawyer: Sorry, anything she or ABC news has to say is immediately suspect. These people don't have a handle on reality, only on their particular agenda.

You can say Fox or John Stossel also have their own agenda and you wouldn't be wrong. I just happen to agree with theirs more than I do the liberal networks (ABC, NBC, CBS, PBS). The logic is very simple, see if you agree...

Why 'Buy American' Is A Dumb Idea | Fox News

Once again, John makes valid points with his article; however we need to be able to manufacture our own goods as part of our overall national security. Once we offshore mass manufacturing to countries that are hostile in one form or another to America and rely on them for the majority of our goods; they hold the upper hand.

The other issue is that not everyone in America, or anywhere in the world for that matter is going to be a highly educated white collar worker. We need to provide opportunities in our economy for all income levels besides flipping burgers or sacking groceries. Working on an assembly line may be boring as he!! to me and many of us on this forum; but it is a viable method of making a living for those with little to no skill set.

As I like to say, "A country that can't or won't provide for itself is doomed to failure."

Anyway, the last poster also brought up onerous Gummint regulation and interference. Once again we need fair regulation that is meant to protect people from unscrupulous business practices without hindering the economy from growing wealth. Once again, a fine tightrope to walk.

To me the Gummint should be an umpire, not a social engineer and way too many rules, regulations and laws are being made with social engineering in mind.

Another saying I have is, "The biggest hindrance to entrepreneurship in America is the Gummint."

Once again, it's unrealistic to expect that in a global economy that we can bring all jobs back to America; but on the other hand it's stupid to completely hand the keys over to other countries who naturally put their interests ahead of ours.

 

[woodlandfarms]

A docu that is trying to get some traction.

Fools on the Hill Trailer - YouTube

 

[mjncad]

The cesspool of Washington D.C. (District of Criminals) needs to be drained and scoured clean.

U.S. National Debt Clock : Real Time

 

[PAGUY]

What about the inequality of wages in America?

Should CEOs make more to run a corporation than the President of the United States makes for running the country?

Should sports players and entertainers make ridiculous salaries for doing something they love doing?

Why are union workers paid wages that are inflated adding to the cost of the product they produce?

How can we justify paying farmers for NOT planting crops when there are poor people having to rely on food banks to feed themselves and their families on the generocity of giving individuals?

 

[5030]

The cesspool of Washington D.C. (District of Criminals) needs to be drained and scoured clean.

U.S. National Debt Clock : Real Time

Maybe it's time for you to step up to the plate...oh hallowed one.....

Talk is cheap after all.

 

[mjncad]

What about the inequality of wages in America?

Should CEOs make more to run a corporation than the President of the United States makes for running the country?

Do I think CEO's are overpaid? Yep; but as long as the shareholders allow it, it won't change. I sure as heck don't want the government telling private companies what to pay their employees.

Should sports players and entertainers make ridiculous salaries for doing something they love doing?

Do I think athletes and celebrities are overpaid in relation to the value they provide society? You bet; but with exceptions, their owners are the real winners cash wise. Once again, as long as people watch these overpaid entertainers, they will continue raking in the cash. Once again I don't want the government telling these people how much they earn. Let the free market determine that. If audiences spent their time elsewhere, salaries would come down to reflect diminishing market share; but don't hold your breath waiting for that to happen.

Why are union workers paid wages that are inflated adding to the cost of the product they produce?

Because they could get away with it before globalization. Reality of the new world order hasn't caught up with them yet.

How can we justify paying farmers for NOT planting crops when there are poor people having to rely on food banks to feed themselves and their families on the generocity of giving individuals?

All farm subsidies should be eliminated, with exceptions to cope with natural and/or man made disasters that would threaten the safety and security of the country.

Maybe it's time for you to step up to the plate...oh hallowed one.....

Talk is cheap after all.

Welcome back Oedipus.

 

[5030]

Glad to oblige Polynices....

So tell 'oh great one, when you heading over to DC with your plunger???

Better check and see that it's not a Chinese made plunger...........

 

[mjncad]

Glad to oblige Polynices....

So tell 'oh great one, when you heading over to DC with your plunger???

Better check and see that it's not a Chinese made plunger...........

Flipmeisters told me the plunger is on back order.