Merry go around economic solutions
January 15th 2011 01:02
Bizarre Politics Reports:
Pundits and experts talk about restoring U.S.economy. The solutions have been recited the for more than 15 years with nothing happening. The industrial revolution is not over, it just sent to other places in the world.
Ray Tapajna Real World News
The pundits and experts tell us that our manufacturing economy is gone. They keep telling us that we need to invent a new economy based on high tech innovations and new enterprenuer enterpises.
And again and again, our economy goes round and round and comes out somewhere else in faraway places.
Another article about linking manufacturing to some innovation is repeated. The economic models presented have not worked and will not work. The same
old story about growth industries linked to high technology has been
told now for more than twenty years. I was part of every computer
generation and with the best innovative companies in the world. The same
scenario plays out.
A high tech manufacturers spends twenty years so developing their
products. They are on the leading edge of the industry only to get
chopped at the knees by foreign competition. Why? The production phase of the process was sent out of the country. When you send production outside of the country, you may as well send the blueprints, formula or whatever because most anything can be cloned in a reverse engineering fashion.
The industrial revolution is not over and it has just been chopped up
with pieces and parts moved somewhere else in the world. Our economy
based on making money on money instead of making things is burning out
because the value of labor has been deflated. The value of labor and
workers is more of real money standard than the paper being printed with
money images and being called money.
Adam Smith held labor and workers sacred and the core of all society.
When money values were globalized in 1956 after the Suez Crisis, money
became a product itself where many tried to convert our economy this
way. When the investment community is does things like this they had to
devalue the cost of labor. The degradation of the value of labor took
place and the stock market grew based on workers getting fired instead
of hired. There was a time when companies who were able to hire more and
more workers and still show a profit were rewarded for their efforts in
an increase in their stock values.
I grew up in a small business and worked in several factories while
going to college. I soon found a vast void between the college classroom
and the factory floors. The academics just did not understand what
production was all about. Later I was part of a new factory opening and
played a part in management and union negotiations. Just when the blacks
were entering the middle class job environments, the unions were
smashed. In all efforts in any endeavor in business and in the workday,
if you do not have a large middle class to support the process, you may
as well throw in the towel. It is impossible to grow any kind of economy
from raw products to the end user and/or retail level if most of the
stages are cut out of the picture. In a local value added economy ,
there are several value added stages from raw product to the end user
stage. If the value added stages are send somewhere else nothing good
will result.
I help jump start the Cat Scan Industry, traveled to the Silicon Valley
frequently and many sought us out to solve disk storage problems.
Cleveland was a center of technology during this time and Silicon Valley
recognized it. But when so called free trade came, the story changed as
thousands of computer companies went out of business in just a tri-state
area surrounding Ohio.
Ben Bernanke said it all when he told Congress during the first Pres
Bush stimulus package debate that the best way to stimulate our economy
is to buy domestically produced goods. The money part applies too
because all the money spent at the end user or retail level fans out to
where the products are made. And in the free trade arena, the money goes
outside the country either to the producers or the foreign investors.
If you really want to restore our economy, you must look at the whole
picture and some of the older economic models that made the U.S. a
leader in technology. I saw an ad on TV a few days ago with Toyota
saying that their cars are the most American Made car there are - more
than Chrysler. some Fords and GM. They assemble cars in the U.S. with temporary and contract workers. Then they send the money back to Japan.
The question to ask is how much of the price of a Toyota or Honda "built" in the USA goes back to Japan etc.
We need to curtail our economic suicides and note that President
Roosevelt said economic diseases are highly communicable.
Only value added economies in local balanced geopolitical settings work. The U.S. won World War 2 based on these economic models.
Free Trade Fails U.S. and subsequently the whole world
The pundits and experts tell us that our manufacturing economy is gone. They keep telling us that we need to invent a new economy based on high tech innovations and new enterprenuer enterpises.
And again and again, our economy goes round and round and comes out somewhere else in faraway places.
Another article about linking manufacturing to some innovation is repeated. The economic models presented have not worked and will not work. The same
old story about growth industries linked to high technology has been
told now for more than twenty years. I was part of every computer
generation and with the best innovative companies in the world. The same
scenario plays out.
A high tech manufacturers spends twenty years so developing their
products. They are on the leading edge of the industry only to get
chopped at the knees by foreign competition. Why? The production phase of the process was sent out of the country. When you send production outside of the country, you may as well send the blueprints, formula or whatever because most anything can be cloned in a reverse engineering fashion.
The industrial revolution is not over and it has just been chopped up
with pieces and parts moved somewhere else in the world. Our economy
based on making money on money instead of making things is burning out
because the value of labor has been deflated. The value of labor and
workers is more of real money standard than the paper being printed with
money images and being called money.
Adam Smith held labor and workers sacred and the core of all society.
When money values were globalized in 1956 after the Suez Crisis, money
became a product itself where many tried to convert our economy this
way. When the investment community is does things like this they had to
devalue the cost of labor. The degradation of the value of labor took
place and the stock market grew based on workers getting fired instead
of hired. There was a time when companies who were able to hire more and
more workers and still show a profit were rewarded for their efforts in
an increase in their stock values.
I grew up in a small business and worked in several factories while
going to college. I soon found a vast void between the college classroom
and the factory floors. The academics just did not understand what
production was all about. Later I was part of a new factory opening and
played a part in management and union negotiations. Just when the blacks
were entering the middle class job environments, the unions were
smashed. In all efforts in any endeavor in business and in the workday,
if you do not have a large middle class to support the process, you may
as well throw in the towel. It is impossible to grow any kind of economy
from raw products to the end user and/or retail level if most of the
stages are cut out of the picture. In a local value added economy ,
there are several value added stages from raw product to the end user
stage. If the value added stages are send somewhere else nothing good
will result.
I help jump start the Cat Scan Industry, traveled to the Silicon Valley
frequently and many sought us out to solve disk storage problems.
Cleveland was a center of technology during this time and Silicon Valley
recognized it. But when so called free trade came, the story changed as
thousands of computer companies went out of business in just a tri-state
area surrounding Ohio.
Ben Bernanke said it all when he told Congress during the first Pres
Bush stimulus package debate that the best way to stimulate our economy
is to buy domestically produced goods. The money part applies too
because all the money spent at the end user or retail level fans out to
where the products are made. And in the free trade arena, the money goes
outside the country either to the producers or the foreign investors.
If you really want to restore our economy, you must look at the whole
picture and some of the older economic models that made the U.S. a
leader in technology. I saw an ad on TV a few days ago with Toyota
saying that their cars are the most American Made car there are - more
than Chrysler. some Fords and GM. They assemble cars in the U.S. with temporary and contract workers. Then they send the money back to Japan.
The question to ask is how much of the price of a Toyota or Honda "built" in the USA goes back to Japan etc.
We need to curtail our economic suicides and note that President
Roosevelt said economic diseases are highly communicable.
Only value added economies in local balanced geopolitical settings work. The U.S. won World War 2 based on these economic models.
Free Trade Fails U.S. and subsequently the whole world
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