American Industry in
Crisis
American factories are
non-competitive
.
Being non-competitive guarantees a continuous state
of American industry in crisis. American factories are
non-competitive with factories in countries that have virtually no
labor standards like child labor laws. American factories are
non-competitive with factories in countries that have no
environmental standards. American factories are non-competitive
with factories in countries that outlaw labor unions. American
factories are non-competitive with foreign companies that
counterfeit American products. American factories are
non-competitive with foreign companies that are subsidized
by their governments. Etc.
To regain and maintain leadership we need a program that
teaches owners, managers and workers to think competitively
and be competitive 8 hours a day all week
long.
Americans buy too many foreign products.
Of course we do. We often buy the cheapest (foreign) product
regardless of quality. In many cases we are offered no
alternatives. In many cases we
have
no alternatives: we are already feeling the effects of
globalization-induced downsizing. And our friends and
family members are losing good jobs as American factories are
closing.
To sell more American products we need a coordinated program to
promote the "buying American" ethic and increase our "American
sense of community"
.
Existing treaties are not enforced in
the
United States.
Free trade is a
concept
that has appeal, at least in a utopian way. In reality there
is no such thing as "free trade", at least where the
United States
is concerned. "Free trade" is definitely a one-way
street. Import goods are allowed into the United States
virtually barrier-free, with no enforced requirements that American
export goods be allowed into the foreign country on a
reciprocal basis. There should be equilibrium in the overall trade
balance of goods and services between nations. As it stands, free
trade is free for the other guys.
America
and its workers get to pay.
To assure American manufacturers and workers a fair shake we
must convince the United States government to
stand up
to illegal trade practices of treaty
partners.
Anti-import trade practices prevail
abroad.
Foreign governments use many
non-tariff techniques to prevent the import of American
goods and services. These include, but are not limited to special
fees, taxes, regulations, inspections and manipulation of
foreign exchange rates.
To discourage trade discrimination we need to convince foreign
governments that the United
States
can match them barrier for barrier. And we will if
necessary.
Result: massive
U.S.
trade deficits & job losses.
The U.S.
Trade Deficit for 2006 was three quarters of
a
trillion
dollars (pretty serious money). That is how much more money went
out of the country than came in. The magnitude of the outflow cut a
large chunk out of the
United States
capital pool available for new plants, equipment and workers. Other
effects of the negative cashflow were closing of
American plants and downsizing of the
American
workforce. How much worse does it have to get before we wake up and
save ourselves? The
United States
is the only nation on earth that leaves its industrial sector
twisting in the wind. If this is not a picture of American industry
in crisis, what is?
To survive and prosper as functional family businesses, private and
public American corporations, and productive well-paid workers
we must compel our government
to make trade
a two way
street.
We really should work on these things
before the lights go out.
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