The Economic Insanity of Socialist Economics – They Can’t Be Serious
Should US citizens be upset with the growth of China’s economic might, or how we are losing our industrial base and jobs to those US companies outsourcing and home grown Chinese companies which export those products to our nation or back to our country? I say no, and I’d like to explain why.
You see, I know the unions are upset with this and the job losses, but in a way, the union’s demands for higher pay, health care benefits, and guaranteed pensions for life have driven up costs so high that our corporations cannot compete on price, thus they outsource for the best “China Price” for components or just flat give up after dealing with a triple-whammy; union attacks, over regulation, and hostile legal environment (class-action lawsuits for instance). I say, it’s partly our fault.
No, I am not letting China off the hook for cooking the books, manipulating currency or cheating for trade advantage, I know all of that too well, along with all the issues of intellectual property theft. However, even if China did compete fair and square, they’d still have the advantage as we put ourselves at a disadvantage. Now then, let’s talk about another challenge in trade balances, this one in Europe.
The Wall Street Journal had a few articles about Germany’s economic trade surpluses after the Euro Zone economic crisis:
Before we allow any sort of economic policy change, anywhere on this planet, we need to all look in our mirrors and come to terms with our own policies and actions. I just don’t think we’ve done that. I don’t think the Euro Zone has, I don’t think the US has, I don’t think China has, and I know South America hasn’t. Yes, we need to all get back to reality and then make our actions and economic policies count. I bring you this message just as the 2014 Daniel Weston Economic Forum is to take place, so please consider all this and think on it.