U.S. Jobs Lost to Globalization
There is an article in today’s USA Today that in a very roundabout, yet revealing, way touches on the economic decline and fall of the United States.
According to the article foreign automakers are forced to cut production of their cars that they build right here in the good ol’ USA because microchips used as parts are made in a 3rd country, Thailand, but that Thailand’s production is halted because of floods!
That, folks, is a prime example of globalization.
The article is found here:
“Floods force Honda, Toyota to cut N. American production” – USA Today, Tom Krisher(AP), 11/2/2011
Overlooking the Obvious
In his USA Today piece Tom Krisher mindlessly documents the temporary loss of U.S. jobs without seeing the bigger picture… that U.S. automakers themselves are to blame for far, far more lost U.S. jobs than a flood in Thailand.
People complain that jobs we need here at home are being shipped overseas by greedy corporations.
Of course they are! Corporations have to do that in order for “greedy” businesses to survive and remain viable within the world economy.
Liberal Economics vs. Conservative Economics
The liberal mindset seems bent on thinking that unnecessary pure corporate greed is the only reason that businesses take jobs out of the United States.
They seem to think businesses should somehow be forced to bring those jobs back through punitive taxation policy imposed on corporations that take jobs overseas or that make profits overseas.
In liberal thinking that is a win-win situation. It helps force businesses to bring jobs back to the United States while at the same time increasing tax revenues to help pay big government’s bills.
Conservatives just shake their heads at such foolish thinking.
What liberals don’t get is that the U.S. worker has priced themselves out of the world marketplace. What they don’t understand is that the world has become far more economically interdependent than ever before.
The United States can no longer act independently without considering global economic effects.
The Demise of U.S. Automakers
U.S. automakers, once the strongest corporations in the world, imploded because they lost their competitive edge. They allowed foreign automakers, like Honda and Toyota, to make a better product at a lower price.
Honda and Toyota did that by taking better advantage of globalization.
Here in the U.S. the United Auto Workers and other private sector unions concentrated on raising wages and increasing worker benefits independent of its global economic impact. That priced the American worker right out of the world marketplace.
Because of that American cars cost to much! Customers, both here and abroad, bought better built, less expensive and more competitive alternatives.
Globalization is why we lost U.S. automaker jobs! That is why we will continue to lose jobs overseas in every industry.
That is why private sector unions themselves have nearly evaporated away into an anachronism.
Global economics has changed… the world is leaving the U.S. behind. Failure to react to globalization is the reason the United States is in accelerated economic decline.
That is why jobs are disappearing all across the land.