anotherlife
Gold Member
- Nov 17, 2012
- 6,456
- 377
They are addicted to the products...Mitt Romney made a lot of his money by corporate raiding and after they depleted the retirement funds they would have the US govt. step in to pay off the retirement accounts under the FDIC. Thank goodness that companies that didn't do it are turning away from pensions and going into IRAs because they can't keep up with the increased cost of pension funding..New steel mills and the auto industry moved to the south...What hurt the US the most is cheap imports of products undermining our manufacturing base, which is what nations do to each other..
That is true. For an industry to continue with product development, the players need to be able to pull capital together. But American manufacturing has bled its money all away on faulty government regulations, employee pensions, and Union finances. So now if for example a New York construction company is looking for construction steel, they can only buy it from places like Sweden or China or India, otherwise they lose out on modern material advantages.
Most Americans believe that turning industries into financial schemes and sweatshops is the way to the future. Even Bangladesh knows that it is not.
American business problems are entirely self-inflicted, and have zero to do with unions or govt. regs, and everything to do with stupid management decisions, and subsidies to move overseas and take advantage of labor racketeering and transfer pricing schemes.
When they were all whining about 'Japanese dumping', the labor cost differences were only about and average of $600 per car, not enough to swing buyers to buy Japanese; the major cost differences came from such items as advertising, with the Japanese spending an average of $800 per car while GM and Ford were spending over $2,000+, and of course they also sold off their profitable subsidiaries for a quick buck and a good quarterly report, and zero concern for long term planning, among other things, like speeding up production lines and not caring about the consequent decrease in quality that causes. Meanwhile, the Japanese production lines were cranking out high quality using production methods developed by an American named Deming, ironically.
American businessmen and the financial sector merely lobbied for laws that made it a lot more profitable to to loot companies and run them into the ground than actually produce something.
Very interesting. So looks like it is the financial scheming that applies. And Americans still keep on pumping unlimited cash into them.
Yes but the IRA system seems to have the same effect, only at a larger scale such as nationally. It's fund managers and the bosses above them get unlimited and nameless cash to spend as a result of it. This extends the death of American manufacturing to the death of the country. None of these would be a problem though, hadn't Americans been programmed against mobility.