Obama and his retinue hate America and capitalism. That is why you don't see them.
Obama and his retinue hate America and capitalism. That is why you don't see them.
Everyone using the argument "when you buy Chinese, that money leaves the American system entirely," are ignoring the other point of the global economy. It goes both ways. We export massive amounts of things to China, mostly oil, coal, and food. They have the money to buy this from us primarily because we buy their goods in return.
If Reagan didn't support Harley Davidson, it would have caused the company to fold instead of buying time to catch up and lead the industry. The YouTube clip is Reagan talking to hundreds of American workers who would have lost jobs at that plant alone. His joke about '5' is even funny.
---------- Post added 2011-07-12 at 02:43 PM ----------
People complain about all the jobs going overseas and then call anyone who buys the more expensive, American-made goods fools.
When a product is made and sold in your home nation you are providing an income for the domestic retailers and the manufacturers. You support 2 sets of domestic jobs.
When a product is made overseas and sold in your home nation you are providing an income for domestic retailers and foreign manufacturers. You only support 1 set of domestic jobs.
Another argument is made that you only have limited funds to spend anyway, so the extra that you spent on a domestic item is wasted and that could have been spent buying more items, thus creating more jobs. This really isn't true. Think of it this way: you have $100 to spend on clothes and for going out to dinner. You buy $60 of foreign made clothes, half of which pays for the manufacture and shipping, and half for the retailing. The remaining $40 is spent going for dinner. You have spent $70 that goes to pay domestic workers and $30 that goes to pay foreign workers.
Now imagine that you bought the more expensive, domestically made clothes instead. So intead of spending $60 you spent $70 on similar clothes but domestically made. You now can only afford a $30 dinner (I guess you and your date get the chicken fingers, not the steak). Congratulations: you have spent $100 supporting domestic workers and $0 supporting foreign workers. Yes, you get a bit less for your money as a consumer, but in the process you have helped create domestic jobs which will improve the domestic economy and provide more tax revenue meaning that you either get more services or lower taxes or both.
Yes, that is an oversimplified example.
People confuse patriotism and nationalism. Patriotism is more of an admiration for a way of life and the willingness to defend it. So you will do what is best (in this case for your country). Nationalism is the feeling that your way of life and ideas and ideals are superior to others, which tends to lead people to try to impose their morality on others. Nationalists usually mistakenly call themselves patriots (the recent Tea Party movement is a great example of this). Buying domestic goods to support your country is patriotism. Adhering to a capitalist philosophy because you believe that is a founding tenet of your society is more of an example of nationalism.
Oh hai thair.Any kind of "buy local", "buy American" or in my case "buy Canadian" is a populist bullshit slogans aimed at uneducated overly patriotic morons. Nothing is more harmful to the free market economy then protectionism.
I've heard you had a job where you were making canadian stuff. But your fee is too dam' expensive duh, and the stuff you're making would be cheaper if some chinese political prisoner would making it instead of you.
Too bad, you're fired.
Have a nice day being some internationalist capitalist (or should I say anarchist liberal) thinking the world is safe as a sandbox and that there's a square guardian looking at you while you're playing in order to protect and defend you against what children usually find in a square's sandbox. Like old junky's syringes, used condoms, and dog shit (wich is, you'll agree, an accurate metaphor about world economy).
From some "uneducated overly patriotic moron"
Oh, by the way...You got some sort of MBA, didn't you?
Likewise western nations would take a deep dive, and you'll see well paid white collar jobs turning back into knitting sweaters at low pay. Also without the global market many developed nations would not be able to get oil.
The only reason you would support killing the global market is if you want the world to go back towards being less developed for some ecological extremist reasons.
Unions are why we dont see "Buy America" anymore. Why you might ask? Simple. They expect US based companies to pay the employees overly high wages with crazy benifits, thus causing the said product to be higher in cost. These workers in turn know they are protected by the union, thus the work is inferior. This does not relate to ALL unions, but a majority. Ive seen some unions actually work hard for the employees and keep the taxpayer/business in mind.
Americans give dollars in exchange for Chinese goods. USA gets tangible, real, goods. China get's "virtual" dollars. For China to actually benefit from the dollars, it must trade them with USA or with someone who plans on using them with USA.
In the case of China though, their central bank exchanges the dollars that the Exporters have for newly printed Chinese Yuan. This means the Chinese Central Bank has shitloads of dollars, which it uses to buy US Bonds with. The money does come back to the US, but in loans to the US government. The problem is not the deficit, but the huge debt.
Last edited by Diurdi; 2011-07-12 at 03:25 PM.
I always laugh when I see the "Out of a Job Yet? Keep Buying Foreign!" on a vehicles that the majority of the parts are made outside of CAN/USA.
nearly 100% of other countries who support nafta have a much stronger tradeing relationship with the countries that take advantage of nafta, then america. Most of the middle east oil exporting countries dont and wont trade with the us, other communist nations have imbargos on trade even. WE NO LONGER CHARGE TARIFFS ON IMPORTED GOODS.
What this means is we lose money both ways.
Free trade act served its purpose and its time for it to go away. The 80's republicans have tanked the economy long enough. Dont let clinton and the sentiment of a world economy utopia blind you from the world market's state today.
Last edited by Deathlulz; 2011-07-12 at 03:55 PM. Reason: failure
Nafta = North American Free Trade Act
Yes it most certainly does equal free trade. LTP newb
I have always been a big free trade advocate but years ago someone pointed out something to me about buying American that's kind of counter intuitive to the whole comparative advantage argument. Go out to your local grocery store or home store and look at common household items that have a generic counterpart and look where the two are made. The generics are very very often made in America and are cheaper whereas the big brands are made abroad. Comparative advantage trading works but only when the cheaper cost of being made abroad is passed along to the consumer. Through branding big brands have twisted this advantage by having lower costs to create but charging a premium to the end buyer for their branding. This is why people think generic is "the cheap stuff" instead of thinking the brand name of the same product is "the expensive stuff". Just wanted to point this out.
1 - Rand - Buy which ever is cheapest. For this we must lower regulations, to have business have as much power as it does in leading producers like China and India. The first regulation that needs to go is minimum wage, as we can not make the same thing in US paying workers around 8 bucks an hour while our competition is paying 25 cents. You can't pay tech support around 10 bucks an hour when in India its around a buck. All worker protection and unions simply cannot exist, as they add to the price of manufacturing. Local government will need to adjust accordingly, as taxing 25 cents nets a lot less then taxing nearly 8 bucks. Unless you live in Manhattan, DC or entirety of Texas, no more road maintenance, no more relatively clean tap water and so on.
2 - Reagan - Buy American. To compete with lower prices we increase taxes on imports and out of US labor to even out the disparity between US and China/India. This uses the fact that US is the top consumer, as a result of our access to higher wages and quality of living. It could bring US work back to US, as it would cost the same and I believe if the price is the same, the American is better for business as you would be feeding the cow that gets you all the cheese. If done on a sliding scale, higher taxes on relatively cheaper goods, it could encourage third world to improve, as regardless their goods will cost the same due to imposed import taxes.
For a consumer nation, the perfect scenario is producing everything that you can consume. The more the scale shifts towards consuming and away from producing, the bigger the deficit. It's basically lower the consumption by lower living standards (Rand), thus reducing demand, or find another way to even the playing field (Reagan).
Last edited by Felya; 2011-07-12 at 04:28 PM.
Yesterday I was in Dorney Park. I was sitting there and mumbling to myself how expensive the food is. Than I remembered living in Russia - a place that was very good at keeping prices down. There was no place like Dorney Park in Russia, because there was no point for any developer to build one if they could only charge a set price for food, toys, etc. There was no point in building something grand, as you couldn't charge for it more than a simple place. There was no point in competition.
When you kill competition, you kill capitalism, and you kill America.
Having said that, if you don't like China, you should be able to not buy Chinese products. Just keep in mind that China isn't the only place hurt by removing them from competition for your dollar. The local companies don't need to try as hard, and so they won't.