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Reply To Economic Post

To the individuals, in the thread who want to use economic theory to make us understand the benefits of the current American Trade Policy. SO! One cannot simply ignore the immediate consequences of Higher unemployment and the fact that government is replacing the private sector very quickly to fill the things it used to do. 1. Job Fairs-Usually held or hosted by the state or local employment agency’s. Used to be when there was hiring to be done it was done by the Companies with no government involvement.2. Economic Development Committees- Local government used to handle that. Now its under state control -State governments now control the economic make up of an area saying where they will spend their rescources and manipulating tax dollars to do so .
3. EMPLOYEE training now handled thru the state employment agencies for the companies .Example A company in our area needed employees; the requirements were an emphasis on basic computer skills- The local Employment office Did the training for the employer( No CHARGE)
4.Because government has artificially inflated their role in the free market you don’t see the true measure of the free trade debacle localy.5. Cheaper Goods- Based on a model that says our economy would grow at X% annually goods produced here would be allot more expensive. Not true the goods and services would cost what the market could bare. Rents and labor are closely tied to wages - and may not change much over a generation. . People are making $8 / hr because of the governments artificial ceiling of Minimum wage ; but if not for that wages would have dropped a lot more. Labor is less in demand here because of loss of manufacturing. POINT IS The government has replaced sectors of our former free market the reason they did it is because the remaining business has lost a lot of support from the capital markets and decreased revenue so government stepped in to fill the void the free market would no longer support in most cases.
( Partly a Political response to the worsening economic conditions) To keep voter anger down.
Part time labor has increased while full employment continues to fall in America. Showing the jobs are still leaving the country. The part time labor expansion is simply a retraction in the service sector from full time employment to adjust to worsening market conditions.
The new system of capital and Government stimulus programs.

Under the old system of capital in America when we still had tariffs with our trading partners .Our capital markets : investment firms , banks, private investors etc. Largely were used by American corporations to
raise money for expansion and new business ventures and were a good way to measure their success.
Stock Offerings were a good vehicle to monitor to see how well they were doing and if they had a lot of business and were able to have a successful public offering of stock in their corporation.
The new system of American Capital Markets is Government stimulus.( They have to take the place that the private sector had before free trade). To invest in America. The problem is they now must start directly competing with the private sector in order to control how the investments are used. Artificially inflating the
Use of their stimulus dollars against the private sectors investment money.
The Old system is still around- it no longer invests a lot of its capital in America we have became a high
Risk and the Corporations aren’t here they moved out of the country or went under.
The capital invested from wall street went to China and other overseas investment and Mexico for governments and private companies to upgrade infrastructures in their countries to support the build up of manufacturing to sell to the United States. The industry’s and the capital markets that are doing this were once a part of the American Economic system. So now we have the American Government using DEBT to finance a recovery that cannot come because we have nothing to invest in. No Industries. No Innovation.
No national manufacturing to enhance; because the policy of the government expressly favors NOT INVESTING HERE in the UNITED STATES.
The ZERO SUM. The issue now has gotten beyond mere economics to national security.
While we as citizens watch and wait to see if this free fall of our economic system will bring action from our government ,or worse yet, a Military challenge to America.
You can not add , the loss of manufacturing and the fact that wall streets investments are flowing out of the country and get any positive economic outlook. The loss of industries a negative. The loss of investment a negative. We are in a free fall now economically ; because of the loss of tariffs to protect our home markets and the American national work force I am not a protectionist I am just an individual like many other who hear about cheap goods and how much better off we are ; because of it.
Capitalism the idea that helped us become the greatest nation on earth has given us the confidence to export that system free of charge and even being bold enough to use it to seduce communists to practice democracy. The romanticism of capitalism so beautiful and seductive an idea it has now become the grand failure of the new millennium. American economic security is now threatened soon we will be to as a nationality.
We in the debate thread understand the benefits and advantage of the theory that we enjoy low priced goods an sevices as the result of Free trade. Ok I agree ; but SO!

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