Whoa - Just asking Americans to buy American is protectionism? Please explain. I happen to call it job creation if Americans decide to make a CHOICE to buy American.
danarhea said:It is up to us. Simply buying American made products will not only end the recession, but strengthen America's economic future. If we cannot give a little back to America by buying it's products instead of Chinese ones, then we deserve everything that happens to us.
If a person decides to take a job at their own free will that is not slavery.
Furthermore, these people are generally making more than what they did before.
Calling this slavery is nothing but asinine
By this logic, any product or service that doesn't have a tariff on it would mean that every American job used for producing it would be exported to some other low wage country. The historical unemployment data simply does not bare this out.
Goods being made in America would not be us doing everything.
It is not propping up industries.
You can't have everyone doing the same labor.You can't have everyone be doctors or everyone be policemen.Getting American businesses to stay in America and make goods in American is not having everyone in the country make goods.
Pennsylvania is a individual state.The whole country would have to set up tariffs in order to help out the economy.
Companies require employes to fuction,so yes companies making goods in America does help with job growth and the economy.
We have high unemployment.
All Americans would not be tied up in Manufacturing as you keep falsely claiming.
Again I am not for unrestricted capitalism.
Americans taking a pay cut is not a benefit.
Letting companies outsource to countries so they can pay workers next to nothing does not make us economically dependent on China. If China did something to piss the US off enough for us to cut ties or we pissed China off enough for China to cut ties with us then all those jobs would end up going to a country that is not one of China's allies or back to the US.
Pretty sure steel isn't a good example. Chinese steel made from in-country ores is physically inferior to that made from north american ores.
There used to be laws preventing export of ore and scrap to China for this reason.
As someone who has worked as a mechanic, you don't want Chinese made tools. Busted knuckles galore.
Yes it would be. If all goods and services were made here, what foreign goods would we use?
Yes they do. That's why you want tariffs in the first place!! You might not want to phrase it like that, but that's what tariffs do. They would not be making as much money without the tariffs
People are re-trainable. The transition can be painful for some, but in the long run far more people are helped by greater prosperity.
That does not answer my question. Would it help or hurt PA?
.Outsourcing doesn't mean that no new ones pop up
There isn't a fixed number of jobs out there. Creative destruction!
The high unemployment has nothing to do with free trade or outsourcing.
It was a housing bubble.
That's brings up a problem with protectionism. Why shouldn't economies become more efficient by specializing things?
In the long term they don't have to. Free trade increases both our prosperity. Investors go to American workers and poor workers in the Developing world for different reasons.
China is just as dependent on us.
China has 1,339,724,852 people. They are not going to hurt if we stop buying their goods.Why would the y want to piss off one of their largest foreign markets?If leaders have less to lose from conflict, the possibility for conflict will increase.
We making our own goods would not stop people from buying foreign made goods.No one said we should stop importing goods.
Again raising tariffs does not prop up American industries any more than removing tariffs props up Chinese and Indian companies.
Making lower wages is not make greater prosperity.
It does answer your question. Unless all the states enacted tariffs it would not help any individual state.
Nice to see that you admit that,although it does contradict your claim it creates greater prosperity.This is why any patriotic American should be against outsourcing. Its because outsourcing does not always create jobs and even if it does create jobs those jobs are most likely lower paying jobs.
Not sure that has anything to do with the fact increased demand for American goods means that companies will have to hire more employees to meet the demand.
Lets see your job goes to China, you are now out of work.So yes outsourcing does effect employment.
Most people do not work in construction,real-estate or work in factories that makes building supplies.
What do we ship to china that Chinese can not already make there on their own or import from somewhere else?
Free trade just means that it is actually more profitable for a company to outsource to a country where they can pay people next to nothing and ship goods back to the US. This results in Americans losing their jobs and having to take lower paying jobs.
So you are saying that we export to china the same amount of goods and value that we import from China?
China has 1,339,724,852 people. They are not going to hurt if we stop buying their goods.
You aren't forcing the choice of product, but you are forcing consumers to pay higher prices for certain products. The simple law of demand says that higher prices means fewer buyers.
This means that more goods will be produced in the United States. This does not mean that we have more jobs.
So people making choices in a free market is propping up? With tariffs the government is distorting incentives to make more people respond to an incentive. Lowering tariffs allows people to respond to the actual market price. By your logic, should we prop up any industry that the government feels is important?
Who said anything about lower wages?
How would cutting off markets for exports help PA?
It just means that when a job is outsourced, that doesn't mean there is no more use for the worker whose job was outsourced.
The economy is very dynamic thing, and all tariffs do is prop up industries that could not make it on their own. It doesn't hinders change within the economy by distorting incentives.
Jobs are different from overall economic prosperity. If they were the same thing it would be best to dig holes and fill them back up again. You criticize this as inefficient, but you support other inefficient jobs programs.
Then there is more capital and labor available to be invested in the service industry, agriculture, or something else. People aren't just robots on an assembly line.
Usually the stock market crashing has negative effects on employment in most sectors.
What do you give to the cashier in the supermarket? We give them capital.
Jobs =/= prosperity Of course we want to reduce unemployment, but we cannot sacrifice every other aspect of our living standards to end it. The Soviet Union never had problems with unemployment, because they placed more emphasis on that than higher living standards for everyone.
No, I'm saying that the Chinese do not want to lose their largest market. It would be like Wal-Mart trying to attack their customers.
So you are saying that international trade has had nothing to do with China's recent or future economic success?
People bought foreign goods before WTO,NAFTA,KAFTA and other acronyms that caused companies to outsource left and right.
This does to mean more jobs because companies will have to hire more people to meet the demand for the goods it produces.
Regardless if tariffs are raised,lowered or abolished it is still an act of government interference. Removing or lowering tariffs benefits foreign countries and companies and directs money towards their pockets.Raising tariffs benefits American companies and it directs money towards their pockets.
You claimed outsourcing will make more people benefit from greater prosperity.Wages are tied in with prosperity.
This wasn't about cutting off markets.
It just means the worker will have to take a lesser paying job
Tariffs do not prop up American companies anymore than removing tariffs props up Chinese companies.
There is nothing inefficient about American companies producing goods.American companies producing goods employs Americans, makes sure tax dollars stay here in the US, and ensures that we are not at the mercy of any other country for goods.
Many of those jobs do not pay squat.
Only if that person's job is tied to the company whose stock crashed.
This has nothing to do with outsourcing.
You so desperate to grasp at straws you are now making a comparison to the Soviet Union.
China can find other customers. The US after all is a country of 307 million people. Out of the 5 billion plus other people on the planet and 1,338,299,500 Chinese I am pretty sure China can replace as customers should they stop selling to the US.
I didn't say that tariffs stopped international trade altogether, but they do reduce it and its benefits.
I haven't seen you take a similar stand in the countless other economic threads on here. By this logic we should keep all government regulations, taxes, and programs in place. This is something that I know you don't advocate. Fine though, given the option of allowing the government to make a very brief intervention in the market, stop its interference quickly, and allowing the free market to work or continuing the interference in the future, I'll pick the latter. You havea very bizarre definition of "propping up."
And long term, free trade means higher wages from more production.
If all the states did it would help their out of state markets.If other states put up their own tariffs, what do you think is going to happen to PA's out-of-state markets?
No it doesn't.
It just means they won't have a job propped up by consumers.
This doesn't make any sense. How does allowing prices to be equal to supply demand constitute propping up? Propping up means that the government is taking specific action to ensure cash flows to that company despite market forces. Removing a tax on something doesn't act against market forces. The market is already favoring Chinese factories. Therefore the government is not counteracting anything when they remove tariffs.
No its not.It's inefficient when we have to produce all of our own stuff.
We have enough people in this country for that to not be an issue.Again, you rely on division of labor.
You are the one talking about the importance of jobs being more important than efficiency
It doesn't work like that. You are showing ignorance of the most basic laws of economics, supply and demand. If other people wanted the goods going to America and there was not enough of the production to satisfy their demand, prices would go up. Producers would be attracted by these rising prices and the promise of profits, and they would step up production. The Chinese always have the option of making more money, but they don't make the same amount by wiping out one of their biggest customers.
James, read a freaking textbook before you comment more.
But you were trying to imply that people would stop buying foreign goods.
What does this have to do with you trying to imply earlier that removing or reducing tariffs is not government intervention that puts money into the pockets of Chines companies therefor not a bailout, but increasing tariffs is somehow government intervention that puts money into the pockets of American businesses and therefor a bailout?
Production in China isn't going to give someone whose job was outsourced higher wages.
Maybe in the short-term, but increased production will give them more opportunities in the long run.
How? Why would higher prices on PA's goods make more people want to buy them?
It means the Chinese will have jobs propped up by consumers.
Government intervention is required either way.You remove or reduce tariffs then companies in Foreign countries benefit due o the government interference. If you increase the tariffs enough then the companies in the US benefit due to government interference. Both actions require interference from the government. You claiming one is a bailout and the other isn't is a load of crap.
No its not.
We have enough people in this country for that to not be an issue.
It is efficient for a country to make its own goods. This ensures more Americans are employed at decent paying jobs.This ensures that we are not up **** creek for awhile if a country decided to completely stop trade with us.This also ensures that we are not propping up another country's economy or basically giving them cash to further strengthen their military.
Again China is a country of over a billion people and the US is not the country that China can sell goods to.You seem to forget they are paying these people next to nothing to produce goods,so they can sell their goods at a much cheaper price as long as they sold to enough extra make up the difference .China can sell goods to its own citizens, to India which also has over a billion citizens and to multiple countries.
If union workers were willing to accept a 30 to 40 percent pay cut, we could keep these jobs in the US.
If union workers were willing to accept a 30 to 40 percent pay cut, we could keep these jobs in the US.
If union workers were willing to accept a 30 to 40 percent pay cut, we could keep these jobs in the US.
Union workers account for 11.4% of the US work force. Why are they the ones who need to take a pay cut?
Governments are picking winners and losers with tariffs by distorting incentives
Honestly, James you're comments are flying in the face of over 200 years of almost universally accepted economic data. A few economists support small amounts of protectionism, but none of them have eviscerated the laws of economics quite like you have.
Ever heard of a production possibilities frontier? It's how much a person, firm, region, or country can produce. We have to face trade-offs when we make things. That's literally the main premise of economics. There are limits to what the Americans or any other group of people can do. There are only so many hours of labor, capital available, and minds to think. Otherwise the discussion about tariffs would be moot. This is the entire point of free trade. Say country A can produce 50 million lbs of rice or 60 million lbs of beef. Country B can produce 80 million lbs of rice or 70 million lbs of beef. If both countries had tariffs they would each be limited to a greater extent. However, without tariffs country A could produce beef and country B could produce rice. Since each can specialize they have more overall production. Think about it, you probably aren't as good at doing a particular thing when you are multitasking, but when you can focus, you are probably a lot better at it.
China has 1,339,724,852 people. They are not going to hurt if we stop buying their goods.
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