A Conservative Argument to Buy American
In my home state of Vermont, I see countless bumper stickers (some of them actually holding the car together). One of the most common is ‘Think Globally, Act Locally’. Vermont does have a certain brand and identity that should be economically valued. Perhaps the word ‘locally’ needs to be redefined.
We certainly live in a globalized economy. Vermont farmers are competing with French cheese, Canadian maple syrup and Christmas trees, and beef from Brazil. As America’s trade deficit mushrooms and as unemployment rises, perhaps a more ‘American’ definition of local is called for.
During this past recession, America has lost over 7 million jobs and countless more are presently underemployed. Within that loss are almost 2 million manufacturing jobs; many of which will NEVER come back. Economists refer to this adjustment as the forces of Globalization. There needs to be a new economic force; one that is more sensitive to our neighbors, our environment and our nation. We think ‘locally/Americanly’ before we buy. Allow me to clarify the benefits and rationales.
1. Maintain Domestic Manufacturing Platforms
As America becomes a more service oriented economy, we have seen the manufacturing sector go from 33% to 12% of GDP. As this number continues to shrink, we are losing the ability to as Angela Merkel of Germany said, ‘to make things’. As we know from our history, we should not be reliant on other countries to manufacture items that our crucial to our sovereignty. Domestic manufacturing is essential to our own security.
2. Control of our Dollar and Foreign Affairs
China currently has over a trillion dollars in US Treasury Notes compliments of our unbalanced trade with them. Since we need those dollars to maintain our deficit spending, in a ‘backdoor’ way we are beholden to them. Since China currently runs an annual trade surplus of over $200 billion dollars, their coiffures of greenbacks will simply continue to growth.
It had been the hope that as China industrialized and developed a more vibrant middle class, their political policies would become more tolerant and democratic. Sadly, that has not been the case. The ruling communist clique has continued to maintain an iron fist on human rights, freedom of expression and even the internet. It is America’s duty to be the voice of freedom and democracy in the world. Since China has so much fiscal leverage over us, basically, we keep our mouths’ shut.
It is time to recognize that imbalanced trade with China is undermining us not just economically, but politically and socially as well.
3. Military and Political Adversary
As China’s wealth grows, so does its influence in the world. Often the positions of the US are dramatically different from those of China (Iran, North Korea, Africa and Taiwan). Our current level of trade is what finances their military growth. More dollars in the Chinese coiffures means more funds for defense, R&D, and an enlarged military presence. The Chinese position will become only more aggressive and confident.
4. Jobs and Social Stability
In general, manufacturing jobs do pay more than service oriented ones; especially at an introductory level. A middle class wage is crucial to provide stable housing and therefore, a stable environment for a family. Also, very simply put; working people pay taxes. The more they pay, the less our budget deficit becomes. If we are ever going to lower taxes, work with good wages must be provided to all.
There is a group of conservatives call the ‘Republicans for a National Interest’. Their voice is one that reflects conservative values while honoring the need for domestic production. Please review their website; www.nationalinterest.org for further clarification.
Like Japan forty year ago, China has either stolen or pirated billions of dollars worth of US technology (ex. Microsoft Windows). America has not spoken out about this issue. Importing products of minimal technological value has not hurt America’s economic position. However, it is only a matter of time before Chinese software, computer chips, hardware, etc. begins to flood the world’s markets.
It is not only Patriotic to buy American, but economically and politically necessary. It’s time to define ‘local’ as the land from sea to shining sea.
Monday, February 15, 2010
A Liberal Argument to Buy American
A Liberal Argument to Buy American
In my home state of Vermont, I see countless bumper stickers (some of them actually holding the car together). One of the most common is ‘Think Globally, Act Locally’. Vermont does have a certain brand and identity that should be economically valued. Perhaps the word ‘locally’ needs to be redefined.
We certainly live in a globalized economy. Vermont farmers are competing with French cheese, Canadian maple syrup and Christmas trees, and beef from Brazil. As America’s trade deficit mushrooms and as unemployment rises, perhaps a more ‘American’ definition of local is called for.
During this past recession, America has lost over 7 million jobs and countless more are currently underemployed. Within that loss are almost 2 million manufacturing jobs; many of which will NEVER come back. Economists refer to this adjustment as the forces of Globalization. There needs to be a new economic force; one that is more sensitive to our neighbors, our environment and our nation. We think ‘locally/Americanly’ before we buy. Allow me to clarify the benefits and rationales.
1. Livable Wage
Forty years ago the largest company in America was GM. Now the largest employer is Wal-Mart. In the past we had a company (not that GM is the best business model) that paid excellent wages with benefits including health care and a retirement package. More importantly, these workers lived a middle class lifestyle with aspiration and opportunities for their kids. Sadly, Wal-Mart can’t come close to filling that void. Besides being the source of many of our imports (and therefore, lost jobs), they often pay marginal wages with minimal benefits. Presently, over a million Americans work for Wal-Mart. This is the environment that helped to create the term; ‘working poor.’ By supporting domestic products and services, we can help provide opportunities for those to escape the Wal-Mart trap. In other words, if you support the concept of a livable wage, then support American companies especially manufacturers.
2. Global Warming
The more we import from developing nations, the less we can control from an environmental perspective. If you are concerned about global warming, we must consider where our products are made. China is now the number one contributor to greenhouse gases (surpassing the USA) and will to create greenhouse gases disproportionately faster. Thankfully, America now has a vision to address this problem. By supporting more domestic production, it will be more environmentally friendly and a smaller burden upon our planet.
3. Health Care
America is quite unique in the world in that we generally offer health care via our jobs. As the cost of health care increase by 2-3 times the rate of inflation (now consuming 16% of our GDP), one in seven Americans lack adequate insurance. Equally important, millions of Americans either have marginal health care coverage or will soon lose whatever coverage they have. By supporting American industries especially manufacturers, we are creating better opportunities for workers to secure at least minimum health coverage.
4. Eliminating Poverty
It is grossly ironic that a large percentage of the poor actually work. Years ago, a job was what you ‘did for a living.’ In other words, you could live from your work. Not any more. Poverty tears at the fabric of society making it more precarious and insecure. Living paycheck to paycheck creates a society without roots (and a home), and causes considerable stress and strain on family relationships. It is also statistically true that crime drops when an economy improves. Do your part to contribute to an improving economy.
5. Upward mobility
America has always prided itself on being the ‘land of opportunity’ in which barriers can be overcome with hard work and diligence. Sadly, when struggling to make ends meet, one doesn’t have either the resources or the energies to improve oneself. Countless Americans have historically accomplished the Horatio Alger climb to success. Being a member of the working poor keeps you on the first rung of that economic ladder.
It isn’t easy buying ‘American’. It isn’t always clear what is American or not. We ask that you at least give it some thought. Make sure that an auto truly has American content besides just its assembly (The assembly is only 20-25% of the total value of a car. Ask where the car was designed, engineered, and where most of the parts came from.). This can also be very simply from the beer and wine you order, to the cheese you buy in the store. Remember, that every dollar spent domestically is multiplied geometrically through out our economy. Buy local, think American.
In my home state of Vermont, I see countless bumper stickers (some of them actually holding the car together). One of the most common is ‘Think Globally, Act Locally’. Vermont does have a certain brand and identity that should be economically valued. Perhaps the word ‘locally’ needs to be redefined.
We certainly live in a globalized economy. Vermont farmers are competing with French cheese, Canadian maple syrup and Christmas trees, and beef from Brazil. As America’s trade deficit mushrooms and as unemployment rises, perhaps a more ‘American’ definition of local is called for.
During this past recession, America has lost over 7 million jobs and countless more are currently underemployed. Within that loss are almost 2 million manufacturing jobs; many of which will NEVER come back. Economists refer to this adjustment as the forces of Globalization. There needs to be a new economic force; one that is more sensitive to our neighbors, our environment and our nation. We think ‘locally/Americanly’ before we buy. Allow me to clarify the benefits and rationales.
1. Livable Wage
Forty years ago the largest company in America was GM. Now the largest employer is Wal-Mart. In the past we had a company (not that GM is the best business model) that paid excellent wages with benefits including health care and a retirement package. More importantly, these workers lived a middle class lifestyle with aspiration and opportunities for their kids. Sadly, Wal-Mart can’t come close to filling that void. Besides being the source of many of our imports (and therefore, lost jobs), they often pay marginal wages with minimal benefits. Presently, over a million Americans work for Wal-Mart. This is the environment that helped to create the term; ‘working poor.’ By supporting domestic products and services, we can help provide opportunities for those to escape the Wal-Mart trap. In other words, if you support the concept of a livable wage, then support American companies especially manufacturers.
2. Global Warming
The more we import from developing nations, the less we can control from an environmental perspective. If you are concerned about global warming, we must consider where our products are made. China is now the number one contributor to greenhouse gases (surpassing the USA) and will to create greenhouse gases disproportionately faster. Thankfully, America now has a vision to address this problem. By supporting more domestic production, it will be more environmentally friendly and a smaller burden upon our planet.
3. Health Care
America is quite unique in the world in that we generally offer health care via our jobs. As the cost of health care increase by 2-3 times the rate of inflation (now consuming 16% of our GDP), one in seven Americans lack adequate insurance. Equally important, millions of Americans either have marginal health care coverage or will soon lose whatever coverage they have. By supporting American industries especially manufacturers, we are creating better opportunities for workers to secure at least minimum health coverage.
4. Eliminating Poverty
It is grossly ironic that a large percentage of the poor actually work. Years ago, a job was what you ‘did for a living.’ In other words, you could live from your work. Not any more. Poverty tears at the fabric of society making it more precarious and insecure. Living paycheck to paycheck creates a society without roots (and a home), and causes considerable stress and strain on family relationships. It is also statistically true that crime drops when an economy improves. Do your part to contribute to an improving economy.
5. Upward mobility
America has always prided itself on being the ‘land of opportunity’ in which barriers can be overcome with hard work and diligence. Sadly, when struggling to make ends meet, one doesn’t have either the resources or the energies to improve oneself. Countless Americans have historically accomplished the Horatio Alger climb to success. Being a member of the working poor keeps you on the first rung of that economic ladder.
It isn’t easy buying ‘American’. It isn’t always clear what is American or not. We ask that you at least give it some thought. Make sure that an auto truly has American content besides just its assembly (The assembly is only 20-25% of the total value of a car. Ask where the car was designed, engineered, and where most of the parts came from.). This can also be very simply from the beer and wine you order, to the cheese you buy in the store. Remember, that every dollar spent domestically is multiplied geometrically through out our economy. Buy local, think American.
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