From autospies.com The labor cost differential is an "irresistible force". The West cannot fight this and win... must adapt as best we can. (And that should NOT include "US taxpayer paying for the differential" to maintain UAW wages and benfits!)
$1 US = 3/54th's 1 Yuan.... ...................................................... The Obama Dollar Equilibrator ..................................................... Domestics have to buy their own domestic cooking as well.... " No more foreign restaurants" ... ...................................................... As long as there are WMTs....COSTs.... manufactured products are not going to have a US label.... ...................................................... US public loves WMT and wants manufacturing jobs ?????
My newspaper the other day had pictures in it of huge Boeiings (or where it Airbusses? ) loading up subway trains in Germany ready to be flown to India. Now why would anyone want to buy their subway trains in Germany? The euro is probably one of the most expensive currencies in the world. And India has a billion + population where engineers graduate by the millions. Can't they make their own little trains? Or is there more to it then cheap labour afterall?
It was an error in the past to think that using robot is a good solution. Yes, productivity has increased significantly and the production costs are low. But the problem is that the more people do not have the job then to whom we sell those products. One solution to the problem is to make their lifestyle the same as here and therefore a competition would be fair, another way is to lower our lifestyle to their level but it would be absurd and impossible to do so. It will take many many years for them to come up the same level of lifestyle as here and it needs first their leaders to start clean up their own corruption. Henry Paulson had been trying to convince the Chinese government to implement the credit system and capitalism in China then people start to spend before they earn, it would increase the spending and the cost of living and in the future we will have the same system as here and same lifestyle of course. Unfortunately, you know the rest for what has happened here for the credit market...
Obviously....it will be a mix....of both highly educated high tech products as well as basic low tech products and those in between.... The majority of the population needs something to do.... so that they will have the coin to amortize these airbuses.... As one already knows....the majority of jobs come from small business.... .......................................................................... You already know these things but they all add up.... 1) failed politics....the 2 party by advertising lobbyst system has got to go....to be replaced by internet township govt.... 2) Improved tax policies.....ie 10% VAT only.... The progressive take is a failing proposition.... 3) Legal largesse....too high a % of each product price.... and has become a fascist big business tool....due to lobbysts, etc....This has got to go.... 4) Govt. must downsize....refuses to do so.... 5) Affordable education....internet based 6) Medicine....prohibitive costs....not sustainable.... If the US adopted the 10% VAT and eliminated the individual/corp. tax....this alone would restore manufacturing and other businesses....The best companies in the world would flock to the US....along with lots of jobs....
A lot of water will have to run under the bridge before most of those ideas will be implemented Libertad. These paradigm shifts don't happen overnight and I'm afraid more pain has to come just to make everyone clear the road we are on is unsustainable as we speak let alone agreeing on steps needed to be taken. Cheers.