The Class War will make you forget the Iraq War
Outsourcing jobs to countries ruled by dictators has destroyed entire industries, occupations and communities in the United States. The devastation of U.S. manufacturing employment was waved away with promises that a "new economy" based on high-tech knowledge jobs would take its place. Education and retraining were touted as the answer.
Prior to the Reagan Revolution, American workers had nothing to fear from cheap labor abroad. Americans worked with superior capital, technology and business organization. This made Americans far more productive than Indians and Chinese, and, as it was not possible for U.S. firms to substitute cheaper foreign labor for U.S. labor, American jobs and living standards was not threatened by low wages abroad or by the products that these low wages produced.
As the tidal wave of job losses and home foreclosures continue to grow, there will be growing desperation that will result in many more burglaries, muggings, and other forms of crimes.
The simple solution is to place a 100% tariff on imports from dictator run countries while new factories are constructed here to manufacture those goods with American labor. A government loan guarantee for all lenders who received the TARP welfare that committed capital to rebuild American manufacturing would jolt a construction boom followed by the staffing of those companies.
Only a third party dedicated to job protection can work. I am a pro labor, pro trade protection, pro bank regulation capitalist economist who worked for Manufacturers Hanover, EF Hutton, and Echlin Inc. I am also an expert trader of derivatives with four decades experience. There is not a glimmer of hope to form a third party. Much more pain for much longer will be needed before the daily dose of Obama’s propaganda will end its spell on the clueless.
Each financial institution that failed to finance the American rebuilding would be required to return the TARP funds on a four month deadline.
There has been a class war by the super elite and the government they bribe to exploit foreign workers by the dictators who use police and military force. As a consequence American workers are exploited when entire corporate divisions shut down in America to profit from foreign dictators who force their citizens to work for crumbs.
The self destructive trade policy by Democrats and Republicans is induced by the bribery system our Congress has written into law. The intimidation of the media and TV commentators by corporate financed economists has stifled every whimper that squeals with indignation for “free trade”.
Jeff Faux was the founder of, and is now distinguished fellow at, the Economic Policy Institute. His latest book is The Global Class War. Dr. Faux said this,
“For two decades, leaders of both political parties have assured members of Congress and the public that de-regulating imports and exports would make the typical American working family richer. It was said to be Economics 101: Americans were better educated and harder-working than other workers and had access to the world's best technology. Therefore, they could easily overcome both the advantages of cheaper wages in poorer countries and the government subsidies for health care and pensions in other advanced economies. Indeed, free trade was said to be "win-win" for workers all over. Americans would go up the wage ladder and workers elsewhere would get jobs on the bottom rungs.
When skilled blue-collar jobs started going overseas, policy elites told workers that they -- or their children anyway -- would get better jobs providing services in the new "information economy." Then the call centers, computer programming jobs, and routine technical positions of that very economy left the country too. Soon, accounting, design engineering, and radiology work began to be shipped overseas to places where college graduates could be hired for less than half the U.S. price.”
Foreign auto companies opened facilities here and employ American workers. That is the model that proves the point.
There is no anger by voters to form a third party dedicated to protect American jobs. Maybe when millions more workers lose their jobs and homes and the 2010 elections get closer American voters might awaken. For now the promises by Obama will keep hope for futility alive.