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New Democratic strategy for creating jobs focuses on a boost in manufacturing (Chicoms hire 200K)
Washington Post ^ | 8/04/10 | Lori Montgomery and Brady Dennis

Posted on 08/03/2010 10:47:38 PM PDT by Libloather

New Democratic strategy for creating jobs focuses on a boost in manufacturing
By Lori Montgomery and Brady Dennis
Wednesday, August 4, 2010

President Obama and congressional Democrats -- out of options for another quick shot of stimulus spending to revive the sluggish economy -- are shifting toward a longer-term strategy that promises to tackle persistently high unemployment by engineering a renaissance in American manufacturing.

That approach, heralded by Obama last week in Detroit and sketched out in a memo to House Democrats as they headed home for the August break, is still evolving and so far focuses primarily on raising taxes on multinational corporations that Democrats accuse of shipping jobs overseas.

The strategy also repackages policies long pursued by the White House -- such as investing in clean energy, roads, bridges and broadband service -- with more than two dozen legislative proposals aimed at developing a plan for promoting domestic manufacturing.

"We know manufacturing produces good jobs, high-paying jobs," House Majority Leader Steny H. Hoyer (D-Md.) said this week as Democrats released a report showcasing small gains in manufacturing since Obama took office. "We have committed ourselves to a long-term agenda aimed at enhancing the manufacturing capabilities in America."

(Excerpt) Read more at ...

TOPICS: Crime/Corruption; Extended News; Government; News/Current Events
KEYWORDS: democratic; jobs; manufacturing; strategy
The rookie Hussein doesn't have a clue.

As Obama Economy "Recovers," ChiCom iPhone Factory Booms
August 3, 2010


RUSH: Now, let's go through the economic news first. "The pace of consumer spending stalled in June and personal incomes failed to increase, further evidence that the economy slowed significantly in the spring." Do you know why they think there's an economic recovery? They think there's an economic recovery because we've had some quarters here of GDP growth of 1%, 1.5%, 2.4%. So under their loose definition there's economic growth or recovery going on, but there's no jobs. No new homes are going up. I mean, there's no indicator of economic growth other than government hiring, other than government activity. So "The pace of consumer spending stalled in June," meanwhile, Geithner is out, saying (summarized), "You know, the rich, you guys, you need to start spending more."

Bernanke says, "The rich people, you need to start spending more money," and then Geithner comes out and says, "Well, we're not gonna have tax cuts for the rich. Those people got money they don't even need. They got don't need tax cuts. Why, why, they've got money they don't even need," and Geithner's mad at you for not spending it, those of you who are rich. "Economists are worried that the financial troubles weighing on households could cause spending to ebb even more in the second half of the year. The sub-par economic growth..." I can't wait 'til they start making predictions on the Christmas season. Heh, heh, heh. You know, they do that starting every October or September.

Here's more bad news: "Factory orders fell in June for the second straight month due to lower demand for steel, construction machinery and aircraft. The Commerce Department said Tuesday that factory orders dropped by 1.2 percent to a seasonally adjusted $406.4 billion. Analysts expected a much smaller drop." So once again the analysts don't know what the hell they're talking about. Their expectations are way off the map. Everybody's shocked and surprised, except you and me and all of us in the country class. There's never been 9% unemployment for two years in a row since the thirties, and they talk about economic recovery being stalled because of all this news today?

We've never had 9% unemployment for two years consecutively since the 1930s. So Obama wants the wealthy to spend more and then pay 90% of all the taxes, too. That sounds like a plan. So factory orders fell, except for the ChiComs. "Chinese news agency Xinhua reports that Foxconn..." This is the outfit, the factory that makes the iPhone, the iPod and the iPad. "Chinese news agency Xinhua reports that Foxconn subsidiary Futaihua Precision Electronics will build a new facility in central China's Henan provice [sic] that will primarily produce the iPhone. ... 200,000 phones per day and will employ nearly 200,000 workers" who at present do not have jobs. What is wrong with this picture? (interruption) Well, I know we have 200,000 workers that don't have jobs but none of them are making iPhones.


RUSH: I guess I'm no longer the leader of the Republican Party. Obama, at a fundraiser in Georgia, said the GOP is the party of Bush. I guess they've made the official decision now, at least for today, to run against Bush. It was two years ago. That's two years old. They're going to run against Bush. In fact, some in the partisan, political operative media are debating whether or not this is a wise move. At some point does not Obama own all of this? And according to a Rasmussen poll yesterday, 48% of the people believe the economic mess is Obama's; 47% believe it's Bush. The trend line continues. Its Obama's economy. I want to go back to this story. Factory orders in the United States are down, as well as the pace of consumer spending.

But the factory orders story fell in June, second straight month "due to lower demand for steel, construction, machinery, and aircraft. Analysts had expected a much smaller drop." Meanwhile, Foxconn, which makes the iPhone, iPad, iPod in China, Shenzhen, is gonna build a new factory that will primarily produce the iPhone. "Xinhua says that more than 500 employees are already working a temporary site rented from the Zhengzhou city government. Factory construction will start on August 20 and is expected to be operational in a year. Xinhua says the site will reportedly produce $13 billion (U.S.) worth of products for export, make about 200,000 phones per day and will employ nearly 200,000 workers, most of whom are expected to be from the Henan province."

Now, Foxconn is not without its problems. They had to put nets all the way around the outside of their existing factory because of the suicides committed by their employees. Employees are overworked in there and they jump out the windows and they kill themselves. So they built nets. I saw a picture of this. There are nets outside on the side of the building that catch employees who jump over. Apple had to move in there and promise a 30% raise, 'cause they can't make product fast enough. There's a waiting list for the iPhone 4; there's a waiting list for the iPad. IPod touch, no problem getting those things, but they can't meet the demand. You read a story: US factory output down; people aren't manufacturing things. We e know this is happening.

Yet here's Steve Jobs -- darling of the left, huge Obama supporter, Algore a member of the Apple board -- and nobody on the left's upset that Jobs is not hiring union workers in America to make the iPhone or the iPad? They're being made by Chinese labor, and the workers that make the things are committing suicide. Not in great numbers, but they're still jumping out the windows over there at the Foxconn building. Now a new factory: 200,000 new workers. You know, Biden said we're going to be producing 500,000 jobs a month by this time. The ChiComs are doing it for one product! Well, two products: iPhone, iPad. It's $13 billion worth of exports.

Obviously Apple is not being hampered by any union problems in China. I don't think they're unionized over there in Shenzhen at Foxconn. The Summer of Recovery is working for the ChiComs. I don't even know if there's an economic slowdown. Two hundred thousand iPhones a day! Two hundred thousand will be made per day. They're not making that many now but they can't keep up with the demand, so they hired 200,000 new employees. And yet Apple escapes any scrutiny by the State-Controlled Media and the left? They're jobs Americans don't want to do? Americans don't want to make iPads? Americans don't want to make iPhones?

You know, folks, if you go to Apple's website and buy this stuff on the website, it gets shipped from Shenzhen, China. They don't even ship the stuff here first to distribution centers. I mean, maybe at rollouts they'll send in a bunch of iPhones to Memphis and they'll send them outta there via FedEx, but you go try it. Go buy an iPhone or an iPad, and they'll send you the shipping instructions -- and when it ships, it's from Shenzhen, China. Then it goes to someplace in Hong Kong, then it goes to Anchorage, and finally to Memphis. At least it's coming over on FedEx. "The number of buyers who signed contracts to purchase homes dropped in June, as the weak economy and tight lending standards kept consumers away from the housing market," and yet they claim there's an economic recovery going on. (interruption)

What do you mean, "There goes any chance of EIB ever getting Apple advertising"? (laughing) There was never any chance of the EIB Network getting any Apple advertising. We've been knocking on their door for 22 years. No chance. I don't know what the carbonate footprint of shipping iPhones and iPads all over the world from China is but it's gotta be huge. They gotta get 'em here somehow 'cause they're not being made here. "Treasury Secretary Timothy Geithner..." a genuine egghead. Have you seen this guy's head? Genuine shape of an egg. There's something not right about the shape of his head. You're not supposed to notice these things. You're not supposed to say these things. I'm sorry, there's something not right.

He said today "it would be 'deeply irresponsible' for the Obama regime to support a wholesale extension of Bush era tax cuts, including breaks for the wealthy. Geithner said in a nationally broadcast interview that President Barack Obama strongly believes those reductions should be retained for the '95 percent' of taxpayers with individual incomes under $200,000 a year and families below $250,000. And he disagreed with accusations the regime has been hostile to Wall Street and the business community. 'The business community always wants their taxes lowered,'" said Little Timmy. Meanwhile, Obama's mad and Geithner's mad that the rich are not spending, they're not consuming, and they're not paying enough taxes -- even though they're paying 90% of the freight. (interruption)

Are you kidding me? Geithner was one of People magazine's 50 Most Beautiful People last year? Are you kidding me? Is this a joke? That cannot be true. Tim Geithner one of the 50 Most Beautiful People in People magazine? No matter the shape of-his head? Somebody's pulling my leg. I've got a note here. Somebody is yanking my chain. This cannot possibly be true. "Businesses have hired 5.6 million workers under a new program that provides tax breaks for hiring unemployed workers, the Treasury Department said Monday. The report, however, does not estimate how many of those jobs would have been added without the tax break." Does anybody believe this? Does anybody believe 5.6 million workers have been hired under any new program? Would somebody explain to me how we have lost eight million jobs, we've got unemployment 9% for two consecutive years (for the first time since the thirties) and now here comes a story from the Organized Press saying that we have "5.6 million workers under a new program that provides tax breaks for hiring unemployed workers." That's a small business tax break. They've offered this twice. Small businesses would be stupid to take this deal. We are just out and out being lied to. No matter. Nothing new.


RUSH: Cliff, Baton Rouge, Louisiana, hello, sir.

CALLER: Rush, it's an honor.

RUSH: Thank you.

CALLER: Rush, I like what you're talking about today. I think that the Obama administration reminds me of a drowning person. They are grasping for whatever is in sight, and this is why they're throwing their own under the bus. Because, frankly, they're in trouble. I mean, the economy stinks, they have thrown down the race card already, and they've already put their ace on the table, and they're done. I mean, we're 90 days from this election and I don't see anything happening but their getting crushed.

RUSH: They are getting crushed, but Obama's not gonna get crushed. Obama doesn't care.

CALLER: Right.

RUSH: Obama's not on the ballot. Obama's not going down the tubes. He may be taking these guys over the tubes or maybe throwing them down the tubes himself but he's not going.

CALLER: But he's drowning in the arena of history. His legacy is going to be defined --

RUSH: He doesn't care.

CALLER: Well, I don't know I that I know.

RUSH: He doesn't care. Drowning? In whose history? It depends on who's writing the history. If the communists and the Marxists are writing the history, he's a hero. If the unions are writing the history, he's a hero.

CALLER: That's absolutely correct. Very good with coreography, Rush.

RUSH: Okay, so to whom does he want to be a hero to? If I'm Obama, I'm feeling pretty good about what I've been able to destroy here in just 18 months -- and if my party is in trouble? There's a price to pay for everything, and if this is worth it, fine and dandy. And if destroying America as found, if wiping out the American capitalist system is the objective, and if it's gonna cost your political party a bunch of seats for a while, go for it. It's worth the price. There's also an upside for Obama. There's a big upside. If he gets rid of the Democrat majority and the Republicans do win and all they do is oppose Obama, then he can start blaming them. I don't doubt that this is something they're planning on.

If two years after the fact they're still going to run against Bush -- if two years after the fact they think the road to victory is running against Bush and trying to convince everybody in the country that this economic disaster is Bush's -- then I guarantee you he's looking forward to being able to blame Republicans for eight years while he succeeds in doing what he wants to do. This is not politics as usual. This is not politics as we always known it. This is not just the usual, "Okay, the Republicans are going to win now and then, the Democrats are gonna win now and then, and we'll go back and forth like a seesaw and trade power." We've never had an administration like this. We've never had a president like this. We've never had a political party like this -- and the party leadership, Pelosi, Steny Hoyer, Harry Reid, these people are willing to lose in order to finally implement their dream agenda that they have been harboring for 50 years. It's worth the price to them, and Obama's not going to lose anything. He's not on the ballot.


1 posted on 08/03/2010 10:47:42 PM PDT by Libloather
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To: Libloather

When you take something from the ground and then refine it and improve it, and sell it for a profit..... you create wealth.

But about 25 years ago some genius level a$$hole said.... “oh, we don’t need to do THOSE jobs anymore..... let the chicoms do that.

Do that for 25 years over your ENTIRE economy at an increasing rate and you WILL see an effect.

And now its coming home to roost.

2 posted on 08/03/2010 10:57:40 PM PDT by NeverForgetBataan (To the German Commander: ..........................NUTS !)
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To: Libloather

0bama is trying to micro-manage the economy like LBJ and McNamara did with the Vietnam war. And we all know how that turned out.

3 posted on 08/03/2010 10:59:29 PM PDT by smokingfrog ( - Now 100% flag free.)
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To: Libloather; ding_dong_daddy_from_dumas; stephenjohnbanker; DoughtyOne; rabscuttle385; mkjessup; ...
It is amazing to read each next democrat scam. Repackaging the message so now they call these expensive inefficient government jobs ‘manufacturing’. How the hell can we export 44K $ electric GM Government Motors cars that cost taxpayers ~ 1M $ per job (for GM as a whole) ?

Unless the dollar drops so low a tank of gas costs $200. What good is that? We are screwed.

4 posted on 08/03/2010 11:01:26 PM PDT by sickoflibs ( "It's not the taxes, the redistribution is the federal spending=tax delayed")
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To: Libloather

Barrys too short to hit the “start economy” switch.

5 posted on 08/03/2010 11:02:24 PM PDT by himno hero
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To: NeverForgetBataan
Obama first mistake is believing that economic growth starts with government. All great companies, all great industries, almost all great innovations started out small. Some guy like Henry Ford or Bill Gates, who had an idea and ran with it. Government didn't get the automobile off the ground. You have to foster an environment that encourages entrepreneurs. Sadly, Obama’s world doesn't encourage any business activity.
6 posted on 08/03/2010 11:08:18 PM PDT by fhayek
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To: Libloather

“That approach, heralded by Obama last week ... and sketched out in a memo ... is still evolving and so far focuses primarily on raising taxes ...”

And they say the Repubs only have one idea.

7 posted on 08/03/2010 11:12:46 PM PDT by Bhoy
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To: NeverForgetBataan

obama is a total economic illiterate. Multinational corporations are moving jobs overseas, so they slap on more taxes to encourage them to move even faster, while they tout job creation/investment in clean energy etc that only exist because theres tax payers money in it. Not only do these investment produce expensive good/services that noone buy, before long competition will force these companies to move overseas as well

8 posted on 08/03/2010 11:15:29 PM PDT by 4rcane
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To: Libloather

“so far focuses primarily on raising taxes”

Yeah, that’s always these moron’s approach. Sheesh...

9 posted on 08/04/2010 1:49:32 AM PDT by piytar (Those who never learned that peace and freedom are rare will be taught by reality.)
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To: Libloather
So now the Dims are talking “long term plans”.

Let me guess, a series of five-year plans to re-industrialize the United States?

10 posted on 08/04/2010 3:21:49 AM PDT by SampleMan (If all of the people currently oppressed shared a common geography, bullets would already be flying.)
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To: NeverForgetBataan

Bingo: We have a winner.

11 posted on 08/04/2010 3:27:23 AM PDT by steveab (When was the last time someone tried to sell you a CO2 induced climate control system for your home?)
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To: Libloather

Great. That’s all we need now. Obama’s help......... That will certainly make things easier and more productive. /sarc

What’s he going to call it, comprehensive manufacturing reform?

12 posted on 08/04/2010 4:48:28 AM PDT by MontaniSemperLiberi
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To: NeverForgetBataan
I believe a major deficiency in the "offshoring" argument is that there some level of economic thinking in this country that assumes that every manufaturer is a monopoly insulated from competition? Capital goes where it is loved. When our government realizes the proper incentives for manufacturing, which are are low taxes, low regulation and non coercive labor laws, and puts those incentives in place, perhaps we can regrow our homeland manufacturing sector.

There is not a single private company in America that is started or survives without investment or investment return. When the returns stop, the investment is withdrawn and the company dies.

So, let's say you own the company. What would you do if taxes and regulation caused your previously succesful business to lose money? What do you do when competitors are able to make the same product at a lower cost? What would you do if the investment in your company is withdrawn for lack of investment return?

I suspect you would do whatever it takes to remain in business even if that means moving production to foreign soil. The alternative is failure (see GM), so don't blame the companies - blame your ignorant government!

13 posted on 08/04/2010 5:41:40 AM PDT by Lowcountry (RIP: Peterdanbrokaw)
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To: Lowcountry

Mills were opened in Massachusetts to make cloth cheaper than in England. There were rivers there to run the machinery and looms.

Unions took over the production process and the owners were milked of their profits. They moved to North and South Carolina where there was abundant people to work and electricity to power the mills.

The price of labor rose and the mills moved. They were disassembled and shipped to places like India and China and Bangladesh.

Bangladesh workers are now in jeopardy as the last fully automated computer controlled North Carolina factories are out of business in 2010 and the machinery is being packed up for shipment to Bangladesh where it will cause people to be unemployed.

America was merely part of a long term textile manufacturing cycle and is now out of the loop.

14 posted on 08/04/2010 6:05:32 AM PDT by bert (K.E. N.P. N.C. +12 ..... Greetings Jacques. The revolution is coming)
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To: Libloather

I’m actually gonna enjoy watching them throw huge subsidies into starting up factories to produce useless products, only to have their allies in the Enviroweenie movement tie them all up in court for six years.

15 posted on 08/04/2010 6:29:35 AM PDT by Buckeye McFrog
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To: Lowcountry

mmm.... yes I agree that government can be a big obstacle. But, that’s why allot of companies moved to the south. It’s STATE regulation that is more likely to adversely affect investment return. Southern states lured companies with big tax abatement’s and lower regulation.

Me thinks a bigger reason for the offshoring is “major retailers” who virtually “hold hostage” the ability of consumer products manufacturers to get their products to market. The buyers in Bentonville are legendary in their ability to force a company into agreeing to larger and larger price concessions year after year. Upper management at the manufacturers are not going to take less. So the “give” HAS to come at the manfacturing floor. At some point they really cease to be “American” manufacturers anymore. I would go so far as to say that their US incorporation charters should be revoked removing their liability protections.

16 posted on 08/04/2010 7:47:51 AM PDT by NeverForgetBataan (To the German Commander: ..........................NUTS !)
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To: sickoflibs

I’ll admit to being rather anxious to see this vehicle hit the market. I had thought GM had done a great deal of research, and was going to market a wonderful new offering.

Then this thing landed with a great big thud.

$41k cost for the entry level vehicle
$7k government tax write-off
Uses Premium gas only

How could GM miss the mark this badly? That Tessla goes about 200 miles between charges. The government didn’t have to subsidize it. (Although there probably are some state and federal government tax incentives) At least Tesla did their homework and put something decent on the street.

This GM offering is ridiculous.

The government will wind up buying the majority of them. It leads me to think of the old USSR, and how the government there was so corrupted that they did things like this.

The Leftists can’t even see this for what it is.

17 posted on 08/04/2010 9:05:32 AM PDT by DoughtyOne (Latest most accurate Az Poll to date, of 14 likely voters: McCain 137%, Hayworth -37% (+/- 92%))
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