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Saving Our Economy
My fetid brain | May 16, 2003 | Harpseal

Posted on 05/16/2003 4:49:38 AM PDT by harpseal

The job market for tech graduates is tight and getting tighter. People with years of technical experience are working at flipping burgers and saying “Welcome to Wal-Mart.” Outsourcing every corporate function except senior management to low wage nations such as India and China has become the latest fashion in the executive suites. There are many reasons why this has become the fad du jour but if the USA is to remain a livable nation it is time for Government policy to change in order to maintain the American economy. Those technical jobs that remain inside the USA are being given to low cost “Guest Workers” under the H1B program or if companies have gotten squeezed by the minor contraction of the H1B program they bring in people under the L1 visa program. In the interim totally qualified Americans are pounding the pavement looking for these same jobs. The means to maintain the American economy as the engine that drives the world are there but there are some government policies that must be changed. I am proposing a ten point program that will put the American economy in the front again.

First, and foremost the H1B visa program should be eliminated today. ALL H1B VISA SHOULD BE ENDED TODAY AND THOSE PEOPLE IN THIS NATION ON THAT PROGRAM SHOULD BE ON THE NEXT FLIGHT OUT OF THE USA. If this causes a hardship for some companies, oh well, the H1B program was based on the supposition there were NO Americans who could do the job. So they lied and they should pay a price for their misrepresentation.

Second, the cost of outsourcing should reflect its true cost to these companies. Revise the tax code so that the investment tax credit does not cover any development done outside the USA unless such development can not be done inside the USA. Fraud in such certification should be considered a felony and prosecuted.

Third, get rid of section 1706 of the IRS code that made it almost impossible for the independent IT consultants to do business directly with companies.

Fourth, the temporary visas for engineers coming into the USA to learn what the jobs of current IT workers are should not be granted.

Fifth, simplify the tax and regulatory environment so that contractors can be employed more readily. (See comments on section 1706).

Sixth, tighten the L1 visa program so that it is not used as way around the H1B program. In short no L1 visas will be issued to facilitate moving American jobs offshore.

Seventh, prosecute anyone who has certified falsely that they were unable to find American workers for a job when all they were doing was trying to save money by bringing in H1B low wage guest workers. A few felony convictions in this realm will do wonders for stopping future false certifications.

Eighth, repeal all government subsidies for foreign investment, and institute tariffs against those nations which only will purchase American products if we build facilities in their nations. Such restrictions by foreign nations are an infringement on the free market and must be fought. More factories in China will do nothing to improve the American economic condition. Now even Mexico is feeling the pinch the investment by American firms in the People’s Republic of China. In short access to the American Market should be dependant upon free access of American firms to the market in other nations. If guest workers from a nation are to be allowed in the USA then Americans must be allowed to work in that nation.

Ninth, the American system of higher education should be focused on Americans first and foremost. If foreign students wish to come to the USA to study that is fine if there is space available, but only on a space available basis. Priority must go to those students who will be graduating as American citizens and the public funding of higher education should not be expended on students from other nations who seek to come here study and take the knowledge back to another nation to compete with the USA.

Tenth, we as a nation must revise our overall tax and regulatory environment. We must get away from the soak the rich formulas. We must no longer have the legal system seek to micro manage every action of every person. Rule of law is important but the law should not concern itself with trivialities. We need to restore balance in our tax laws and regulatory system.

These ten points are based on come very sound principles and are a natural conservative agenda in my opinion. They are based on controlling our borders. They are based on not subsidizing foreign nationals at the expense of the basics of American citizens. They are based on demanding free markets from our competitors. They are based on returning sanity to our tax and regulatory systems. They are based on demanding responsibility and truth from our nation’s companies in their dealings with our immigration policies. They are based on holding companies accountable for their actions.

No, none of this is a giveaway program. They are not based upon taking away a free market but rather on expanding a free market. India and China in fact the entire world has a sound basis to become sound stable and prosperous economies at present. The USA should not experience deflation and depression to subsidize these nations.

The political implications of the above proposals should be clear to everyone. Advocacy of these proposals would appeal to a broad cross section of the American electorate. They could be enough to insure a long term governing plurality for the political party that adopted them. It is my hope that the Republican Party will take them to heart.


TOPICS: Business/Economy; Government
KEYWORDS: foreigntrade; freemarket; hightech; jobmarket; unemployment
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Some ideas that needed to come out.
1 posted on 05/16/2003 4:49:38 AM PDT by harpseal
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To: bvw; Tauzero; Matchett-PI; Ken H; rohry; headsonpikes; RCW2001; blam; hannosh4LtGovernor; arete; ...
For your comments
2 posted on 05/16/2003 4:55:12 AM PDT by harpseal (Stay well - Stay safe - Stay armed - Yorktown)
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To: harpseal
One doesn't have to depend on an employer for ones financial security. "Technical" people (or anyone else for that matter) can start their own businesses and create their own jobs.

I did, many here also have.
3 posted on 05/16/2003 5:19:17 AM PDT by DB ()
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To: harpseal
Second, the cost of outsourcing should reflect its true cost to these companies. Revise the tax code so that the investment tax credit does not cover any development done outside the USA unless such development can not be done inside the USA. Fraud in such certification should be considered a felony and prosecuted.

Love to see it..... but don't hold your breath.

4 posted on 05/16/2003 5:29:16 AM PDT by YankeeReb
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To: harpseal
The republicans and the democrats both want american factories to be closed and replaced by foreign ones, they both want cheap foreign labor to replace american workers. I dont see how we can avoid disaster in this country. There will be fewer and fewer jobs for americans, and most businesses fail.
5 posted on 05/16/2003 5:35:40 AM PDT by waterstraat
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To: DB
One doesn't have to depend on an employer for ones financial security. "Technical" people (or anyone else for that matter) can start their own businesses and create their own jobs.

Likewise for starting one's own business. However due to section 1706 of the IRS code which specifically covers computer programmers and analysts, electrical and electronic engineers, draftsmen, and several other high tech professions the liability of cutomers for additional taxers makes purchasing these services from small companies very difficult. The repeal of this provision of the tax code that imputes liability for an employer/employee relationship ios one of the provisions I included. I did, many here also have.

6 posted on 05/16/2003 5:41:25 AM PDT by harpseal (Stay well - Stay safe - Stay armed - Yorktown)
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To: waterstraat
The republicans and the democrats both want american factories to be closed and replaced by foreign ones, they both want cheap foreign labor to replace american workers. I dont see how we can avoid disaster in this country. There will be fewer and fewer jobs for americans, and most businesses fail.

I am presuming that one of these parties will see the light for their partisan advantage and winning and or maintaining power.

7 posted on 05/16/2003 5:42:58 AM PDT by harpseal (Stay well - Stay safe - Stay armed - Yorktown)
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To: harpseal
They are based on demanding free markets from our competitors.

No offense, but how do we demand "free markets" from our competitors while closing our labor market at the same time? I would revise your proposal in some ways: don't end H1B altogether; there are non-IT jobs that rely on foreign workers, notably in health care. Kicking them out of the country will do actual harm to regular Americans.

Demand that IT workers stop blaming external factors for all of their job woes. An IT worker willing to relocate has a good chance of landing a job. An IT worker wanting a job to come to him has no room to complain.

The modern IT worker has much in common with the factory worker of the early 20th century. It is no longer an elite field, untouchable to the masses. Too many people keep flocking to certification programs, recalling the laughable exhortation of the '60's that "plastics" were the future. What is needed is creativity. If you want to be a standard IT worker, you're going to be treated like a textile worker, because you are now a dime a dozen. Create, innovate, do something different: that's what the market will reward.

8 posted on 05/16/2003 5:50:31 AM PDT by Mr. Bird
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To: Mr. Bird
No offense, but how do we demand "free markets" from our competitors while closing our labor market at the same time?

The alternative is we open our market to them while their market is closed to us. that is insanity. we demand free acess to their market or they face a cut off of access to our market it is really simple.

I would revise your proposal in some ways: don't end H1B altogether; there are non-IT jobs that rely on foreign workers, notably in health care.

There are a number of Americans looking for these same jobs. I would suggest a good faith effort at hiring and training and paying a sufficient wage to attract the appropriate talent.

Kicking them out of the country will do actual harm to regular Americans.

This assertion needs proof before we maintain H1B workers in this nation.

Demand that IT workers stop blaming external factors for all of their job woes. An IT worker willing to relocate has a good chance of landing a job. An IT worker wanting a job to come to him has no room to complain.Give me a break. I can cite numerous cases of highly skilled and educated IT workers who are the cream of the crop and were making six figure incomes from consulting less than two years ago who can not now find a position for $40,000/year. yes, tehy are willing to travel and relocate. The big question is why you want Americans out of work so that foreign nationals can be employed? maybe you resent IT professionals or engineers or maybe doctors it really does not matter. You will note my proposal states that free access to our markets would be granted to those nations that in turn give free access to their markets. What you seem to want is only the USA to be subject to an unlimited exploitation by cheap foreign labor.

By the way I, you will note that my proposal include the same principles of free and fair trade for manufacturing as for IT and every othereconomic endevor. The modern IT worker has much in common with the factory worker of the early 20th century. It is no longer an elite field, untouchable to the masses. Too many people keep flocking to certification programs, recalling the laughable exhortation of the '60's that "plastics" were the future. What is needed is creativity. If you want to be a standard IT worker, you're going to be treated like a textile worker, because you are now a dime a dozen. Create, innovate, do something different: that's what the market will reward.

9 posted on 05/16/2003 6:05:36 AM PDT by harpseal (Stay well - Stay safe - Stay armed - Yorktown)
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To: Mr. Bird
...An IT worker willing to relocate has a good chance of landing a job...

Yes, Calcutta is lovely this time of year. Isn't it almost time for the annual toss the dead into the river day?

What a sight.
And housing is cheap.

10 posted on 05/16/2003 6:07:20 AM PDT by the gillman@blacklagoon.com
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To: harpseal
I can cite numerous cases of highly skilled and educated IT workers who are the cream of the crop and were making six figure incomes from consulting less than two years ago who can not now find a position for $40,000/year.

Very true, but this has less to do with an influx of foreign workers than an overall increase in the supply of qualified native labor. If you go to Monster or CareerBuilder, there are over 4000 jobs listed for programmers, more than any other occupation except maybe sales. The jobs are out there, but there are too many of you fighting for them.

11 posted on 05/16/2003 6:19:24 AM PDT by Mr. Bird
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To: the gillman@blacklagoon.com
Excuse me Americans are not allowed to work in IT in India one must be an Indian national.
12 posted on 05/16/2003 6:21:49 AM PDT by harpseal (Stay well - Stay safe - Stay armed - Yorktown)
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To: Mr. Bird
Very true, but this has less to do with an influx of foreign workers than an overall increase in the supply of qualified native labor. If you go to Monster or CareerBuilder, there are over 4000 jobs listed for programmers, more than any other occupation except maybe sales. The jobs are out there, but there are too many of you fighting for them.

If there are too many Americans fighting for iT jobs why on earth do we keep importing H1B's to increase the competition. You have just undercut your own ccase as to the jobs listed on Monster.com etc. The majority of these are listings for which no American will be hired. Companies in order to import cheap H1b workers must list jobs first. In short I am not buying into your arguing for destroying the Amnerican Middle class in order to subsidize foreign nationals. Why do you hate America?

13 posted on 05/16/2003 6:25:32 AM PDT by harpseal (Stay well - Stay safe - Stay armed - Yorktown)
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To: harpseal
Course not.

14 posted on 05/16/2003 6:26:02 AM PDT by the gillman@blacklagoon.com
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To: harpseal
There is nothing wrong with our economy, it is just readjusting.
15 posted on 05/16/2003 6:27:10 AM PDT by biblewonk (Spose to be a Chrissssstian)
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To: the gillman@blacklagoon.com
That is one of my points that needs to be implemented Americans must be allowed to compete fairly for IT positions outside the USA even in India. If they can come here why can't we go there?
16 posted on 05/16/2003 6:27:53 AM PDT by harpseal (Stay well - Stay safe - Stay armed - Yorktown)
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To: harpseal
Realistically, only a small percentage of people can start and succeed in a small business. When things were going in the right direction, 4 out of 5 failed.

Yet you hear that all the time here. Laid off from the car wash? Start your own Microsoft.
Some people here can only be explained as shills.
17 posted on 05/16/2003 6:30:07 AM PDT by the gillman@blacklagoon.com (stupid isn't enough)
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To: biblewonk
Well it is time to readjust our economy to take care of Americans before taking care of foreign nationals. We have engaged in some specific polices as a nation that have hurt a large number of Americans to subsidize foreign nationals. It is time to stop those subsidies. I am realy quite sick of those who call themselves conservatives who keep defending violations of the free market principles that hurt Ameican interests and telling their fellow Americans to shut and take it. There is an old saying sauce for the goose is sauce for the gander. All I am saying is protect our borders enforce our laws prosecute those who have violated our laws and demand equal treatment from foreign nations. What is so extreme about those proposals?
18 posted on 05/16/2003 6:32:14 AM PDT by harpseal (Stay well - Stay safe - Stay armed - Yorktown)
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To: harpseal
Their government is tending to the business of running their country, for the nation of India.

That seems to be the big difference.

I have no ideas for a solution, except remove our entire government and start over.
19 posted on 05/16/2003 6:32:21 AM PDT by the gillman@blacklagoon.com (stupid doesn't explain it but treason does.)
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To: the gillman@blacklagoon.com
In the field of IT how does one maintain customers and start a business when the customers are faced with the IRS demanding that after they have paid their independant contractors as contractors they then pony up all the taxes as though these people were employees. There was a case at Microsoft in the 1990's where this was the situation.
20 posted on 05/16/2003 6:34:38 AM PDT by harpseal (Stay well - Stay safe - Stay armed - Yorktown)
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