It's Unstoppable: High Tech Jobs Ditching US

Associated Press/ The Straits Times ^ | 08-03-03

[oceanview]

Milton Friedman says the Fed did it.

[Mulder]

A simple solution is to pass a law saying that no tariff can be lower than any internal tax rate.

[RnMomof7]

However, US business executives say they can't compete, let alone keep their companies alive, if they hire US IT workers for US$40,000 (S$70,000) to US$80,000 a year while their competitors hire the same talent in India for US$8,500 to US$9,800

Lets see how they survive with=out the former largest market in the world to buy there goods. Might be a case of diminishing returns

[RLK]

Well excuse me, who is the one being the elitist now.

--------------------

I never claimed not to be an elitist. In my time I have earned a national reputation in several areas. I may be on the road to doing it still again. In the last year I have accomplished a task in experimental physics that has not been reported in any text or journal. Time and health permitted, I'll release a classic study. Anything I have done has been earned by myself.

I don't consider people such os you equal to me. You're just clowning around. I don't consider Bush my equal. He's traded on family reputation based on money someone else made several generations and shows me little. He's lazy and shallow. His kind of inherited elitism is not something I want running my life or this country.

[JRandomFreeper]

The same goes for anyone who thinks their property will retain more then 50% of is present value over the next decade. Just wait until that bubble goes.....pop!

That's ok. I've lost all of my real property in the last 6 months. It's the 4th time since 1979. If the trend continues, my next house (in a few years) will be much larger than the last one, and have a MUCH nicer kitchen.

It's tough to start over at 40+. But whining about it only gets me a prescription for Paxil or Prozac.

/john

[RnMomof7]

When you cut taxes and deregulate, you help small businesses more, and those small businesses don't move, or "out source" overseas. Alot of manufacturing also is done overseas, because there aren't the same crazy enviornmental and labor regulations.

One more thing is needed, an educated workforce that will work for slave labor..then they will return

[RnMomof7]

Bingo,

What we need to do is raise children to be blood sucking politicians , that is the job of the future

[FreeLibertarian]

Maybe the greatest threat to our National Security is not from terrorists from without, but from greedy sonovabitches in high places, within.

We are being sold out.

I nominate this for the quote of the day!

[Redcloak]

[RLK]

In China an engineer gets a yearly salary that wouldn't pay the cost of my traveling to work here. He works on state donated land in state constructed buildings built with state controlled labor. Anyone who begins reciting a rote-memorized spiel on taxes relating to this is dysfunctional.

[oceanview]

and imagine the Vietnamese!

[RnMomof7]

*** Go back to the Smoot-Hawley tariffs of the 30's, they worsened the depression**


A little internet education


Please ask David L. Richter (Letters, 2-9-2000 "Depression’s Villian") how, exactly, the Smoot-Hawley Tariff Act could have caused the Great Depression, et al, when the Great Depression began with the stock market crash of October 1929, and the Smoot-Hawley Act became law in 1930? And if tariffs caused the Depression, why did the Fordney-McCumber Tariff Act of 1922 in which customs levels were increased to the highest levels in US history instead act as part of the greatest boom of prosperity the nation had ever seen, the Roaring Twenties?

No, the real cause of the great depression was the policies of the Federal Reserve and Benjamin Strong, head of the New York Reserve Bank. Few western and southern banks had elected to become members of the Fed, so Strong enacted a plan to force them. The plan was to lure the farmers and tycoons of the west and south into easy credit loans, and then call them in en masse to cause a recession and the failure of the non-Fed banks. This contraction of credit was the first of several too many straws for the economy.

Another manipulation was the promotion of banker’s acceptances. The Fed set the discount rate artificially low and pledged to buy any unsold acceptances that were offered. Banks came in as buyers, knowing they could sell to the Fed. This unstable scheme was the second straw.

By 1920, Congress was getting suspicious of the Fed’s actions, but the expansion of the money supply by this time was so great that there would have been a popular uproar had the money supply been contracted, so Congress could do nothing. The roaring twenties ensued.

The last straw was the war bonds issued for WWI, which the government did not pay off. They couldn’t, actually - and here a short lesson might be in order. The Fed creates money out of thin air and loans it to the US government at interest - that is the where the whole concept of bonds come from. Bonds are debt the US owes to the holders of the bonds. The treasury receives the amount from the Fed and prints the Federal Reserve Notes (i.e. US dollars) and puts them into circulation. (This is why I am so amused when people think we can pay off the US debt. We can’t. If we did, US dollars would disappear into the void from which they sprang. And since all of the US dollars are created as debt, where do the interest payments come from? They don’t exist! - but that’s another letter.) By making it possible to borrow American dollars at one rate and invest them elsewhere at a higher rate, the Fed was deliberately moving money out of the US, with the gold reserves following. This was the contraction of the money supply that Congress had wished to avoid. Also, by the end of WWI, Congress had figured out they could use the Fed to obtain revenue without raising taxes, so the number of treasury bonds increased dramatically.

Now, the consequences of purchasing treasury bonds and other securities is that they end up in commercial banks and are used to expand bank credit. In 1910, consumer credit was only 10% of the nation’s retail sales - by 1929 credit transactions were 50%. The artificially low interest rates set by the Fed to push the acceptances fueled this trend.

Also from 1920 to 1929 there were three separate major business cycles, and several minor ones. In 1926, the Florida land boom collapsed. Real estate investment plummeted and stock investment soared. In 1928, the Fed, alarmed, tried to pull the plug by shifting their reserves to Time Deposits. In August 1929, the Fed decided to completely reverse its expansionist policy by selling Treasury Bonds on the open market and raising interest rates. The money supply contracted violently, and the bubble burst.

Unfortunately, Banks themselves had become great speculators in the market by this time, confident that "the permanently high plateau" had been reached. Previously, on February 6th 1929, the Federal Reserve issued a statement to its member banks that they should liquidate their holdings in the stock market. Analysis showed the likely result of the Fed’s policies, but many big banks did not listen and almost no smaller ones did.

So when August 1929 rolled around and the selling of Treasury Bonds began, most banks were unprepared, and the man-on-the-street had never had any clue at all. The crash wiped out banks and fortunes across the country.

Had the Fed reacted by easing the money crunch at this point, the Great Depression would never have occurred. Everything else that happened subsequently could have been avoided if the Federal Reserve had acted properly and loosened credit. Instead, it did just the opposite of these things, and millions of hapless loan holders lost everything as commercial banks, desperate for cash, called in loans on anything and everything all over the country. The years it took for these small businesses and families to pull themselves up by their bootstraps and start all over again were the Great Depression. There was no money available for them, and no means of obtaining loans. The Fed caused this - not trade. Instead of doing the right things, the Fed launched a series of "banking reforms" designed to force every bank to become a member and further entrench its control over the money supply. The government, seeing tax revenues disappear, forced more companies and families into bankruptcy through taxes and regulatory agencies. Unemployment began to spread, and the Great Depression didn’t end until WWII came along to put people back to work, expand credit, and infuse cash into the economy (through government deficit spending) - the very things the Fed should have done in the first place.

This is the true story of the Great Depression. This information is available to any objective researcher in any public library. As previously mentioned, in the Fordney-McCumber Tariff Act of 1922 customs levels were increased to the highest levels in US history, yet this helped lead to the economic success of the Roaring Twenties. The Smoot-Hawley Tariff Act of 1930 did not and could not have caused the Great Depression. It played no part whatsoever in the credit crunch and scarcity of money that were the true factors.

[groanup]

"because once you become part of the tight inner circle, you are protected from any of this stuff. that's what it means to be one of the "elites". You're fine, your kids get into the top schools and get top jobs because of "connections". This is the very definition of privilege. The rest of us are left to compete against the Vietnamese earning $1 per day, or perhaps working at gunpoint for nothing."

You should go to another forum. DU Underground comes to mind.

[Dane]

The Smoot-Hawley Tariff Act of 1930 did not and could not have caused the Great Depression. It played no part whatsoever in the credit crunch and scarcity of money that were the true factors

Where did I say that the Smoot-Hawley tariffs "caused" the depression.

I said that they "worsened" the depression by starting trade wars around the war.

Your long article in reply #72 doesn't say one wit about the effects of Smoot-Hawley in the 30's.

[JRandomFreeper]

If you don't mind, could you tell us how you plan to do this?

That would make you a competitor. ;>)

/john

[oceanview]

cut the nonsense, if you don't believe that those statements you quoted are true, you are not living in the real world. We are trying to save Bush from getting whipped by asking these issues be addressed. Take a look at some polls, and recall what happened to his father.

[RaceBannon]

There is a huge difference between an economic cycle of buying/recession and government policies allowing/supporting the exfiltration of manufacturing overseas; the failure ofprotectionist tariffs against communist/Fascistic government run companies that work for slave wages.

"But, in general, the protective system of our day is conservative, while the free trade system is

destructive. It breaks up old nationalities and pushes the antagonism of the proletariat and the

bourgeoisie to the extreme point. In a word, the free trade system hastens the social revolution. It

is in this revolutionary sense alone, gentlemen, that I vote in favor of free trade." ~ Karl Marx, On

the Question of Free Trade, January 9, 1848
http://www.marxists.org/archive/marx/works/1848/01/09ft.htm#marx


"Communists and socialists feel sure that setting up international “free” trade systems which

impose regulations chuck full of intrigues, redistribution plans, arbitrary law, and interdependence

schemes, will win out against the conservative interests of every free nation. What could be better

than to use “free” trade to reverse the advantage of the relatively free, moral, prosperous, and

strong nations of the Earth, so that the tyrannical, amoral, poor, and weak nations of the socialist

bloc might get the upper hand? What could be a more cunning approach than to market the idea

that those who oppose “free” trade are enemies of freedom?"
http://www.newsmax.com/commentarchive.shtml?a=2000/6/27/105655

http://www.freerepublic.com/focus/news/957315/posts

http://www.freerepublic.com/focus/news/957315/posts

http://www.freerepublic.com/focus/f-news/956435/posts

http://www.freerepublic.com/focus/f-news/956924/posts

http://www.freerepublic.com/focus/f-chat/956820/posts

http://www.freerepublic.com/focus/f-news/955929/posts

http://www.freerepublic.com/focus/f-news/956686/posts

http://www.freerepublic.com/focus/f-news/956628/posts

http://www.freerepublic.com/focus/f-news/956517/posts

http://www.freerepublic.com/focus/f-news/955929/posts

http://www.freerepublic.com/focus/news/954156/posts

http://www.freerepublic.com/focus/f-news/956435/posts

http://www.freerepublic.com/focus/f-news/956461/posts

http://www.freerepublic.com/focus/news/957331/posts

http://www.freerepublic.com/focus/f-news/957635/posts

[Dane]

Take a look at some polls, and recall what happened to his father

Actually, what happened was a deal between Clinton and Perot. When Perot dropped out the first time Bush actually gained the lead in the polls and then Perot jumped back in and Clinton got his 43% to win.

Also I see some parroting the Carvillian lie of "the worst economy" of the last 50 years, which was a lie since it was Carter's economy that was the worst in the last 50 years, but 04 and 92 maybe not comparable, becuase I think Bush will hammer the defense issue.

[ARCADIA]

You should go to another forum. DU Underground comes to mind.

That thought has been expressed on a number of threads lately. Just think what will happen when he and many millions like him do finally go over to the DU. You are supposed to win people over, not chase them away.

[RLK]

Motorola is about half way through building a $10,000,000,000 semiconductor fabrication and design facility built at Chinese costs with Chinese donated land, labor, and materials. Chinese engineers will be trained by Motorola to do the semiconductor design work. What we call the spec protocols alone for the semiconductors are worth billions and represent 50 years of accumulated work. When it's over, the facility will be owned in practicality by the People's Republic of China.

Is anyone going to donate land and labor to me to start a business. Is Motorola going to train me? Is anyone going to furnish equipment to me? There's no way I can compete with that.