Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

The Myth Of Manufacturing’s Decline
Investors Business Daily ^ | JUNE 3, 2016 | Editorial

Posted on 06/05/2016 7:26:05 AM PDT by expat_panama

For the last two years, we’ve listened as presidential candidates promised repeatedly to “bring back manufacturing jobs.” But they really didn’t go anywhere. As the data show, manufacturing output is near its all-time high. Since 1980, factory output has grown 114%, while the number of factory jobs has shrunk by 36%, or nearly 7 million jobs total. It was technology and productivity, not China or any other nation, that “took” factory jobs.

(Excerpt) Read more at services.investors.com ...


TOPICS: Business/Economy; News/Current Events; Politics/Elections
KEYWORDS: economy; investing; manufacturing
Navigation: use the links below to view more comments.
first previous 1-20 ... 41-6061-8081-100 ... 121-140 next last
To: expat_panama

This article is complete bullshit


61 posted on 06/05/2016 9:40:02 AM PDT by Moleman
[ Post Reply | Private Reply | To 1 | View Replies]

To: bk1000

Sad but it isn’t going to change. We also import a LOT of the food we eat now. That worries me.


62 posted on 06/05/2016 9:41:49 AM PDT by ilovesarah2012
[ Post Reply | Private Reply | To 56 | View Replies]

To: dhs12345

We have just 1 shipyard with the capability to make 1 aircraft carrier every 5 years.....


63 posted on 06/05/2016 9:44:43 AM PDT by central_va (I won't be reconstructed and I do not give a damn.)
[ Post Reply | Private Reply | To 44 | View Replies]

To: Shanghai Dan
Integrated circuits. Airplanes. Cars. All areas where massive automation and robotics have greatly improved quality and productivity, and dramatically reduced the need for blue collar workers.

So WHERE is this automated factory located?

64 posted on 06/05/2016 9:46:51 AM PDT by central_va (I won't be reconstructed and I do not give a damn.)
[ Post Reply | Private Reply | To 55 | View Replies]

To: bk1000

Textiles are a poor indicator of labor in relation to manufactured goods. Most manufacturing is not that labor intensive. That is why Free Traitors™ always use it as an example. It is really an outlier and disingenuous to do that.


65 posted on 06/05/2016 9:49:36 AM PDT by central_va (I won't be reconstructed and I do not give a damn.)
[ Post Reply | Private Reply | To 56 | View Replies]

To: central_va; Shanghai Dan
So WHERE is this automated factory located?

As you know (or at least you've been told), we export over $2T in goods and services each year, so lots of them must be right here in the USA.

66 posted on 06/05/2016 9:51:50 AM PDT by semimojo
[ Post Reply | Private Reply | To 64 | View Replies]

To: Nachum

Hard to justify investing in steel making when your government has vowed to banish coal. But steel making is far less important than steel using. The companies that use steel and iron vastly exceed the employment levels of those making steel.


67 posted on 06/05/2016 9:54:09 AM PDT by FreedomNotSafety
[ Post Reply | Private Reply | To 3 | View Replies]

To: central_va
Dozens of them in silicon valley, making ICs. Hundreds throughout CA and TX and NY and WA doing high-volume machining. I use one in Simi Valley for quick-turn metal work for customized items; I'll order in the same 1000 piece quantities, but because my supplier is a 40 minute drive away, I can turn the product faster - and that is an important factor in total cash flow.

Are they huge, multi-block facilities? No! That's the thing with automation - the cost to make something has dropped so much, and the workforce needed has dropped dramatically, that a small 5000 square foot facility can do what used to need 10 times that amount of space. You don't need a labor force of 200 trained machinists; you need a dozen machine maintenance workers and a half- dozen engineers. Replace 200 blue collar workers with 12, and add half a dozen white collar guys. Done.

A single Haas CNC multi-turret machine (built 10 miles from me, right in Oxnard, California) can do the work of 50 machines of the 1970s. And all with a couple of people, rather than 90+. And in 100 square feet, versus the 3000 needed for those 50 lathes and mills of old.

The automated factories are increasingly smaller and distributed. With 3D printing (led by Stratasys, a Minnesota company that builds in Minnesota) changing the way things are done, including the use of such parts in production volume as the quality of the process continues to grow, that will further dilute and distribute manufacturing.

3D metal sintering. In another 3-4 years it will be cheaper for your company to buy a couple of such machines and just make parts yourself, rather than employing a centralized 3rd party manufacturer with a huge facility somewhere. Those thousands of jobs in a massive facility are being dispersed to hundreds of locations with a couple of workers at each location. Cutting employment dramatically, as well as actual plant size.

68 posted on 06/05/2016 9:59:47 AM PDT by Shanghai Dan
[ Post Reply | Private Reply | To 64 | View Replies]

To: semimojo; WRhine
>>>>Let's see, America is out of the TV business, radios, cell phones, Iphones, communication & network equipment, cameras, HDTV, PC components, consumer electronics across the board, clothing, furniture, home appliances, home furnishings, flashlights, shoes, lost over half our auto industry, more than half our steel and aluminum industry, much of our tool and die industry. Just to name a few lost industries.

I would say most of the high tech factories are in Asia and elsewhere....

69 posted on 06/05/2016 10:00:30 AM PDT by central_va (I won't be reconstructed and I do not give a damn.)
[ Post Reply | Private Reply | To 66 | View Replies]

To: InterceptPoint

Yep. The plow was the worse thing to happen to employment.


70 posted on 06/05/2016 10:03:25 AM PDT by FreedomNotSafety
[ Post Reply | Private Reply | To 22 | View Replies]

To: Shanghai Dan
Nobody here is a luddite. We are OK with automation. Just automate American factories, or repatriate them from Asia and automate them here. Even better.

A 20% tariff would repatriate manufacturing, balance the budget and reduce the trade deficit. Win-Win.

71 posted on 06/05/2016 10:03:54 AM PDT by central_va (I won't be reconstructed and I do not give a damn.)
[ Post Reply | Private Reply | To 68 | View Replies]

To: Shanghai Dan

So why are we bringing in 1.1 million legal permanent immigrants a year, mostly low-skilled, and 640,000 guest workers annually while we have the lowest labor participation rates in 38 years?


72 posted on 06/05/2016 10:04:08 AM PDT by kabar
[ Post Reply | Private Reply | To 55 | View Replies]

To: FreedomNotSafety

Calling those against offshoring Luddites is stupid and really shows that your lack of intellectual capacity. Simplistic thinking is not going to solve out nations problems.


73 posted on 06/05/2016 10:09:01 AM PDT by central_va (I won't be reconstructed and I do not give a damn.)
[ Post Reply | Private Reply | To 70 | View Replies]

To: InterceptPoint

>That improvement in efficiency has historically reduced manufacturing employment. It is the primary cause of the reductions in manufacturing employment. The same thing has happen in the agricultural industries. And whatever happened to all those blacksmiths and shoe repair guys?

Where’s our steel plants? If we don’t make steel we will forever be at the mercy of those who do.


74 posted on 06/05/2016 10:10:27 AM PDT by RedWulf (End Free trade.)
[ Post Reply | Private Reply | To 22 | View Replies]

To: central_va

I never said anyone was a Luddite!

As we automate factories, understand you’ll have dramatically dropping levels of employment. I want more manufacturing here - but given automation and computing power, I also expect to see those blue-collar manufacturing jobs fall by 90% for the same output.

Expecting our manufacturing employment to ever reach that of the 60s and early 70s is a flight of fancy. I’ve seen factories in Germany, California, Japan, and China where a dozen men at desks sit and watch hundreds of machines operate and produce what used to take a thousand workers to do.

Computing power is changing the face of manufacturing.


75 posted on 06/05/2016 10:12:09 AM PDT by Shanghai Dan
[ Post Reply | Private Reply | To 71 | View Replies]

To: dennisw; kabar
So what are we manufacturing?

Commies, in our high schools, colleges, and legislative bodies, of course. It seems to be the thing we're best at lately.

76 posted on 06/05/2016 10:14:09 AM PDT by Hardastarboard (Better Call Saul (Alinsky). "Make them live by their own rules")
[ Post Reply | Private Reply | To 6 | View Replies]

To: kabar

We are manufacturing Chromatographs and spectrometers. Titanium ingots and tubing. Water heaters and hermetic refrigerant compressors, poltruded fiberglass reinforced grids, a vast array of chemicals, various valves and the automatic equipment to open and close them. Wireless stuff of all kinds to monitor and understand all sorts of manufacturing equipment and processes. highly engineered large transformers and pipe supports. Glass of many kinds.

Just my personal knowledge and association to name a few


77 posted on 06/05/2016 10:18:29 AM PDT by bert ((K.E.; N.P.; GOPc;+12, 73, ....Opabinia can teach us a lot)
[ Post Reply | Private Reply | To 2 | View Replies]

To: Shanghai Dan

Excellent example. That machine requires capital investment. But many of the fascist traders beleive governemt taxes, regulations, and policies do not matter. They also beleive that empowering the US government to further tax and regulate us is the key to prosperity.

My favorite example is steel making and coal. We have now slapped heavy tariffs on imported steel. That’s great for steel makers but what about steel fabricators? This was done to protect an industry that is literally fueled by a resource that is be made illegal in this country. Coal is required for steel making and the Dems have promised to regulate it out of exsistence. But on this forum China is the problem not the US government.


78 posted on 06/05/2016 10:19:11 AM PDT by FreedomNotSafety
[ Post Reply | Private Reply | To 55 | View Replies]

To: kabar

I question those numbers. I know that my wife counts in that number, as she just got her permanent green card. But she’s not low-skilled nor a guest worker (and we actually support several jobs here locally in SoCal, directly - not to mention enabling dozens elsewhere in our customers). And my experience is that most of those permanent immigrants are either mid-level themselves or sponsored in by people who can prove they can afford to sponsor them in (yes, I had to go through a background check AND income/wealth verification to show I could support her for 10 years - which is the requirement to sponsor in someone for a green card).

The problem IMHO is that a big part of US culture (specifically amongst minorities) began rejecting the concept of education and bettering yourself at the same time that you have to educate and better yourself to work in the new economy.

How many gang-bangers had ever considered they could be a programmer or engineer or skilled tech, just like the few of their peers who did forge ahead of that? How many decided on an “easy life” of being a sports star rather than the guy who designs the electronic lens system on the camera recording those sports stars?

In order to work with the automated systems, you need to be educated to at least a minimal level. Reading, writing, basic logic - all required to be able to run an entry-level CNC system. Without that, you’re screwed.

We need to change the culture first - and my suggestion would be to cut off all benefits for those who refuse to better themselves. Yes, painful. Yes, probably riots. But it’s going to take a massive change in culture first to make any domestic gains in blue collar employment.

I’m 100% OK with bringing in immigrants as long as they are skilled and the best and the brightest. We should actually encourage that! Why not drain the rest of the world of their talent and establish the US as the place for any advanced technology design and creation?

Personally, I’d rather work alongside an educated, intelligent immigrant who WANTS to be here, who WANTS to better his life and that of his family than a typical early 20s slacker who is content with floating through life on the Government dole. Give me a dozen Kedarnaths from Mumbai, here to work hard and better their lives than a hundred Jacquans who are fine taking welfare and bitching about “the man”.

The dozen from India will make America a LOT stronger and better for all than the hundred slackers we already have.


79 posted on 06/05/2016 10:22:10 AM PDT by Shanghai Dan
[ Post Reply | Private Reply | To 72 | View Replies]

To: kabar

As you drive through Alabama and Mississippi you see sparkling clean automobile factories of Mercedes and Hyundai.In Tennessee, there is Volkswagen and Nissan. In South Carolina, BMW and again Mercedes. In Texas they make Toyota trucks.

All these facilities require plants that manufacture the actual parts used in the assembly


80 posted on 06/05/2016 10:23:34 AM PDT by bert ((K.E.; N.P.; GOPc;+12, 73, ....Opabinia can teach us a lot)
[ Post Reply | Private Reply | To 2 | View Replies]


Navigation: use the links below to view more comments.
first previous 1-20 ... 41-6061-8081-100 ... 121-140 next last

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson