The Only Way to Turn US Economy Around

Quote from traderharley:

Hi Covertiblity, my point is to encourage the employer who bring jobs to US, create jobs locally, and punish the companies who make profit from cheap labor by exporting jobs oversea.
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Very simply, any U.S. registered corporation that assembles goods overseas for sale back in the U.S. should be taxed on those products to the extent that it will encourage them to assemble here in the U.S.

The U.S. congress has the power, but not the will, to make this happen.

But...corporate dollars speak much louder than the votes of citizens who don't get it, and would rather spend their time posting photos to Facebook and playing FarmVille.
 
The only way to turn it around is to remove the blood sucking central bank and let private enterprise fill the void.

The free market works like a charm if you will just let it alone. Keep the meddling central bank out of the market, they distort prices.
 
The only way to turn around US economy is Job, Job, and Job.
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99% of people in the US, do not understand that we are not "Turning Around" the US ECONOMY. 14 weeks of over 400 plus job loss in the numbers during a "Recovery"?

If you look at the numbers 9.9% unemployment (real numbers in the 14% leaving 86% still working), leaving 90.10% of people still working.

Companies are doing better in "Margins" with less workers. Productivity has increased.

This is the NEW ECONOMY FOR THE US PEOPLE. GET USE TO IT.

14 Trillion is not going to be balanced, ever. Washington will not cut to the bone as they should. Politicians are not interested in anything but re-election, once they are elected. PERIOD!

The standard of Living for many will fall below the Carter Years for decades to come. Inflation is running near 10% in real numbers and it will continue to increase over time.

Taxation is out of control on all levels and the American People do not have the Balls to throw another TEA PARTY, like the first one in the Boston Harbor.

Spending is outa control and the American People do not have the balls to march on DC and take over the capital.

More "EXECUTIVE ORDERS" , in order to by passed the CONGRESS, have been passed in DC and the AMERICAN PEOPLE Stand by in a dead man's stare. Many of the orders passed are preparing for "GREEK LIKE UNREST". DC understands where this is going, the AMERICAN PEOPLE ARE WEAK.

QE3 has started with the 1 year assistance for those in Underwater Mortgages. The Government just started the program last month. Now the FED is throwing around QE3 Bond Buying Ideas. There will be a QE4, QE5, etc.

US DEBT WILL BE DOWN GRADED. This will not be the end of the world. RUSSIA was in 99 and other countries have been downgraded since then and there economies are still producing. Some recovery slightly, others do not.

From my experience in Global Private Equity, nobody is really waiting for the shoe to drop in America at this point. They see the smoke an mirrors. They know that the FED, DC, The economy is full of shit. They are looking for bargains to buy up natural resources, infrastructure and looking at profitable companies that are fairing well in the Depression. They are staying away from US Bonds however. Hence the "FED" bond buying machine.

This is the new game folks. The economy has been in a "Depression" since 07. 4 Years and running, with no end in sight right now. Either learn to Profit and make money in these times, or end up living off the government.

Nothing will change until the PEOPLE stand up and tear down the corrupt system we have and take this country back to the core principles of Democracy and Capitalism.

The monkeys will spout out all day on ET, on the Media, in the coffee shops, etc. But things will not change.
 
actually they did...

there was no income tax.. it would have been considered a theft of property in my opinion.

the big question back then was progressive property taxes.
plus remember the landed voted. so you did not have a bunch of democrats without jobs voting for handouts instead of going to work.

finally the industrial revolution economy of the north was protected by tariffs. which considering we have natural resources made a lot of sense then and would make a lot of sense now..

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so.... if we were to go back to founders...

we would have no income tax --- creating demand and businesses.

we could have tarriffs creating income on scaled in selectively over time.

perhaps we would need a small national sales tax.

we would not have free handouts out people voting for free handouts. Naturally free handouts would be scaled back and more people go to work creating a virtuous cycle.
 
Quote from traderharley:

......2. Any high-end jobs need to come back to US. We need to dramatically increase duty on computers, iPhone, network equipment, and so on imported from China or whatever countries, Intel, Dell, HP, Apple, ....
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This <b>will not in any uncertain terms bring jobs back.</b> That is not what the effect would be and as predicted in economics would decrease the possibility of jobs coming back or imposing tarrifs on these devices. Nearly all of the technological advances we'll get in the next twenty years will be due to American innovation, not forced taxation. If these jobs were needed in the US, I think you are misinterpreting whether the jobs that relate to high-tech computer manufacturing are served best in the US when this isn't the case. It's designed here and property of US corporations, but it may be built elsewhere because the marginal revenue product of labor is so low. The MRPL of the designer of these products is much higher, so taxation on the manufacturing of these electronics won't bring jobs back, and, obviously, this is a negative maybe for a factory worker but not for the corporation making the product.
 
Reality is we are a war machine. Instead of destroying foreign nations and paying for their reonstruction how about goold old fashion conquer, pillage their wealth and natural resoures and tax their citizens.
 
We need manufacturing and factories to come back to America. Not to mention the auxilliary industries in the supply chain which were tied to manufacturing now gone as evidenced by all those "for lease" signs you see while driving around formerly industrial areas. In 5 to 10 years, when the average Chinese wage finally approaches the U.S. minimum wage it will no longer be marginally profitable for the U.S. multi national corps. to ship those jobs overseas. Then if the U.S. has a resurgent manufacturing and distribution base, we could then sell goods to the new and giant consuming middle class of China. However, if efforts are not made to encourage manufacturing back to the U.S. it will go to other developing countries like those in South America. There will probably need to be some union reform also. Manufacturing workers can't expect to be paid $20 to nut a bolt anymore but rather what the market will bear..
 
Quote from PocketChange:

Reality is we are a war machine. Instead of destroying foreign nations and paying for their reonstruction how about goold old fashion conquer, pillage their wealth and natural resoures and tax their citizens.
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In that vein, maybe Bush and oil companies should have funded the war to conquer("liberate") Mexico and Cuba instead of costly hard to maintain wars in the Middle East. The drug trafficking problem could be quashed, Mexicans would be Americans like they wanted to be , and the U.S. could steal the Mexican oil which is currently exclusively sold to China , but not to the U.S. Cuba, pfft. Just take over it already and turn it into a tourist themepark island like SE Las Vegas complete with Intl. Airport and massive casino hotels like in Macao and Vegas.
 
I'll mention one situation from back in the day when I was in the hardware business. We used to sell hardware cloth. This is a steel mesh, 1/4 x 1/4 or 1/8 x 1/8 and 1/2 x 1/2 mesh. This came in various widths by 100 ft rolls.

One day we get a buyers bulletin for a special buy on 1/2 x 1/2 x 100 ft rolls (everyone's best seller). Made in China and about 75% off the reg wholesale price.

The story was, Brazil was planting apple trees (this was used around the base of the tree to prevent animals from eating the tree or bark) and ordered rolls and rolls of the stuff from China. We got the left over mfg runs.

Well everybody ordered it and made some extra profit, but it screwed up our inventory to meet drop ship wieght requirements from the american mfg we bought from normally. So we pretty much cut back re order other sizes from the mfg.

This put the american company in a bind. My guess is the American cos just decided to outsource the rest of the product line to China and sell it under their name in the US.

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This scenario played out over and over, with plumbing valves, the best sellers, then fittings. Same thing happened with electrical outlets. Chinese products offered the retailer to make some pretty good margins on the best sellers.

Then again, this put the American mfgs in a dilema. 20 years ago America couldn't compete with Chinese labor costs, etc.

Maybe it isn't even all labor costs. What are land costs, infrastructure, transportation costs in the US vs China or anywhere for that matter?

If it takes ten years to site a land use, epa, zoning requirements, that is capital tied up earning nothing. Why bother.
 
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