Focusing on US Sourced Supply Chain!

[BMWTurboDzl]

Friedman was ferocious regarding profiteers. Any business executives who pursued a goal other than making money were, he said, “unwitting puppets of the intellectual forces that have been undermining the basis of a free society these past decades.” They were guilty of “analytical looseness and lack of rigor.” They had even turned themselves into “unelected government officials” who were illegally taxing employers and customers.

Hence we have today's economy. If you like it, thank the "supply siders". If you don't, thank the "supply siders".
The flaw in Friedman's pro-profits and anti-taxation economic theory was governments would grow deficits, which he was against.
Remember, "deficits don't matter!"

Anyone who thinks we have followed Milton Friedman's economic theories is sadly mistaken.

The last time the US had a free market was...well...never. I always find it ironic when people look fondly at the US economy post WW2 as some sort of golden era. They conveniently ignore that fact that outside the US the industrial capacity of the world was in shambles and the global financial system was set up to revolve around the USD. Global competition is difficult and everyone hates competition.

 

[K.Aoi]

The last time the US had a free market was...well...never. I always find it ironic when people look fondly at the US economy post WW2 as some sort of golden era. They conveniently ignore that fact that outside the US the industrial capacity of the world was in shambles and the global financial system was set up to revolve around the USD. Global competition is difficult and everyone hates competition.

Yep, and the only reason the US industrial base wasn't bombed to smithereens too was simply because of distance.

 

[edyvw]

I highly doubt we will resolve supply chain problems, and there are numerous.
1. Supplier countries like China still have stringent COVID-19 restrictions and that influences supply chain a lot.
2. Many manufacturers do not want to bring production to full capacity as there are a lot of unknowns regarding COVID-19 restrictions around the world (for example oil refineries).
3. People have money. They spend less on some stuff, but spend more on household items.
4. There is fundamental shift in economy bcs. COVID. More people work from home, spend less on gas or eating out, but spend more on some other things. Also, a lot of people is on the move. They are moving from certain places to some other parts of the country bcs. they work from home etc. Here in CO it is invasion from NY, IL, TX, CA etc. And mostly those are people who have really good jobs, which hikes up real estate market.
5. Then there is workers shortage bcs. people have other jobs, or really big problem, childcare! My employer has huge problem with that bcs. people are not sure what tomorrow brings when it comes to school or daycare. COVID outbreak in my kids school tooke them out of school 20 days last month. Luckily we both work from home, but even though I am pretty much on my own schedule, I could not do anything as wife has set time when she has to work, so I had to take care of kids. Many people decide that one is just going to take care of kids, while other one works.
etc, etc, etc.

As for Milton&Co, problem with it is that Milton Friedman argued what most academics do: policy that is in the vacuum, forgetting politics. Everyone loves capitalism as long as it serves them, and everyone loves socialism as long as it serves them. Yesterday Congress approved DoD budget that is $28 billion higher than what President asked for. Why? Bcs. DoD budget props local economy, and no one complains about that. It is socialism 101. But, everyone loves it.

 

[K.Aoi]

I highly doubt we will resolve supply chain problems, and there are numerous.
1. Supplier countries like China still have stringent COVID-19 restrictions and that influences supply chain a lot.
2. Many manufacturers do not want to bring production to full capacity as there are a lot of unknowns regarding COVID-19 restrictions around the world (for example oil refineries).
3. People have money. They spend less on some stuff, but spend more on household items.
4. There is fundamental shift in economy bcs. COVID. More people work from home, spend less on gas or eating out, but spend more on some other things. Also, a lot of people is on the move. They are moving from certain places to some other parts of the country bcs. they work from home etc. Here in CO it is invasion from NY, IL, TX, CA etc. And mostly those are people who have really good jobs, which hikes up real estate market.
5. Then there is workers shortage bcs. people have other jobs, or really big problem, childcare! My employer has huge problem with that bcs. people are not sure what tomorrow brings when it comes to school or daycare. COVID outbreak in my kids school tooke them out of school 20 days last month. Luckily we both work from home, but even though I am pretty much on my own schedule, I could not do anything as wife has set time when she has to work, so I had to take care of kids. Many people decide that one is just going to take care of kids, while other one works.
etc, etc, etc.

As for Milton&Co, problem with it is that Milton Friedman argued what most academics do: policy that is in the vacuum, forgetting politics. Everyone loves capitalism as long as it serves them, and everyone loves socialism as long as it serves them. Yesterday Congress approved DoD budget that is $28 billion higher than what President asked for. Why? Bcs. DoD budget props local economy, and no one complains about that. It is socialism 101. But, everyone loves it.

And yet nobody ever asks "how will we pay for it" with regard to the DoD budget. Disgusting. This is the same reason that the SLS still exists, because the senator from Alabama needs jobs for his Huntsville constituents, even though its years behind schedule and tens of billions over budget.

 

[Badgerstate]

The only problem with focusing on US suppliers is that not only is it anti-capitalist and goes against everything that a free market is supposed to stand for its just not realistic anymore.
As a country, we just arent equipped or built to make everything here anymore. To make everything here who require us as a country to either accept much lower wages and benefits or to accept much higher prices.
Sorry, folks but its not the 1950s anymore. Making everything here just isnt realistic.

 

[PimTac]

Something I heard the other day.


This is the land of opportunity, not the land of guarantee. People are confusing the two.

 

[K.Aoi]

Something I heard the other day.


This is the land of opportunity, not the land of guarantee. People are confusing the two.

Land of opportunity doesn't mean it also has to be land of many people who, largely through no fault of their own, live in extreme poverty and children starving. It's amazingly both possible to have people who are successful while also protecting those less fortunate. There is a reason that countries like Norway and Denmark have the highest happiness levels in the world.

 

[PimTac]

Land of opportunity doesn't mean it also has to be land of many people who, largely through no fault of their own, live in extreme poverty and children starving. It's amazingly both possible to have people who are successful while also protecting those less fortunate. There is a reason that countries like Norway and Denmark have the highest happiness levels in the world.

It takes effort.

Since you enjoy the thought of socialism I will stop here.