Originally Posted By: Trav
Originally Posted By: javacontour
Blocking imports, either by the US, China or Japan just hurts the nation blocking the imports when done on the basis of not allowing foreign competitors.
We have all the free trade you are talking about and look where we are.
Something isn't right, the county is in the toilet waiting to be flushed! Tax Chinese made goods regardless of the companies origin 3000% make that $8 ratchet cost $99 and lets see how many they sell.
Exactly.
Something has to give in this search for the lowest common denominator and it would appear as though the living and working conditions, both financially and environmentally in North America are what are stopping us from competing with China, so they need to go right?
China's competitive advantage is in EVERY market for EVERY product. They don't respect Intellectual Property rights, the environment or value the lives of their citizens. They will do everything they can to bury their competition. THIS is what we are competing against. Billions of slave-wage citizens working for a government-run machine who's goal is to destroy their competition.
To somehow think that this is going to "sort itself out" is a complete and utter fallacy. To compete with China means that we must BE like China. I'm pretty sure I speak for every North American citizen when I say that is NOT the lifestyle I desire!
Think about it for a second. If no particular country is inherently more capable than another, then it comes down to money.... It always comes down to money. If China can produce the same quality of goods as an American company, what is the incentive to pay more for the American product? Patriotism? That hasn't seemed to work all that well in practice.
Producing things in a first-world nation costs more money. But so does living the way that we are accustomed to live. So yes, we can compete with China. We can lower our wages, drop our environmental standards and turn ourselves into a 3rd-world sweatshop so that a product stamped "USA" can be sold at the same price and make the same profit as one made in China. Because then the incentive to out-source goes away.
Is that REALLY what we want? I don't think any of us do. Then the solution seems to be not buying Chinese goods. But our fellow citizens don't appear to believe in doing that either because they want the most junk for the least amount of money. It is a fundamentally flawed thought process. You cannot sustain the standard of living we are accustomed to in the USA and Canada by shopping entirely on price. It doesn't work. The quality products flounder in the market whilst the cheap imported [censored] flies off the shelf. And then the American plant closes and everybody [censored] and whines about how evil they were and how their business model was flawed and blah blah blah. No, they failed because people stopped buying their stuff! Because the North American consumer doesn't care about COO. They SAY they do. But when it comes down to talking with their wallet, they buy the cheap imported POS, arguing that they can't "afford" the slightly more expensive item.... While typing on their brand-new $500.00 phone and sipping their Starbucks. Yeah.... I believe that.
So if consumers aren't going to police themselves, what ARE the options? What can be done to bring manufacturing home, to make Americans buy first-world goods? I say first-world because on items coming from Canada, the USA, Germany, Japan...etc. The cost to produce those items is very similar. This means that the consumer shops on the quality of the goods, rather than the PRICE of the goods. It comes down to the BEST product winning, not the CHEAPEST product.
I don't know if it is tariffs or some other form of regulation, but SOMETHING needs to be done to stop the $8.00 ratchets. To stop the $10.00 whitebox car parts. To stop the $20.00 wheel bearings. To stop the infestation of our market with this junk because people won't stop themselves from buying it. They see the price and Timken be [censored], they are buying the Chinese bearing. So something needs to be done to make the Chinese bearing cost the same as the US bearing, as the German bearing, as the Austrian, Turkish or Canadian bearing. Then, if it sells, it will be because it is good quality, not because it is priced at a fraction of the other competing products.
And to those who will argue that the market will sort itself out. So far, the results of that process are a 16 TRILLION dollar deficit growing at a rate of more than a trillion a year, soaring unemployment and golden parachutes for all of the execs. If that's success, I'd like to know what drugs have inspired that train of thought.