Ohio unemployment rate declines

Dummy wrote:

<quoted text>
If exports were thriving, we wouldn't be closing in on a trillion dollar trade deficit.
And as far as exports, the only reason they seem to be booming right now is because our money is becoming more worthless. And that includes you and me both, regardless of what we're making.
George, you're a lot of fun. But your math is horrible. Then again, maybe that's why you're so much fun?

My aptly named friend, most of the trade deficit is for oil. The US has had a trade deficit for most of its history. It has really hurt, huh? Look up mercantilism, that is what you are advocating. It is a discredited theory. As far as exports that "seem" to be booming here, I see the goods being shipped. This county has fewer people than Summit, yet is exporting 2 BILLION dollars worth of automobiles, another billion in power generating equipment, just for starters. China is making money selling goods that people will voluntarily pay for. I suppose they should turn the decision of how to spend the money THEY earned over to you or a pandering politician that would make that decision for them. Don't blame Akron's self-inflicted troubles on free trade.

George N wrote:

<quoted text>
My aptly named friend,

That was the best one you've had, and I gave it to you. Think of it as a golf handicap. You're welcome :-)

George N wrote:

<quoted text>most of the trade deficit is for oil.

Wrong. But maybe you think we're importing oil from china, japan and the EU. If so, then I could understand why you would think that.

George N wrote:

<quoted text>
The US has had a trade deficit for most of its history. It has really hurt, huh?

It has never been this lopsided and you know it. Especially with a third of it going to a military adversary, this amount of debt, and per capita income. When Greenspan and high level military personnel, et el say they're concerned, I'll listen. When George from SC says it's all good, I'll take it for what it's worth.

George N wrote:

<quoted text>
Look up mercantilism, that is what you are advocating. It is a discredited theory.

What I advocate is bringing developing countries up to our level rather than meeting them half way down to theirs. You're controlling a transition, not commercial entities. But call it whatever you like.

George N wrote:

<quoted text>
As far as exports that "seem" to be booming here, I see the goods being shipped. This county has fewer people than Summit, yet is exporting 2 BILLION dollars worth of automobiles, another billion in power generating equipment, just for starters.

So it's getting cheaper to make stuff here than the EU. Essentially, you're getting all excited about a side effect from our money being worth less. When I read the headlines, I see that exports are um, "booming" in Ohio too. But some of us choose to ignore the biggest reason, which is plainly stated in each and every story. Just think how cheap it would have been to build cars in Russia in 1990, for that very same reason. Those ruskies would have been happy little campers. That is, until they left "their own little world" for vacation, only to find out their suitcase full of rubles couldn't get them two miles past the border.

You know, if all I cared about was myself and today, I'd have the same outlook as you ;-) But, the national wage failing to keep pace with the cost of living; the national debt/spending outpacing projected income; the multi-trillion dollar social security disaster on the horizon - affects us all, no matter how rosy it looks today.

The most you can really say is that we're playing musical chairs with geographic and class wealth. But what are we gaining? Take a look at the overall. The first thing you see coming is a huge tax increase, and that's the easy part. I say, hold on to your shirt. Maybe you have some facts to prove otherwise.

If we import 11 million bbl. of oil daily @$120 bbl.that is 1.3 Billion a day, or about 480 billion a year. That is the major contributor to the trade deficit.

Lets examine the real cause of the decline in manufacturing employment:

Since 1959, the economy is 4.5 times bigger as measured by real GDP. But
manufacturing output is 4.7 times bigger over the same time period. America
produces 4.7 times more stuff today than in 1959 with FEWER manufacturing
workers
- Increased productivity (better educated workers working with more sophisticated
machinery) is the dominant cause of the reduction in manufacturing employment.

The U.S. has exported more dollars worth of food than it has imported, a trade
surplus in food, every year since 1963.
- If you argue that deficits cause job loss, you have to argue that a surplus should create
jobs. But there are fewer than half the number of workers in the agricultural sector than
there were in 1963, despite increases in population and increases in labor force
participation that have doubled the overall labor force.
- The decline in the importance of agriculture as a source of employment is caused by
the same thing reducing manufacturing employment: productivity. We don’t need as
many people to produce a particular quantity of food.
- Trade surpluses don’t create jobs. Deficits don’t destroy jobs.

here is a little thinking excercise: Instead of just "cheap" goods from China, suppose they made a gift of $2,000 worth of goods to every American, clothing, shoes, TVs, whatever. We would be that much richer. We could now spend that 2 grand on other things, and the jobs lost to the free goods would be replaced by the new industries that extra money would give rise to.

Yes imports have surged over the last 50 years. The trade deficit has ballooned over the last 30 years. Yet employment has grown steadily. Banning imports would eliminate the trade deficit. The number of jobs in America wouldn’t change—we’d just find ourselves failing to make those things as cheaply here.

My best example. My daughter is an executive at an apparel company in San Diego. All of their manufacturing is done in China. However, she has over 100 people reporting to her that design, market, and distribute those goods. Those people make much more than they would in the manufacture of those goods. We are good at the brainpower portion of this industry. The Chinese have an advantage in the labor end. My daughter and her subordinates are not lamenting the fact that they don't get to sit in front of those sewing machines. The sooner we realize that this is the future of our economy, the less we will worry about non-issues like a trade deficit.

What is so bad about us getting goods, and foreigners getting pieces of paper?