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Ljink96 on 25 May 2016
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SamuelRSmith said:
Ljink96 said:

Are you insane!!! It is because American companies finding cheaper employment for their own financial gains that we've been in this crisis for so long (1). You can't expect that to benefit all americans, it only benefits a small few. It's pure economics. You take jobs away from people to make a quick buck and leave others without employment, the middle class. If the middle class americans aren't working then america is screwed (2). The poor don't account for income and the rich are too greedy and avoid taxes (3). It's a recipie for freaking disaster. What made the US an economic powerhouse was the automotive industry that boomed after WWII. Where things were made in America and Americans bought our own products. What's happening is, people are becoming greedy, American Greed, and finding ways to make cars cheaper overseas and thus taking money out of the US circulation (4).

You can't expect something to stand strong if you're putting in little and always expecting a lot. That principle only works for so long. Read up on economics and what really happened to put America into its current sorry state. Useless wars inside and out and greed: Carrier for example, are what put America where we are now. We're trillions in debt, our petrodollar is dying, and we're told everything is okay and it really isn't. Not wanting to pay Americans to do work just because you can find a place where you can get labor done cheaper sounds good to a business but to a country that used to rely on that income to remain an economic powerhouse...it sounds like bullshit. And it is.

1) There are several "crises" going on right now, so I'm not sure which one you're referring to. The predominant one of the era is the general economic stagnation since the 2008 collapse, so I'm going to assume that.  That crisis had nothing to do with outsourcing to cheaper countries.

4) You tell me to read economics, and then show no understanding of how foreign trade works. When an American buys a car from Japan, Americans buy in USD, and Japanese sell in JPY. At some point, a person (usually a bank or fx dealer) will buy JPY for that American, and sell that American's USD. The only way that the dealer can do that is if they find somebody else willing to buy the USD, ie, find somebody wanting to buy goods from the USA. True, that person may not be interested in buying an American car, but they may be interested in buying American corn, or beef, or planes, or financial services, or even a vacation to Disney World.

People who tell you that the United States has a trade deficit are only looking at half the equation, the current account deficit. In order for there to be a current account deficit, by definition, there must be a capital account surplus. Read economics.

 

The 2008 financial recession was not directly influenced by outsourcing but it was indirectly. Notice when Bill Clinton left office the US had a billion dollar surplus. But, in order to achieve this he put in place higher taxes for companies that were making bank. Oh, but the companies that were successful didn't want to pay higher taxes and started outsourcing. This isn't just limited to the automotive industry. It's general goods as a whole. I just gave cars as an example. If it doesn't affect anything why did the comapnies outsource in the first place? Of course it affects something directly or indirectly or even both. The economic choices we make are linked and if one aspect takes a hit it's like a domino effect. The crisis I am referring to is our debt and poverty.

You're not going to tell me that employing Robots over humans will have no effect on the economy. And it sure won't be a good one. Unless those people who were fired somehow go to college and get a PHD or Masters in Computer Science, and work as scientists working on those robots.

The fact of the matter is, outsourcing is taking jobs away from Americans which is counterproductive to what Congress and the POTUS aim to do to recovery the economy. If there was no benefit [for said company] to outsource, then it wouldn't be happening. It's greed at its finest. Something that Trump continues to talk about even thought I hate his thought process with all my being is finding a way to get back at US companies that outsource. Like GM or Carrier.

If their actions were so miniscule, why is it outsourcing a main point of presidential campaigns? I mean, Detroit+GM=Prosperous. Some of my distant family members were millionaires during that time period. But Detroit-GM=Poverty. So what happened? GM left America for cheaper labor. I'm not talking about buying cars. I'm talking about losing American workers and American wages to cheaper wages. The power is in the people and the people's money after all. No matter what way you slice it. Why even bring up how buying cars and exchange rates work? It wasn't a point I was trying to make.