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1 Bob Levin  Fri, Jul 20, 2012 1:47:41am

This was the very positive economic sign I referred to a while back. If water technology and fuel technologies change, I believe this will trigger another US population shift, with small cities growing around factories rather than roads, rivers, and railways. The problem is that we are at the seed stage of this, not the fruit bearing stage. And that is the explanation for our economic problems. There really isn't any way this transition can be speed-ed up.

2 Destro  Fri, Jul 20, 2012 5:57:57am

If fuel costs remain high importing goods will be more expensive since high fuel costs acts as a sort of protectionist tariff.


With that said, Germany has been able to maintain its manufacturing base because of the society's values where Germans regulate their industries, workers have a say by law in the running of same and the govt serves as a facilitator between the business entity, the worker and the German society as a whole.

As such the German nation has kept manufacturing a growing industry for Germany. Yes, the Germans do outsource the work, but they tend to outsource the low end manufacturing and keep the high end productions at home. Also, by having universal health care and workers benefits they actually reduce the costs of everything for businesses including a generous paid vacation which actually helps maintain a happy and rested work force.

3 EiMitch  Fri, Jul 20, 2012 10:30:36am
Taiwan-based Foxconn Technology Group, announced last August that it plans to install one million robots within three years to do the work that its workers in China presently do. It has found even low-cost Chinese labor to be too expensive and demanding.

D'uh! The costs of the extreme measures to prevent both suicide and contact with the outside world tend to add up. What, did Foxconn think nets grow on trees or something?

All joking aside, this also helps illustrate why and how the economic models championed by the left and right are both outmoded and useless. Basing the middle-class primarily on manufacturing jobs is a thing of the past. The left's shabby, duct-taped Keynesian status quo has run out of borrowed time. And the right is living in the robber-baron 19th century. What are we supposed to replace our dying dead system with?

And don't tell me "a higher tax & higher spending welfare state." That is not sustainable without a strong economic base, as Europe is so painfully demonstrating. Get a new, healthy horse first. Then we can pimp our cart.


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