The Failing Economy is like a Sinking Ship
America is Cruising into dangerous economic seas, mainly due to our extreme high debts and inability to manufacture competitively. As we read daily, the stock market drifts up and down like a loose floorboard. The months ahead could determine the success or failure of the nation’s economic course; will we right the ship? It's very possible. Or will we sink into the history books as another former superpower like Ancient Rome? This is something to ponder as we watch our leaders fumble the ball.
The desire to produce goods in America have all but become nonexistent; nearly all manufactured goods now come from overseas. Products from China, Japan, Taiwan, and other countries arrive to our shores at astronomical rates. The labor force is being quietly redeployed into lower-paying service, retail, hospitality, assembly, or distribution jobs that are transient and do not support communities, careers, or provide benefits. Just yesterday I was reading an article on how the food industry has elected to replace human workers with robots, but this is only one of the problems we face. Even vaunted finance, high-tech, medical and academic jobs are being pressured by the surfeit of talented college graduates who are dumping their elected disciplines to “show me the money” into these few remaining super profitable fields. Speaking of what we discussed it the previous paragraph, Could you imagine going in for a heart bypass and being told that a robot will be handling the complicated task? Greed has taken over the moral fibres of our nation.
U.S. Dollar Sinking Fast
America’s fundamental economic underlaying has been slipping. The indisputable evidence lies in the present devaluation of the U.S. currency. Foreign investments are reaching a all time high. In the past these investments were used to prop up our government’s deficits by lending to the Treasury, buying our corporate equities, 401k, and real estate, and providing jobs to our blue-collar workers. This will end soon. The Obama administration has pledged to eliminate the middle class, making us either lower class not having enough, or upperclass having to much. My friends, without the middle class, how will our economy keep from slipping into the abyss?
Central banks in Asia, the Middle East,and Switzerland are overflowing with trillions of U.S. dollars. Few goods are now produced using dollars, and fewer investment opportunities are available. Many of our best American companies have already been sold to foreign purchasers, creating an economic vacuum where additional lending and purchases of U.S. goods will require printing even more dollars, rendering further devaluation. This devaluation will result in even more inflation and higher prices for imported merchandise and commodities purchased. The advantage to American exporters will be even more available, but will be of little benefit to most in this country since so little of our economy is driven by manufacturing and exporting. As a matter of fact, we will be “committing Economic suicide” as the sale of companies will continue to be our chief export, producing the sinking ship effect.
Mending the Ship while still afloat.
It’s time for mending our economic policies and priorities. American companies should be number one on your list. The made in America tag is still there. We must look to the government to help bring in solutions for the deficits principally caused by our inability to produce product competitively. The solution is to admit there is a problem, study it and treat the issue as a national priority, akin to the Great Depression of the 1930s.
To accomplish this we must create conditions that promote profitable manufacturing through incentives, provide subsidies where they are absolutely needed, and reform our tax laws. We must also curtail irresponsible consumption, such as needless spending on needless things, and prevent the sale of our best companies to foreign companies. This is how it's done in other successful countries. The end result will be that it is more profitable to build domestically-owned factories, and more profitable to do research and engineering here rather than overseas. With this renewed interest will come jobs, tax dollars, pride and opportunities for all classes. This would be the first step to a system recovery. Why should we put all our assets Into another country's economy? Think about it my friends. Picture the economy making a comeback similar to the times after the great depression. Statistics show that it would take a significant amount of time, but it is plausible.