tag:blogger.com,1999:blog-6762928.post2925022328684623879..comments2024-01-03T05:23:36.046-08:00Comments on The Citizens: What's Hurting MichiganUnknownnoreply@blogger.comBlogger5125tag:blogger.com,1999:blog-6762928.post-83435895255786464342008-01-19T07:20:00.000-08:002008-01-19T07:20:00.000-08:00Honda has a plant in Central Ohio so there are a f...Honda has a plant in Central Ohio so there are a few new plants opening up in the old auto industry country. But US West is right that Michigan in particular remains unhealthily dependent on the "Big Three."Raised By Republicanshttps://www.blogger.com/profile/03461006522141969925noreply@blogger.comtag:blogger.com,1999:blog-6762928.post-53225481226360476522008-01-18T12:05:00.000-08:002008-01-18T12:05:00.000-08:00Another angle on this is to look at South Carolina...Another angle on this is to look at South Carolina. It has lost textile plants, but has had numerous car plants- many of them German- open up. In fact, on NPR yesterday, a woman from S.C. was saying that they were practically begging for an auto plant to open up in her area.<BR/><BR/>So the successful auto companies are looking elsewhere to put plants, not Michigan. Michigan is stuck with the big American three. I can't speak for the rest of the country, but in all over California, the Prius or Civic hybrid is the car of choice- except in rural areas where an SUV is probably necessary. And for a while, there were tax incentives to buy those!<BR/><BR/>The Big three apparently learned nothing from its past tangles with foreign car makers who beat them out. Automotive innovation is no longer at Ford or GM and it hasn't been for ages. So yes, people will loose their jobs . . . that is how the market works.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-6762928.post-5521695616666545122008-01-15T06:28:00.000-08:002008-01-15T06:28:00.000-08:00Spotted Handfish, Yes, Bush came out right after 9...Spotted Handfish, <BR/><BR/>Yes, Bush came out right after 9/11 to encourage people to go out and spend money for their country. That is part of what is causing the weak dollar too. And it continued the stupid fad for buying SUVs (along with some tax breaks for buying them). <BR/><BR/>Of course the US isn't the only country basing its economy on consumerism and deficit spending (indeed, as a percentage of GDP the US probably has less of a debt problem than most democracies - I'd have to check the data but that would be my guess based on the past few decades). <BR/><BR/>LTG is right that Granholm is probably serving the short term interests of her constituents and of course in a Democracy the losers from trade are entitled to a voice.<BR/><BR/>That does NOT mean that protectionism is the only way to mitigate the harm done to them. Look at what small countries in Europe do (see Small States in World Markets by Katzenstein). They are open to trade but use investment friendly tax schemes to fund generous education, health care, and unemployement insurance programs. That's the best solution in my opinion. That way you can mitigate the negatives of trade to the minority that is hurt by it without killing the goose that lays the golden eggs.<BR/><BR/>The only major American politicians I've heard that seem to grasp this are Bill Clinton and Barack Obama. The Republcians all want trade with no mitigation. Edwards wants protectionism with a huge welfare state (a recipe for a global economic disaster). I have no idea what Hillary wants but I assume that since she generally runs on her husband's record she has his generally positive attitude towards trade.Raised By Republicanshttps://www.blogger.com/profile/03461006522141969925noreply@blogger.comtag:blogger.com,1999:blog-6762928.post-38596764555654219352008-01-14T20:59:00.000-08:002008-01-14T20:59:00.000-08:00To use the shopworn phrase... Granholm may be dumb...To use the shopworn phrase... Granholm may be dumb, but she ain't stupid. A bailout would be great for Michigan. So would protectionism for the auto industry, at least for a while. Part of democracy is dealing with the fact that the losers in globalism have their say too. <BR/><BR/>I agree 100% that US automakers have only themselves to blame for their failures. They blame it on expensive unions. True, the unions are expensive, but I think it's fair to say that German auto workers are also unionized and well-paid, but their companies thrive. The problem is not unionism, pensions, or any of that, but the refusal to take the super-high productivity of the US worker and put it to decent use, preferring instead (like Hollywood moguls) to produce sequels and supposed sure things like SUVs.The Law Talking Guyhttps://www.blogger.com/profile/17886791396468512490noreply@blogger.comtag:blogger.com,1999:blog-6762928.post-53446892765570774192008-01-14T20:45:00.000-08:002008-01-14T20:45:00.000-08:00Agreed RbR. Didn't Bush also lead a consumer-base...Agreed RbR. Didn't Bush also lead a consumer-based solution to the ailing economy? Spend for your country to... increase debt.<BR/><BR/>Don't forget the world basically ignoring what is happening in Africa which also affects the price of oil. In OPEC you have Algeria, Angola, Libya, and Nigeria, along with the Gulf countries (Indonesia -- which can't produce enough oil for it's own consumption -- Venezuela and Ecuador are the others).<BR/><BR/>Spotted Handfish<BR/><BR/>PS Citizens with bandwidth might enjoy http://blip.tv/file/520347Anonymousnoreply@blogger.com