Constructive gadfly
Published on January 28, 2009 By stevendedalus In Democrat

 

Like swimming against the current wherein Obama tries to save jobs at the same time trying to create more. In an economy going no where, there is the danger of managing mere busy work. For instance, to save 30,000 Circuit City workers a new chain of no return would have to start up in face of the drastic reduction in purchasing power—and what’s more brutally realistic is to form a chain gang of retailers doing clean up work. The key, of course, is to begin to rebuild a viable industrial nation so long neglected. That will take time.


Comments
on Jan 29, 2009

i thought this one was about steve too.

 

since it aint, lemme offer an observation. 

when basic industry execs decide to invest profits acquiring trophies--airlines, studios, etc.--rather than obtain technology required to remain competitive, they wind up distributing what they once produced.  why make something when you can buy it for less without having to waste revenue upgrading factories or having to deal with demanding workers?  price becomes critical when former workers no longer earn enough to buy domestic products.

when those same workers can no longer afford even the cheapest imports--and it's almost certain to happen that way--former manufacturers, now importers/distributors are stuck with product they can't sell.

as jobs disappear, inventory doesn't.

oh, and those trophy investments?  

they find new sugardaddies.

life imitates life

 

on Jan 30, 2009

Yes, a Catch 22. Primarily the need and demand are crucial to supply.

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