Packard Forum Index » General

Oh, as far as labor costs, even if the Big 3 have overpaid laborers, I am not content to see them suffer reductions in pay. American makers have enjoyed a robust employment plan for almost a century, now. It has only been in more recent decaded, as we have opened up to foreign competition, that now, we recognize the Detroit workers were "overpaid."

All I see is that the cheaper you can find labor elsewhere, the more it becomes an "obvious" reason not to pay American workers as much. This even goes for using non-union workers in other states.

It is a lowering of standards, and the only persons to pay the price are American workers.

On the flip-side, I guess you do get more bang for your buck if you're a car buyer, buying a good product built with cheap labor.

There is not an easy solution by any means.

Global trade equals reducing our standards here. If you agree with the economic theory of finding balance at the intersection of the supply and demand curves, the natural course of going fully global is for the US to lose its financial superiority while less fortunate nations gain from our losses.

Globalization, labour etc. Some logistic problems:

LOse domestic bricks and mortor vehicle manufactureing and we have a REAL "home land secirity" problem. Witness Dec, 7 1941. What's that worth in terms of an extra $2.00/hr on Union wages????


Credit markets nearly stop when interest rates are so low. Anyone want to loan THEIR OWN HARD CASH out for 2-3% ?????? China will probably stop loaning to the US. Cash is the epitome of liquidity. China will eventually decide that liquidity is worth the loss of tiny interest earned otherwise.