Wednesday, November 3, 2010

Obama Is Dealt a Tough Hand - WSJ.com

THE ANTI-JOB MAN WHO DOESN'T KNOW IT: Obama Is Dealt a Tough Hand - WSJ.com

In terms of jobs, if you are familiar with the expression "regression to the mean" - the US has been doing exactly that. We have an excess share of the world's resources and lived a better lifestyle.

But, to keep that share of resources and/or the lifestyle, the US has to be able to give something comparable back.

Instead, the US is blaming business and looking for government to provide what the average American wants but can't pay for - whether early retirement, greater health benefits, etc.

So, the productive sector is being bled to provide it. Of course, not benefit receiver wants to see this and since these people vote, why tell them something they won't want to believe.

The Tea Party is far more up front than most Republicans. (I don't know if you saw the interesting yardstick discussion in this paper a few months back where at either end of a yardstick were left and right viewpoints. While the Dem's were at 36", the Republicans were put at 28".

The other problem the Republicans have is their pandering to the religious right. Those of us in the middle think of these people as 'crazy' (not too dissimilar from crazy Muslims). And, the religious right loses elections. Witness California just yesterday!

So, the problems aren't really being addressed and perhaps will be brought closer to the surface - thus, maybe we are getting closer to the end of the 3rd of 9 innings. But, we'll have to see.

If you get a chance to read the Steele biography of Cornelius Vanderbilt, he has good comments about how the US changed by the 1870's with the vast expansion of railroads and the building up of large corporations with their myriad workforces.

A not dissimilar momentous change is occurring with respect to information technology. I can do my job from any country I want, work when I want, do several different types of jobs at the same time.

Thus, there is no reason for me to be in a place with crime, high taxes, pollution, political risk, etc. All of which companies have to consider; but, with modern communication and transportation systems, they also have to serve their shareholders/owners and maximize returns.

The US is largely blind (certainly all Democrats) to what happens when the above factors impacting business are negative.

It may be unpleasant when a company decides to relocate (the list out of California a friend just sent went on for page after page), but government doesn't ask why or what it could do to change it. The workers blame the business, they don't blame the government (or sometimes a union).

So, as they say in science and problem-solving, the first thing to do is to figure out what the real problem is to identify.

At least the Republicans are able to identify the tax issue. Sadly, they make up for their good sense with their bad views on immigration policy. Yadda, yadda....

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