Tuesday, October 11, 2011

Today the jobs bill vote

I have no great hope that this will pass as we've seen by all of the legislation of the past two years either it will fail or be watered down to the point of being ineffective. So the plan B as it is is to try and break the bill into parts that can be passed. I can just imagine the parts of the bill that will be diced and served up for consideration. I'd almost bet that yet another payroll tax cut is in the offing as that is the only thing republicans seem to hear like a dog whistle. The problem there is two fold. As we know congress has said that such tax legislation must be offset with cuts elsewhere. And where do you think those cuts will come from? Not from the top 1%, that's a given. Of course it will come from those at the bottom who have the least to give. The other issue here is just how a payroll tax break would affect someone who's out of work and doesn't get a check in the first place. And an employer isn't going to hire someone just because they can get a tax break. There has to be demand and a need for the product first. Tax cuts of that nature only work when the economy is humming along. It gives an added kick by giving people more discretionary income that they can then go out and blow on things they really don't need but gives another a job making that needless widget. But even then it's liable to be some guy in China making the widget.
I watched for over 30 years as most of our manufacturing jobs got shipped over seas. First it was the Steel industry that packed up an entire plant and sent it to Korea. That was in the 70s. In the 80s I noted that TVs once made in this country were first being made in Canada then Mexico and then produced in China. At present it doesn't look like American workers want to be brought down to the economic level of the Chinese. They may have a blazing hot economy but at what cost to their workers? There are workers in South East Asia who make barely enough to feed themselves. That can of tuna on your shelf cost about 11 cents in labor to produce by workers making less than $5 a day. If we continue on our current economic path we will experience the same fate. Even now there are those that must choose between medical bills and rent. People in the middle and at the bottom are getting squeezed and the talking heads wonder why people are taking to the streets.
This is only the first part of our economic equation. Wait until November when the budget must be passed. You remember that can they kicked down the road because nobody wanted to deal with it. In that budget are yet more cuts to middle and lower America. You think October was a busy month for protests? You ain't seen nothing yet.


BBC said...

Well, I don't need a job, and the longer there are few jobs available the longer prices will stay down. Put everyone back to work and prices will start going up so no one wins anyway.

Except for us that know how to get by on little.

Randal Graves said...

Going to be hilarious when we become the source for cheap, third world labor and we stream over the borders in order to find a higher paying job in Canadastan and Mexcan.