by Outcast_Searcher » Sun 05 Dec 2010, 01:23:13
$this->bbcode_second_pass_quote('dolanbaker', 'M')echanisation and cheap foreign labour (outsourcing) have killed western manufacturing industry.
Nothing can replace those jobs without a serious drop in living standards and expectations.
Exactly right. Automation / Mechanization, coupled with technology like computers is just awesome in its ability to eliminate jobs. Companies jump on such opportunities to increase profits, or just to remain competitive.
http://online.wsj.com/article/SB1000142 ... 04348.htmlRecent example I was struck by. (Link above, hardcopy is WSJ, Dec 1, page B1 article, "Glow from Solar factories fails to match town's hopes"), talks about how Greenville Michigan's employment hopes from Solar factories owned by Uni-Solar were crushed. They hoped for 6 factories, but no new ones were built after the original 2.
Why? Well, "shortly after the plants were built, the managers realized they could DOUBLE their capacity by simply attaching a small wing to the side of each and reconfiguring the floor plans to maximize the use of long rows of AUTOMATED machines. The VP of operations says "We've already doubled the capacity of our original plants and could DOUBLE IT AGAIN" in the two existing structures.
(I capitalized some words in the quotes in the above paragraph for empnasis on the role of automation in this awsome and frightening trend).
So net, the 4000 jobs lost when an Electrolux plant left have only been replaced with 320, and no meaningful amount of jobs will be needed, even if they double the output AGAIN. (And how many of the original 4000 Electrolux folks have these jobs -- a grand total of 66).
And before Ludi rails against the greed of Uni-Solar, they are LOSING money according to the same article -- Chinese competition, it seems.
Folks, I don't see how ANY political party is going to fix this stuff. U.S. living standards, on average, will migrate toward 3rd world standards, especially as we continue to tolerate a 3rd rate educational system in the U.S.
Welcome to the 21st century.
Given the track record of the perma-doomer blogs, I wouldn't bet a fast crash doomer's money on their predictions.