The Economist, Dr. Phillips Advocates Job Restoration

Dr, Alan Phillips, Sr. wrote:

August 23, 2009 1:04
Job Restoration for a Stronger U.S. and World Economy, Dr. Alan Phillips

Recently, Bob Herbert of the NY Times, reminded all Americans, it is still about the national economy. "The American people are worried sick over the economy, which may be sprouting shoots from Ben Bernanke's lofty perspective but not from the humble standpoint of the many millions who are unemployed or those who are still working but barely able to pay their bills and hold onto their homes." I remain concerned about U.S. job losses to China
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Americans need to read the article in Today's Financial Times (of London) concerning the "Shopping habits of China's suddenly wealthy" (August 21). The "Baofahu" as they are called, have become the suddenly wealthy. "Big flashy cars like the Porsche Panamera and the Geely GE, otherwise known as the Baby Rolls-Royce, are just a couple observations. Add to the list their appetites for Gold, Barbies, Spirts and the finest wines, Ivory, Dairy, Dried seahorses for aphrodisiacs; they are still labeled by the author as "penny pinching, ruthless, suspicious shoppers." This is a must read for Americans being admonished to drive smaller callers, use less energy, be careful in wasting healthcare, and support even greater participation in global trading.

The Financial Times also has reported "Caterpillar chief hits at "buy American." "Addressing the Chicago Council on Foreign Affairs, Jim Owens also attacked the 'buy American' position in the stimulus, saying it had prompted 'a wave of concern throughout the world." The paper observed that Mr. Owen's words carry weight in both Washington and globally...The Caterpillar chief is also a member of Mr. Obama's Economic Advisory Board and is close to both the President and,...the transportation secretary...Mr. Owens stated that "we cannot be a great country by building a wall down the southern border." (April 29, 2009, Financial Times, Hal Weitzman) August 22, 2009, FT highlighted the story that Caterpillar holds China truck talks (Justine Lau), "The talks come just months after Caterpillar announced that it would expand its joint venture with Navistar to produce commercial vehicles outside North America...Caterpillar also said it would withdraw from being an engine supplier for U.S. truck makers because of declining sales in the U.S. market.
Caterpillar is not the only American company exporting jobs to China. There have been some nations, however, who are to be commended for investing dollars and plants in the United States. Several auto plants are the result of Japanese, German, South Korean and other nations who understand the reciprocity inherent in international trade. Businesses and nations must all yield to a free exchange on labor and production.

Much has been said in recent years about "job creation." Whether small businesses, the federal government, corporations or even the U.S. Coast Guard, estimates can range from 30,000 to over 400,000 to create a new job. Job restoration is quite a different matter and at some future date in time with a new administration, there will be a commission appointed to review all corporate efforts to return jobs to this nation. The Government for many years has been the engine for the new China, with its rising employment and middle class job growth, increasing spendable income for many of its citizens. The time has come, with growing U.S. unemployment, when trading internationally, to make it clear that the China America relationship must observe a new reality, fairness, when it comes to American job losses.

Whirlpool announced on April 7, 2009 that it was to close a Washing Machine Plant in Shanghai, resulting in the elimination of 600 jobs. In the article, however, it was also stated that "the closure of the Shanghai factory will result in the elimination of about 600 positions. Whirlpool has established several measures in accordance with Chinese labor laws to provide support to all affected employees during the change...Moving forward, production of washing machines will be consolidated into the company's Hisense-Whirlpool joint venture facility, located in the Changxing Economic Development Zone, in the ZheJiang Province. The facility, which also manufactures refrigerators, will create 900 new jobs by the end of 2009."

Why not send those extra 300 jobs to a plant in Arkansas or Tennessee? A retrospective comment for the CEO of Caterpillar, Mr. Owens, I strongly support the "Buy American" concept, and I want some of the Caterpillar jobs which the company would claim were created in China, returned to the United States,