GM-outsourcing & Davis vs. Reynolds

OK, we just heard GM is making the Camaro in Mexico.
I thought it would be a good time to start this thread…
If you have been watching TV you probably have seen the campaign ads for Tom Reynolds vs Jack Davis.
Reynolds claims Davis is taxing the middle class by supporting tariffs on imports.
Davis claims he is trying to save American jobs.
Reynolds points out that Davis while running for congress has invested money in companies that have been outsourcing jobs.

Here is my question…

Should Davis only invest in Companies that only source in the US or should he invest in companies that take advantage of current econmics to help his personal portfolio?

Here is another thing to ponder…
I will bet my paycheck that every single UAW member has products made in Mexico and/or China in their house.

What is the answer people?
Out source jobs so I can buy cheap shit but don’t out source my job.(?)

Ideally, everyone stops supporting companies who outsource and only buy american, then there become more higher paying american jobs and everyone can afford to do so. The problem with this is that it takes full-scale cooperation from EVERYBODY, because if the poor people still shop at Wal-mart then it undermines the whole idea. There really is no good answer except to make sure you have alternative plans to a job in manufacturing after the next 10 years or so.

I thought the Camaro was going to be made at the Oshawa plant in Canada, and that the axles were going to be made in Mexico… :gotme:

I’m all about free trade and think he should do what is right for himself, on the other hand… it’s a conflict of intrest and he really shouldn’t be allowed to invest in anything that he has/can have a direct hold on.

IMO, ANY comapny who outsources should have to pay in taxes/tariffs/penalties to compensate the $$$ leaving our economy. So, when a company is paying a US worker 10h/r… then gives the job to a guy in India for 2h/r, they should be forced to pay 8h/r to the govt. Maybe give the companies that do keep jobs here a small tax credit as an incentive to do so. This is just the tip of the iceberg though… it really needs to start with people actually making what they deserve here (aka unions, politicians and state/county workers)

obviously there are times when it is necessary to look outside the US for certin things, but they should level the playing field.

So what happens to a company whose product is primarily an import from that $2/hr region? Will we then tax that company the $8/hr difference? How would that be assessed? A furniture maker won’t be making the same salary as an automaker - so would you have a scaled tax?

And what would we then expect in retaliatory tarriffs on American exports? If we don’t tax the imports accordingly, then what would then keep those American companies from leaving the US entirely - or dying under an unfair competetive structure?

Also, what would that do to the “Wal-Mart economy”, if most items were made to an American cost structure?

“OMGz I can’t aff4d to buy any goodz cauz i boght a new 'Maro, that was Meed in the US!” Have GM cars cost more, with parts and labor from the USA, which the American people willl look at a Toyota and buy that one. Besides, most Toyota’s are made in the USA :3

Keep in mind that would put a huge dent in exports too which would put a huge hurt on the economy.
If the US wants to have its own economy it won’t be able to compete on a global scale.
In the past the US has been able to stay ahead of the curve with technology but now even thrid world countries have the latest technology.
In other words, our costs per hour are higher but through technology we could always produce many more units per hour.
Now other countries have similar technology but their cost per hour is still a small fraction of the US rates.
In fact because many factories are much newer in these countries they are actually better technology wise because they were built specifically for new technology while we are trying to convert/update old factories.

we have a fucillo huge sized trade gap…theoretically IF we really did close doors and have our own economy it wouldn’t be hurt because of so much more domestic buying.

Since the rest of the world has caught the US in technology now, the only thing we have going for us is higher education. That’s why I think it’s so important, because it’s the one competitive advantage we have left.

If a company is able to produce a product dirt cheep outside of the US, then sell it here, then I say terriff them to level the field. Do it similar to tax structure and have it industry dependent. It’s all subjective to what you’re talking about. If say, Honda can make their cars for 70% of their MSRP, Kia for 50% and Ford for 85%, they should tax/terriff that to level the field… now, with that said… like I said before, thats just the tip of the iceberg for our problems. An assembly line worker does NOT deserve 70K a year, and fixing that first would make the US auto industry more competitive.

And what would we then expect in retaliatory tarriffs on American exports? If we don’t tax the imports accordingly, then what would then keep those American companies from leaving the US entirely - or dying under an unfair competetive structure?

For most western nations, I believe it wouldn’t be much of an issue. The American consumer is what will keep them from leaving… again, I feel that the root of the problem lies here with people making too much money for a given job… plain and simple. It really has to be a case by case basis… if, for example, a company inside the US pays a plant in mexico to produce a product for 1.00 a unit, opposed to paying a company inside the us 2.00 a unit to maximize their profits, I think then YES, they should be terriffed/taxed on that product.

it’s not all black and white… but I think it’s better than what we’re doing now

Tariffs may help but keep in mind that it only gives our government more money.
The working man still needs a job to pay for the tariffs.
So when you break it down, the working man pays tariffs to the government in a roundabout way.
It goes against the whole free market economy thing.
So in the end we have given our government more of our money and we won’t have jobs.

The lower wage idea is the most effective way I can think of to compete quickly.
BUT that complicates things like current inventory costs, etc.

You are right but, my points is about jobs leaving the US.(Which they are)

yeah… good point. I don’t know… it’s a big cluster f*ck but something needs to be done

The US can’t compete with other countries when it comes to manufacturing everyday goods. It’s just not going to happen.

When an unskilled factory job pays $12/hr starting in the US compared to .25/hr in China where would you have your company make a product? What’s going to happen you’re going to lose what would be your employees as customers? Not really concerned when b/c you can offer the product at a lower price point while still making more profit you attract a customer base 10 times the size

Thank God for NAFTA…it is helping us sooo much :bloated:. The problem with free trade is, there is no incentive for big companies to stay in the US and provide jobs for Americans if they cn go to mexico, make the same product for a fraction of the cost, and not have to pay any terrifs to export them back to the us. Anyone remember Trico (sp). They were a local Buffalo based company that made windshield wipers…untill that is NAFTA was passed then they moved to mexico, like many other plants. I say we should re-establish the terrifs in an effort to keep American companies in America. People are so anti big buisnes…but big buisness provides thousands of jobs to Americans, well, when they stay in America that is.

we should just outsource our government

The government needs to downsize as well. It is supposed to be that the govt is there for the people, but for the past few decades at least its been the other way around.

oh, that was a point I wanted to bring up

I forgot which member posted it up, but someone posted a link to a new chineese car which they planned on selling here. They said it cost china something like 4K to build, and they planned on selling it for 20K here. WTF?

I don’t know… that’s the kind of shit I’m talking about in my above posts…

agreed… too many lifers. They should only make 40K a year TOPS(and that’s only in a position that consumes a majority of their time), shouldnt be allowed to run for an office while holding another one, nor should they be able to hold the office more than once.

It is sad but true. American industrialization is goin down the shitter. it sucks. I know alot of poeple who are now retired who worked at like the Chevy plant and Ford plant who have amazing pentions and money saved from when they were paid top dollar to do things people in mexico are paid $5 a day to do. :tdown:

That is true and the other Joe mentioned that the US is more educated BUT,
you really must keep in mind that millions of US factory workers can not become doctors or lawyers just because they have educational possibilities.
This country was built on manufacturing jobs.
That includes everything including the construction industry for example.
Millions of construction workers have been employed to build factories for manufacturing.
The middle class is shrinking and the middle class is what has driven our economy in the past.
What will drive it in the future?
Technology is growing at such an incredible rate that it will (for lack of a better term) “replace the need for education”.
That may sound like a crazy statement at first but seriously think about it.
Wow, I think I just started a whole new topic.:biglaugh: