The Issue is Greater than the Loss of Assembling.


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The Issue is Greater than the Loss of Assembling Bounce Powell, Ph.D., MBA exponentialimprovement.com 6/26/07 (Changed 7/16/07) CO Mfg Has Lost 46,000 Employments as of May 07 since April 98 However CO Work Misfortunes Are in Other High Pay Classes, Too Telecom lost 22,100 occupations since Jan01 top
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Slide 1

The Problem is Bigger than the Loss of Manufacturing Bob Powell, Ph.D., MBA exponentialimprovement.com 6/26/07 (Modified 7/16/07)

Slide 2

CO Mfg Has Lost 46,000 Jobs as of May 07 since April 98 Bob Powell, Ph.D., MBA, exponentialimprovement.com

Slide 3

But CO Job Losses Are in Other High Pay Categories, Too Telecom lost 22,100 occupations since Jan01 top IT lost 35,800 employments since Jan01 top At their crests there were 355,200 Mfg, Telecom & IT occupations May 07: 251,300 occupations Loss = 29.3% Bob Powell, Ph.D., MBA, exponentialimprovement.com

Slide 4

Colorado Jobs are recuperating, however developing much slower than some time recently. Occupations are not staying aware of populace development May 07 hole: 168,000 persons Bob Powell, Ph.D., MBA, exponentialimprovement.com

Slide 5

It’s a National Problem The “Trade Deficit” is blasting because of the “transfer of components of production,” not exchange . The increment is near exponential (balance used to get best fit to an exponential capacity) : R 2 = .976 (Goodness of Fit, Perfect = 1.00) Bob Powell, Ph.D., MBA, exponentialimprovement.com

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It’s a Serious National Problem and the Trend is Unsustainable Bob Powell, Ph.D., MBA, exponentialimprovement.com

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It’s a High Tech National Problem There’s no “High Tech Salvation.” The Advanced Technology Products “Trade Balance” is negative & declining. +$40B to - $43B in 15 years Bob Powell, Ph.D., MBA, exponentialimprovement.com

Slide 8

What to Do for “Trade” Stop “free trade” (i.e., “lawless trade”) that’s truly “transfer of the elements of production.” Phase in over various years Warren Buffett’s “balanced trade” strategies utilizing his Import Certificates system. For clarifications & suggestions see A Systems Thinking Perspective on Manufacturing & Trade Policy Bob Powell, Ph.D., MBA, exponentialimprovement.com

Slide 9

What to Do for “Trade” (cont’d) Eliminate NAFTA-sort “trade policies” that, alongside U.S. ranch appropriations, are wrecking the Mexican economy and creating unlawful movement . It’s not a “illegal immigration” issue. It’s a “illegal employer” issue. Pay a living pay for ranch work; bunches of individuals will do it: Pay now: $0.40/32 lbs = $0.0125/lb for tomatoes Picking 2 tons = 4000 lbs = $50.00/day. That is 1/4 pennies/lb in wages. Paying $500/day and expands the expense per pound of tomatoes to $0.125/lb That would mean the cost of tomatoes would increment from $1.99/lb to ~$2.10/lb Bob Powell, Ph.D., MBA, exponentialimprovement.com

Slide 10

What Else to Do? Stop “ Reverse-Protectionism ” No corporate conceding expense installments on pay inconclusively from remote auxiliaries. No duty escape clauses, for example, moving central command to an expense shelter. No R&D and other speculation assessment credits for organizations that move assembling seaward ... the U.S. doesn\'t completely advantage. No defective exchange estimating plans to keep away from U.S. assessments No permitting partnerships to discount the expense of closing down a production line in the U.S. when it exchanges the work to an a remote nation. No permitting enterprises to discount the expense of conveying new outside representatives to the U.S. also, obliging its U.S. workers, as their last obligations before being let go, to prepare the remote representatives. Incorporate work & ecological guidelines in exchange settlements. The expenses of natural debasement and wounds to specialists are externalized onto the general population on the loose. Without gauges, vote based system is undermined: people don\'t esteem and "purchase" clean environment & work environment security, governments do; if a legislature isn\'t a majority rule government, it doesn\'t speak to the hobbies of its natives. Bounce Powell, Ph.D., MBA, exponentialimprovement.com

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Good News on “Trade” From the Media Matters Report, “ The Progressive Majority: Why a Conservative America is a Myth ” All 37 2006 Democratic House & Senate hopefuls won who advanced "fair trade" (not "free trade"); none lost. Exchange is a hot-catch issue The March 2007 NBC news/Wall Street Journal survey demonstrated that 48% of Americans trust the U.S. is hurt by the worldwide economy. Just 25% trust the U.S. advantages. Note: The 48% is right. Weave Powell, Ph.D., MBA, exponentialimprovement.com

Slide 12

What Else to Do? Single Payer Health Insurance To expel the expense from bosses and make them more focused. To remove the insurance agency center men organization. What\'s more, UnitedHealth\'s William McGuire\'s money and-stock paydays that have topped $100 million as of late - despite everything he has investment opportunities esteemed at $1.6 billion . To overcome unfavorable choice (a business sector disappointment) and guarantee 46 million uninsured Americans (16%) including 8 million uninsured kids (11%). Sway Powell, Ph.D., MBA, exponentialimprovement.com

Slide 13

What to Do for Taxes At this point in the “ long wave ” where ability to give supply surpasses interest, charge strategy ought to advance interest, not speculation. Bounce Powell, Ph.D., MBA, exponentialimprovement.com

Slide 14

What to Do for Taxes (cont’d) Tax what we don’t need (e.g., contamination). More prominent charges on wages disheartens work (i.e., more noteworthy than on capital additions, profits, & interest). Don’t use deals charges … demoralizes the offer of merchandise; advances riches imbalance in light of the fact that it places “resistance” in the “transfer circuit.” Have a dynamic expense framework to overcome “ way reliance ”, otherwise called “Success to the Successful.” Bob Powell, Ph.D., MBA, exponentialimprovement.com

Slide 15

What to Do for Taxes (cont’d) The Orwellian-named “ Fair Tax ” is truly a monstrous and massively backward “sales tax.” A 23% duty comprehensive rate = 30% assessment selective rate. The Treasury Department inferred that utilizing the retail deals assessment to supplant just the wage charge and give a money award to low salaries would require no less than a 34% expense elite rate. A recent report led by the Congressional Joint Tax Committee (JTC) 36% keeping in mind the end goal to accomplish long haul income lack of bias. A 36% assessment comprehensive rate is a 56% selective duty rate. "Fair Tax" defenders accept there will be no duping … no bootleg market charge avoidance in a retail deals charge. Bounce Powell, Ph.D., MBA, exponentialimprovement.com

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The Fair Tax Proponents John Linder (R-GA) and Neal Boortz\' co-wrote the “Fair Tax” arrangement. Or anybody think Boortz & Linder comprehend the economy, here’s Linder’s position on “trade” on his site: “America must come back to our convention of worldwide administration for extended facilitated commerce, and not withdraw into the mixed up protectionism of the past. We must work to open markets,

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