Originally posted by RELDDIR
(BTW, they outsource jobs by purchasing Chinese made vs. American made)
No...basic outsourcing is when a company contracts another (individual or company) to perform a job for them that is necessary to their business but
which they either don't know how to do, or don't do well, or can't do as cost-efficiently as someone specializing in that job.
IT departments are often outsourced.
Even something like the housekeeping/cleaning of an office suite or building...accounting.
Or maybe someone who sells electric motors has them wound by another company and packaged for shipping by still another...
What Romney is accused of would be more accurately called 'production offshore outsourcing.'
That's when you close up a factory here in the US and move the whole operation to another country because operational costs are much less and
workers' wages are not as high even as minimum wage here in the US.
Production off-shoring is the reason China has made 'special economic zones' which are also 'free trade zones' such as
Shenzhen was singled out to be the first of the five Special Economic Zones (SEZ). It was formally established in 1979 due to its proximity to
Hong Kong. The SEZ was created to be an experimental ground for the practice of market capitalism within a community guided by the ideals of
"socialism with Chinese characteristics".
Market capitalism powered by citizens of a communist state in a socialist setting (i.e. 'worker state')
The undeniable cost savings for any manufacturing enterprise in that setting, where workers start out at something like US$126 a month
wages...currency converted to Yuan for no charge...etc., coupled with all the offshore tax benefits...without having to pay any taxes to China,
either...has been one of the biggest contributors to the unemployed population formerly hired in the manufacturing sector of the US economy...that,
and automation...but I bet machines cost more to operate and maintain than $126 a month.
Buying import is neither one of those things...buying import means you bought something that said MADE IN CHINA rather than MADE IN THE USA.
Now...if you bought it at Wal-Mart, there is a more than probable chance that it was manufactured in Shenzhen by Chinese workers.
Shenzhen Government Online
There is nothing wrong with buying imports from a country if they are a better source economically for a given product than the US can feasibly offer,
and the people who make the product are treated humanely and paid fairly. Especially if other countries like some stuff we can make at a better price
and better quality than they can...that's called TRADE.
But it is not helping our economy to move jobs out of the country because the corporation can profit more and pay less taxes, etc. than they would if
they continued to manufacture in the US...something like plastic swimming pools, for example...there is no reason to not make stuff like that here in
the US so we can buy it...I would probably rather buy imported chocolate than imported PVC, if you dig.
The Chinese, like all humans, are opportunists, and took advantage of American corporate greed and generous trade agreements to put their population
to work and profit from the investments of America and other countries, too...while Americans are unemployed for months or years on end.
It is hard to buy stuff you need when you don't have a job...so good thing for Wal-Mart where stuff is cheap...except that the more Wal-Mart sells,
the more manufacturing we lose at home, because it isn't necessarily cheaper to buy stuff other countries make but cheaper to make our stuff in other
countries using the labor those populations rather than putting our own population back to work in factories.
Especially when 1 Yuan = 0.1583 US dollars.
It is a vicious cycle.
And I'm not saying 'don't buy Wal-Mart'...do what you gotta do to get by...just don't think that Romney is going to help the situation any at all
and don't be into thinking Obama is to blame...this stuff started long before Obama was elected and it is not a simple problem that Congress can
magically fix...especially if they refuse to make it less profitable for companies to take jobs out of the country by passing laws that make it
so...refusing to even vote on any proposal aimed at reforming the tax system for big corporations with nonsense like filibustering and such.
Decreasing corporate tax from 35% to 25% isn't going to help...many companies pay less than 0% tax even at the supposed 35% rate.
Here are the facts.