Obvious Opportunities to Accomplish the Mission

 

Let us consider what opportunities of accomplishing this noble Mission are available. These opportunities are shown in a model that demonstrates why the Mission seems impossible.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Let's start with obvious opportunities (white arrows with Latin letters):

 

A. Produce goods domestically, despite the fact that overseas production is less expensive.

B. Transfer production overseas since it is less expensive to produce there and ignore the decline in the wellbeing of the country's population.

C. Set high tariffs on imported goods assuming the rise of domestic production and ignore the reluctance of domestic producers to change anything.

 

Opportunity A was very popular in the 70s. The window of this opportunity closed when it became clear that domestic goods were becoming less and less competitive in both price and quality.

 

When it became possible to open production in Mexico and then in China, opportunity B became the most popular one. Patriotic manufacturers who pursued the opportunity A gradually lost their market position. In recent decades, opportunity B has been brought to the point of absurdity: the country has virtually ceased its own production. As a result, America fell into the economic dependence on other countries. When this became clear, the window of opportunity B began to close.

 

Nowadays, an attempt is being made to rectify the situation by adopting the opportunity C. But if we pursue it without taking into account the psychology and interests of domestic manufacturers, we will face an increase in international tension and won't get the expected results.

 

The American automotive industry at first hired more people, but then announced the dismissal of tens of thousands of workers “because cost of steel has risen due to the tariffs”. If steel had not risen in price, they would have found other "good reasons."

 

Alas, none of these obvious opportunities provide for accomplishment of the Mission.

 

USA: Systemic Crisis in Manufacturing | Financial and Systemic Crises | Non-Obvious Opportunities to Accomplish the Mission

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Len Kaplan

WIN-WIN FACILITATOR

Phone:

+1-904-329-0604

 

Email:

kapraz55@gmail.com

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