Relevance Of The Book "Take This Job And Ship It" During 2008 Presidential Elections

[uzair]

Senator Bryon L Dorgan, in his book "Take This Job and Ship It", looks at "outsourcing" as a consequence of global economy. He considers it as a threat to American economy and sends an alert message to all the people in the nation.

"With the trade deficit of over $700 billion a year, millions of lost jobs, and millions of families whose American dreams shattered, its long past the time to question those who claim everything will work out just fine. In fact its time to wake up and take action", according to the book.


With numerous examples he illustrates the loss of the manufacturing jobs and sees it as a big problem for the country. The Senator deals with almost all areas that concern the US economy, how corporations set up tax heavens and avoid paying taxes to the US government, the oil sector, pharmaceutical companies and health care sector etc.

Instead of just making us aware of the problems, the Senator goes about suggesting some solutions to the problems facing US economy especially in the trade and jobs areas after extensive research and after consulting with experts like Warren Buffet.

I'd like to suggest everyone to read this book. The issues presented in this book are relevant and needs to be addressed in the immediate future with a sense of urgency. https://trb-card.us/ With the presidential elections coming up, this book will be a good read for the voters and the candidates.

My reflections on the book is given below..

The economy has been changing. Until the late 19th century, all economies were agrarian. From the late 1800s until the 1960s, most developed countries moved from agrarian societies to industrial societies.

The 21st century marks the change to global economy in a global village, the concept of a boundary less world; the production and marketing of goods and services worldwide. Information Technology is transforming society from its manufacturing focus to one of service. The concept of "global village" came up with the booming of internet and communication technologies.


In terms of doing trade and business, national borders became less significant because of the communication technology advances and ease of transportation. Corporations are evolving to fit in a global village to do global business, which means that companies go and look for low production costs (anywhere in the world) and sell the products or services anywhere in the world? This is a business model we all have to accept and it is going to stay for at least next 20 years and technological inventions are bound to help the global business in every possible way. In a global village the terms "outsourcing" and "souring in" are not relevant. They are relevant only when we talk about countries.

Now the United States is growing 2%-3% and probably going south. Europe is growing 2%-3% and Japan is growing 1%. China with 1.3 billion people is growing 11%, India, a new resurgent power with 1.1 billion people is growing 9%; and Russia is growing 8% or 9%. Latin America and the Middle East are growing. ( I collected the data above from another article that I read in the past. )

Looking at the data above, we can see that the global business has benefited developing countries in terms of growth.

Wealth produced in a nation depends on how much we produce, not on how much we consume. Also the standard of living depends on the wealth created. So with the current global economy trends, there is a likelihood that the standard of living of the middle class in US will go down and that of the middle class in developing nations will go up. Which means that the resource consumption in these countries is going to go up. A wealthy nation, short of resources for its people, may try to get access to resources by any means. Future conflicts and wars may be for the resources if not triggered by religious fanatics.

In the book, the Senator talks about the low wage exploitations, poor working conditions and other unfair practices in the developing nations. Much of the unhappiness is focused on China, where the US trade deficit through the first 11 months of 2007 totals $237.5 billion. There could be further increases in the deficit with China according to predictions from analysts.


Congress is considering bills that would impose economic sanctions on China if it does not allow its currency to rise in value faster against the U.S dollar. Businesses contend that the Chinese are manipulating their currency by keeping it undervalued by as much as 40% to gain price advantages against US companies. (Again this data is from another article on yahoo) But we have to accept that these are issues over which we have only limited control.

On top of everything, economists fear a possible recession in US.

War against terrorism and its consequences and impact on US and its economy is another related topic of discussion.

If we can not reverse global economy to our benefit, what can we do? Repeating Senator Dorgan's words "I believe our country has a right, even in global market place, to determine the kind of economy and future it wants for itself."

And who should take the responsibility?

The primary responsibility of any government in a country is to provide protection and security for its people, in a very broad sense. So ultimately it lies with the political machinery to face and solve
this problem. " We need leadership once again in America - leadership that will have the vision and courage to begin taking care of things here at home. Yes, our world is increasingly global. ..but still we all live here, and we want good jobs and the prospect of better life and an improved standard of living here.


Huge budget and trade deficits threaten our future. Incompetent trade agreements threaten our jobs and undermine our manufacturing base. If these are left unchecked, the land our children will inherit will be a weaker country with fewer good jobs and less opportunity..." the book says.