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In an attempt to promote "insourcing," President Obama yesterday said he'll make tax proposals...

In an attempt to promote "insourcing," President Obama yesterday said he'll make tax proposals that will reward companies for bringing jobs home and investing in America, while he also reiterated his pledge to end breaks for companies that move jobs overseas. (video)
Comments (23)
  • 7footMoose
    , contributor
    Comments (2266) | Send Message
     
    This is nothing but reelection talk.
    15 Jan 2012, 05:12 AM Reply Like
  • Econdoc
    , contributor
    Comments (2944) | Send Message
     
    more statist nonsense from the Redistributionist in Chief

     

    this fellow is clueless

     

    E
    15 Jan 2012, 07:07 AM Reply Like
  • Tack
    , contributor
    Comments (12807) | Send Message
     
    Yes, but he utters the mindless pap that America's simplistic electorate wants to hear.
    15 Jan 2012, 08:30 AM Reply Like
  • PVizzle
    , contributor
    Comments (741) | Send Message
     
    Statists are lame.
    15 Jan 2012, 08:06 PM Reply Like
  • Matthew Davis
    , contributor
    Comments (3679) | Send Message
     
    All talk. Show me something to make them want to come back.
    15 Jan 2012, 08:33 AM Reply Like
  • youngman442002
    , contributor
    Comments (5131) | Send Message
     
    said the fox to the hen...come into my den......and then..once inside...I will eat you....
    15 Jan 2012, 09:28 AM Reply Like
  • Matthew Davis
    , contributor
    Comments (3679) | Send Message
     
    We will get nothing! Its all talk.
    15 Jan 2012, 10:17 AM Reply Like
  • Jackson999
    , contributor
    Comments (468) | Send Message
     
    Additionally, go straight to the source and impose significant tax penalties for offshoring or outsourcing!
    15 Jan 2012, 12:37 PM Reply Like
  • Rich in Quebec
    , contributor
    Comments (4259) | Send Message
     
    Jackson - That may be a good idea. If proposed by Obama, it would be "statist""re-election talk". Even business friendly tax cuts will be opposed by Republicans wary of providing any success to a President that they would prefer to sell as "clueless".
    15 Jan 2012, 01:10 PM Reply Like
  • Econdoc
    , contributor
    Comments (2944) | Send Message
     
    You all have the wrong idea on this

     

    Outsourcing is just a way companies make their operations more efficient so as to compete. outsourcing leads to more jobs and more prosperity. not less.

     

    On one level companies outsource all the time - they do this to find the most efficient way to do things - for example - Ford makes cars-but it does not make 100% of every car it sells - it uses any number of outside firms to help it put together the best combination of inputs - from design to components to transportation - even the sales and service process can be considered a form of outsourcing - some of those firms are located in Michigan others are in the rest of the country and still others are located overseas.

     

    If you mandate that they cannot outsource anything to any third party - boy would the Unions love that - you end up with a less efficient and more expenssive vehicle - ultimately they sell less cars and if they need to cut back production or go out of business - you lose all the "protected" jobs. Self defeating.

     

    Sometime companies keep it internal but outsource the tasks to another country. The principle here is the same. If Ford can get a better cost structure by outsourcing it will help the whole. Generally the jobs or tasks that are located elsewhere will be lower value added and less critical. They are generally lower pay and lower skill. Forcing them or penalizing them to bring these back will only make them less competitive and reduce the number of higher paying, more skilled jobs. Also self defeating.

     

    Interference in the way companies do their business. Distorting tax schemes that reward less efficency are self defeating.

     

    Government - has a role and that role is to ensure the conditons for growth are in place. One element that is sorely lacking at the moment is quality education - one fo the main reasons for incomes not rising and poverty is the skill gap that is now in place and widening. A lot of this is due to the poor quality of high schools. and most of this can be laid at the feet of the teacher's unions. Focus there. Fix this and the payoff in terms of productivity and employment will be significant. Don't waste time with nonsense statism that is only designed to appeal the lowest common denominator.

     

    A lot of jobs are gone and are not coming back - nor do you want them back. They are low paying and dead ends. What you need is a way to prepare people for the future. Not the past.

     

    E
    15 Jan 2012, 01:22 PM Reply Like
  • JohnLocke
    , contributor
    Comments (381) | Send Message
     
    "Outsourcing is just a way companies make their operations more efficient so as to compete. outsourcing leads to more jobs and more prosperity. not less. "

     

    So the logic holds that we have had outsourcing thus we should have more jobs and more prosperity yet reality is exactly the opposite.

     

    "A lot of jobs are gone and are not coming back - nor do you want them back. They are low paying and dead ends. What you need is a way to prepare people for the future. Not the past."

     

    I would think the 9% -18% unemployed would be happy to have some of those jobs. Life must look pretty good from that Ivory tower you are looking down at all of us from...
    15 Jan 2012, 04:58 PM Reply Like
  • Ryan Elblein
    , contributor
    Comments (38) | Send Message
     
    Econdoc is right when he says that outsourcing is just a way companies do things to be more efficient, however, it is the type of outsourcing that matters. When a product is manufactured it then needs to be shipped and some companies do not want to ship things themselves and find it more cost effective to outsource, not to another country but to another company who can just carry their goods. This kind of outsourcing is good for everybody since it makes more jobs and people make more money. However, when a company outsources the whole manufacturing plant to another country so that they can pay lower wages and not worry about such high safety standards, jobs and money are lost to Americans. This is the type of outsourcing that needs to be compensated for since many jobs are lost and never come back.

     

    Another point I would like to make though is that are you truly sure that the 9%-18% of unemployed people would like those jobs? Let's face it Americans are picky when it comes to jobs and with the way that unemployment benefits are these days I believe many of these people are fine not working in a factory or doing a manufacturing job that got outsourced.
    15 Jan 2012, 07:59 PM Reply Like
  • Jackson999
    , contributor
    Comments (468) | Send Message
     
    "A lot of jobs are gone and are not coming back - nor do you want them back. They are low paying and dead ends. What you need is a way to prepare people for the future. Not the past."
    ------------
    So WHEN do you think our country will get around to preparing people for the future?

     

    Does this preparation apply to older people (say over 40) or will it only be for those in their teens to early 20's?

     

    And what do we do with all the current displaced workers, some of whom have been unemployed for years now and some who are now living on the streets?
    15 Jan 2012, 10:51 PM Reply Like
  • Ryan Elblein
    , contributor
    Comments (38) | Send Message
     
    I believe that we need to first look at education and figure out a way to better educate the younger generations. The reason for this being so we can nip it in the bud so to speak. If we better educate younger generations then once they become older we hopefully won't have the same issues of today. After figuring out how to do that is when we look at how to fix the current generations.
    15 Jan 2012, 10:57 PM Reply Like
  • wmuraga
    , contributor
    Comments (4) | Send Message
     
    Great post!. We need people with such insight!. I support your perspective. I wish there are more people like you to educate the intellectually inept politicians....
    15 Jan 2012, 11:52 PM Reply Like
  • jeb101
    , contributor
    Comments (33) | Send Message
     
    Too little too late obama...
    15 Jan 2012, 01:41 PM Reply Like
  • Rich in Quebec
    , contributor
    Comments (4259) | Send Message
     
    Econdoc - A Martian looking down on Earth over the last few decades would have seen overall growth in wealth and in jobs. A half century ago, textile manufacturing jobs moved from the New England to the American South. They have now moved to "third world" countries. New England was saved by a superior school system and has done well since losing those low-skilled jobs.

     

    You're right in saying that education is key. But, Americans suffer from an anti-intellectual streak and a fear of government. Will money be spent on "government" schools with "unionized" teachers? Other countries are quickly winning the education race. Americans, it seems to me, are busily waging the race to maximum personal liberty. Winning the wrong race will lead to inferior results for American society even if it leads to a repeat of the Gilded Age for the winners, safely ensconced in their mansions and gated communities.
    15 Jan 2012, 01:58 PM Reply Like
  • Fueled By Randomness
    , contributor
    Comments (290) | Send Message
     
    Jobs move overseas mostly because it's less expensive to do the work somewhere else than it is here. The 2010 health insurance reform will make it more expensive to employ someone here. Is it really likely the tax credit he will propose will be enough to compensate for that increased cost as well as the existing advantages to outsourcing much work (i.e. lower labor costs, access to raw materials, cheaper energy)? Unlikely.
    15 Jan 2012, 07:55 PM Reply Like
  • Moon Kil Woong
    , contributor
    Comments (11024) | Send Message
     
    The best way to reward in sourcing is by cutting government, taxes, and regulations for businesses (not banks and financial institutions like the Republicans and Democrats have the last 2 decades). Another way is letting wages fall and breaking unions. Obama is not serious about in-sourcing at all.
    16 Jan 2012, 01:53 AM Reply Like
  • SlingWing9
    , contributor
    Comments (473) | Send Message
     
    Considering the fact that we live in a global economy, if outsourcing wasn't an option, how would Ford compete with Toyota, or IBM with Samsung. All people worldwide look for the most bang for the buck, but at the same time want a wage that gives them a quality of life far in excess of what third world wages entitle a person to live. Would you buy a car for $50,000 if you could buy essentially the same thing for $30,000? Here in the U.S. we bellyache about losing jobs and then turn around and promote the action by buying what has been outsourced simply to advance our quality of life by paying the least cost. So we Americans want our cake and eat it too.

     

    As far as education goes, our society no longer sees a high school diploma as being entry level into the job market for anything other than the lowest level in the service sector with some exceptions. If a person doesn't get at least a bachelors degree, they are condemning themselves to a lifetime of low wages. And not any bachelors degree is sufficient. A person's education should be in concert with demand.

     

    This is a near impossible society we live in with the majority of families living on two incomes and then try and raise a family at the same time. Add to that the commitment of time to instill in our children these concepts of societal expectations, incomes, and career guidance and where do parents find this time. Expecting schools to do the parent's job is a reneging on a parent's responsibilities. What a paradox we live - a kind of pain that tortures the soul.

     

    Should we stop outsourcing, we are condemning ourselves to a much lower standard of living for one, for another we would be killing the job market we do have because we Americans would not pay the kind of prices something made solely in the USA would demand, not in a global competitive environment. A catch-22, damned if we do, damned if we don't.

     

    I would not blame the education system without bringing parents into the equation as well, and I would not blame outsourcing without bringing into the equation a person's standard of living, and the only reason I would turn to government is that we are taxed so heavily that a family has to have a dual income to have the most basic needs met which causes our families to pay the consequences.

     

    There are no easy solutions, but there are solutions.
    16 Jan 2012, 03:52 AM Reply Like
  • Jackson999
    , contributor
    Comments (468) | Send Message
     
    There are no easy solutions, but there are solutions.
    ---------
    So what are the solutions????
    16 Jan 2012, 04:03 AM Reply Like
  • SlingWing9
    , contributor
    Comments (473) | Send Message
     
    I'm confident there are infinite variations to any solution, one being bite the bullet and one parent stay at home. That reduces a family's quality of life by half, but it is one of the potential prices of a family today. This is what my wife and I did and it was hard by any standard. It was our decision. Our daughter who is turning 18 now is brilliant with well-grounded values and ethics. The education system by itself could not have accomplished this.
    16 Jan 2012, 04:18 AM Reply Like
  • Rich in Quebec
    , contributor
    Comments (4259) | Send Message
     
    Slingwing - Just as in saving rather than immediately spending by means of indebtedness, your good family solution would be a collective disaster. The smaller the worker base, the less there is of spending and the more difficult it is to finance, let alone, pay off previous debts.

     

    Even today, with all sorts of Federal Reserve tricks to increase money supply, those who have it (Republicans call them the job providers) prefer to sit on their cash even at low interest rates.
    16 Jan 2012, 09:32 AM Reply Like
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