LCACM

My Proposal for Improving Lending Between Banks

The root cause of the current problem is that Americans do not have good job prospects due to the outsourcing of the Manufacturing base. Americans that could have worked in Product design, Testing, Quality Control, Maintennance etc have instead gone and obtained an MBA and created the current financial mess, by using Finacial Weapons of Mass Delusion. Do not forget that after the Great Depression that it was Engineering Public works that rebuilt the Economy that was destroyed by Wall St. By lobbying for deregulation Wall St. has managed to bring the US economy close to the brink again.This Free Market ideology was probably relevant during the times of Adam Smith, when slavery in the US and colonization by Europe was a well accepted fact, and automation was negligible. Since then the world has grown far more crowded, and due to automation the amount of goods produced far exceeds what people can afford due to lack of incomes. So for the market to grow, the focus should be on an international Minimum wage. US should impose tariffs on imports proportional to the wage/benefits differential, between the 2 countries. This would have the effect of growing the whole International market. Currently even large countries such as India and China depend on the US consumer market. US has only around 300M customers, whereas Indian /China have a combined population of over 2000M. How long is it possible for Asia to keep dumping on the US market, without destroying it? An international Minimum wage would create internal markets in Asia, Africa and Latin America. This would reduce the import pressure on the US and also enable US to export more goods to those countries. With time, more US student will then go into Engineering so that they can build bridges, roads, wind turbines, solar energy plants etc. and will spend less time conjuring Weapons of Mass Delusion.