The fix for the economy

       Alexander Hamilton, (Ten dollar bill dude) is credited as being the first American protectionism theorist. Let's look at some of his ideas.

1. "Protecting duties." (Tariffs.)
2. "Prohibition of rival articles or duties equivalent to prohibitions." (Outright import bans.)
3. "Prohibition of the exportation of the materials of manufactures." (Export bans on raw materials needed for industrialization here at home.)
4. "Pecuniary bounties." (Export subsidies, like those provided today by the Export-Import Bank and other programs.)
5. "Premiums." (Subsidies for key innovations. Today, we would call them research and development tax credits.)
6. "The exemption of the materials of manufactures from duty." (Import liberalization for industrial inputs, so some other country can be the raw materials exporter and we can industrialize.)
7. "Drawbacks of the duties which are imposed on the materials of manufactures." (Same idea, by means of tax rebates.)
8. "The encouragement of new inventions and discoveries at home, .and of the introduction into the United States of such as may have been made in other countries; particularly those, which relate to machinery." (Prizes for inventions and, more importantly, patents.)
9. "Judicious regulations for the inspection of manufactured commodities." (Regulation of product standards, as the USDA and FDA do today.)
10. "The facilitating of pecuniary remittances from place to place." (A sophisticated financial system.)
11. "The facilitating of the transportation of commodities." (Good infrastructure.)

(http://www.huffingtonpost.com/ian-fletcher/america-was-founded-as-a_b_713521.html)

       The basic idea here is to make sure American industry was given preference.  We forgot about that in the 80's.  In the 90's the factory workers, who now had no factories to work in, switched to construction jobs.  In the 00's those jobs began to dry up, as an economy that produces nothing cannot support itself.  So far, in the 10's we are seeing crippling unemployment, and the jobs that are being created don't pay as well as what was lost.  What do we do about it?

       Well, we begin by reinstating Hamilton's brilliant ideas.  That action alone will not immediately fix everything, but needs to be done.  Then we begin to assist the growth of companies that make pre-fabricated and modular homes.  Our workers mostly came from factories and switched to construction, and so are uniquely qualified for this.  The homes, or modules, are the same size as a standard shipping container.  This allows easy transport by road, rail, or ship.

       But to whom do we sell?  Our trade partners in Europe have regulations about historic areas, and their own protectionist policies.  But, much of India and Africa have a need.  We could provide them expertly built and wired homes, giving them no need to develop that particular set of skills domestically, and perpetuating the need to import homes from us.

       We would have a great export business for homes going in no time.  It would be a status symbol to have an "American Style" house.  This would set up further demand for American built goods.

       Once these trade partners are cemented, longing for the good stuff America can provide them, we leverage our true strength.  Food Production.  We do it better.  We do it cheaper.  We do it so well, we pay farmers to not grow food, just to keep the prices up.  Those prices are still a fraction of what the same food would cost in Europe.  

   

       I would point out, as well, that protecting American interests should not ever be a partisan issue.  Many say protectionism is something that the right disdains, as it hurts trade; and the left embraces, because it helps unions.  If it helps unions, that is only because they are covered under the broader category of "American".  If it hurts trade, the trade being hurt was not to our advantage anyway, so let it be hurt.  American dollars for sub-standard foreign goods is never a good trade.  

       Of course this idea is expressed facetiously.  Well halfway facetiously.  We do need to protect our interests better.  

Rapid Fire

       I know I promised lengthy discussions on topics, but sometimes there is a lot of ground to cover in a short time so hang on and close your eyes if you have to.  Remember, my views are mine.  I only speak for myself, and sometimes my dog, but never anyone I have ever worked for, or whose schools I have attended, public or private, real or imagined, dead or alive.
   
       In my former fair city of Chicago there is currently a movement led by alderman Danny Solis to make the possession of marijuana a misdemeanor, punishable by a ticket, rather than jail time.  Rather than focus on what may or may not be the positives and negatives of this move in terms of legalization, lets focus on the alderman's argument.  That argument is that police spend 89,000 man hours arresting, booking, and jailing offenders.  That is just the police in Chicago.  No other city, not counting court time, etc.  This alderman feels that the officer's time would be better spent on more important things.  Good point.
       Alderman Tom Tunney is suggesting a crackdown for ordinance violations in the city ranging from dog licencing, and handicap parking to using camera technology to enforce speed limits and sidewalk shoveling.  I like that, enforce speed limits with robo-tickets.  That is the point when you stop pretending it is about safety.  A police officer giving you a warning enforces the speed limit.  An electronic ticket, aside from violating due process, is only about revenue.
       So Chicago news is summed up as:  Marijuana possession, decriminalized.  Not shoveling snow that you did not put there: criminalized.  See what I did there.

       At work we had a teleconference where some upper level executive was proudly telling us how CEO's of other major companies are approaching our company with basic problems, and asking for solutions.  He was rather happy because this clearly meant more money for our company.  What's not to like?  It does point to a sad truth though.  The CEO of a hospital does not know enough about running their business to know what equipment, or professionals they need to treat patients.  At that level this is actually expected.  They also don't know enough to ask the Doctors and Nurses and Technicians who already work there, and would know this information.  Likely they would know it better than the sales team of a single company.  Just sayin'...

       The Gross Domestic Product is up.  That is pointing to a recovery, or at least the end of the downward slide.  This is great news.  Unless you are unemployed.  See the current 9 percent rate is only those collecting unemployment.  The actual rate, which counts people who are no longer looking, no longer eligible, and the people with advanced degrees working the drive thru., is around 30 percent.  If you are a teacher, a nurse, or in any field where governments' bad decisions affect your ability to find employment, then the following does not apply to you.  With unemployment so high, and growth occurring anyway, there is only one interpretation to be had.  Those currently unemployed, with the exception of those listed above, were not really needed.

       In the paper today some buffoon wrote in bashing the tea-party.  I will not defend the Tea-Party, or their practices.  This buffoon's letter, though was not attacking their beliefs or practices.  Rather she was attacking the fact that these people are "half-educated, non statesmen".  Perhaps it is time for a civics lesson Martha (redacted) of Crystal Lake.  Our founding fathers were half-educated non statesmen.  Our country is founded on the belief that half-educated non statesmen can run it.  Until recently you would have been laughed out of the room for such an asinine moronic inaccurate statement.  Since we mostly have Ivy-League-educated statesmen running government now, and given the complete wreck they have made of it we should give the half educated non statesmen their shot.
 
       The true crime here isn't that the GOP has a splinter group of half educated outsiders that are winning elections.  The crime is that the Democrats don't.