« Friedman and NYT confirm China free trade was sold on false pretenses | Curtis Ellis's Blog | The U.S. Trade Deficit Caused the Recession and the Financial Crisis »
Economic Stimulus We Can Believe In
This is a first - an industry asking for strings to be attached. It's
like the banks asking to be required to loan the bailout money they
receive.
From the New York Times:
Something else to consider... The recovery package may include spending to weatherize Snow Belt homes. Obviously, this will create jobs for tradespeople, as this NY Times article explains.
Buy America helps boost domestic employment, domestic manufacturing capacity, and increases the velocity of money circulating in local economies, multiplying its benefits.
From the New York Times:
"What we are asking," said Daniel R. DiMicco, chairman and chief executive of the Nucor Corporation, a giant steel maker, "is that our government deal with the worst economic slowdown in our lifetime through a recovery program that has in every provision a 'buy America' clause."Nucor's 'buy America' proposal is critical to making certain we get the most bang for every buck spent on recovery programs. Along with jobs on the road gangs (or rail gangs), we'll have jobs in mills forging the I-beams and rebar used to rebuild highways, bridges and railroads, jobs in the stores where mill workers spend their paychecks on clothes, cleaners, food and household goods, and fewer foreclsoures in the towns where all those people live.
Something else to consider... The recovery package may include spending to weatherize Snow Belt homes. Obviously, this will create jobs for tradespeople, as this NY Times article explains.
Weatherizing a million homes annually would also create about 78,000 jobs for a year, according to the federal Energy Department's weatherization project director, Gil Sperling.Weatherization typically involves insulating heating ducts and water heaters. Contractors should be required to use domestically manufactured insulation materials as a precondition for receiving federal funds.
The current 140,000 annual total creates about 8,000 jobs, Mr. Sperling said.
Although that is a tiny fraction of the five million green-collar jobs that Mr. Obama promised in the campaign, "it's a decent number of jobs per dollar spent," said Harry J. Holzer, an economist at Georgetown University and at the Urban Institute, a nonprofit group in Washington. "The work is productive, and the jobs are at a mix of skill levels."
Buy America helps boost domestic employment, domestic manufacturing capacity, and increases the velocity of money circulating in local economies, multiplying its benefits.
Advertisement












There out to be a tax credit to homeowners and businesses for this, too.
January 5, 2009 1:38 PM | Reply | Permalink
Totally agree. Part of achieving national energy independence will entail the efficient use of whatever energy we require. I would also encourage alternative energy tax breaks for incorporating photovoltaics into new or existing homes.
January 5, 2009 3:41 PM | Reply | Permalink
Back in ancient times..mmmmm,'bout thirty years ago, there were incentives in the form of tax credits for solar and other alternative energy modifications to homes. The initial costs for these home improvements were outrageous and few ordinary people (like me) could afford them. Plus, they weren't that well designed or effective. (I do live in the snow belt so I know when the insulation isn't doing its job :o)
There's been a tremendous improvement since and I would love to see tax breaks once again offered to people using alternative sources.
And, yeah. BUY AMERICAN!!!
January 5, 2009 4:33 PM | Reply | Permalink
Yes. And buy American.
January 5, 2009 3:48 PM | Reply | Permalink
And throw out the "Money-Changers": a word (or two) from the President-elect-in-two-weeks: My fellow Americans, this is what I REALLY want to say about our recent economic turmoil but can't say because..... I DON'T WANT TO END UP LIKE PRES GARFIELD AND LINCOLN by the greater powers of the Central Bank and the pseudo governmental institution of the Federal Reserve so I will channel my inner thoughts through my successful internet campaigning methods. With that in mind, check out this Youtube video--it's long, about 3.5 hours, produced in 1995 (that foresaw and warned about the recent financial crisis of 2008!) The title of the Youtube video is called The Money Masters - How Bankers Gained Control of America or link here: http://www.youtube.com/watch?v=OnwLgrSJZKs&feature=email
I'm almost POTUS Barack Obama and I approve this week's address to the nation.
January 5, 2009 4:53 PM | Reply | Permalink
Hmm...
Other than the fact that putting "buy american" in legislation is in violation of every WTO protocal and regional/national FTA we've signed in the last few years (I guess liberals can get on the "America can ignore international law" bandwagon if it's their own pet cause at stake, rather than extraordinary rendition), it would ensure that we diminish competition for government funds and get -less- for our stimulus dollars than we otherwise would.
Not to mention probably closing off export markets to US producers when other countries retaliate.
Here's the point: If you believe that the United States is a halfway decent country, then you perhaps ought to think that Americans can do things as well as foreigners. And that "Buy American" shouldn't be necessary (and people who say it is are trying to jack up their prices or protect their incompetence).
If you don't believe the United States is an even halfway decent country, I imagine you have very little to say in this debate anyway.
January 5, 2009 6:05 PM | Reply | Permalink
Yes, didn't Hoover try tariffs after 1929?
These days, "buy American" is a bit thin. Electronic components are made overseas, soldered onto circuit boards (often overseas), and those are inserted into appliances to be sold here. If the final work is done here, is it "American"?
A key factor is mark ups. A $6 mfg. item from China might wholesale for $12 here and retail for over $20. Should we begrudge profit on $6 if the wholesaler is an American company doing business on both sides of the border?
But these electronic ballast fluorescent bulbs which replace incandescent bulbs and use nominally 1/4 of the power for a buck on sale but then die after a year, dunno.
January 6, 2009 2:38 AM | Reply | Permalink