During a period of ten years, I developed a completely new set of ideas to increase manufacturing jobs and reducing the trade deficit. Some of the ideas do not require Congress to raise or lower taxes or social programs. They have recently published a selection of them in a forum:
The ideas have received positive feedback there. These ideas are as follows:
Best solution for competitiveness
Abstract: A de facto minimum wage increased international agreement would be a better solution than the massive decline in U.S. wages and salaries which the Conservatives are working.
The reason Obama is struggling very hard to solve the problem of trade deficit is that the loans to pay for excess imports more loans to pay interest on the increased debt to foreign lenders, will ultimately produce a collapse U.S. economy worse than the last couple of years. That
in turn, leaving China as the sole remaining superpower in the world.
Obama has asked the rest of the world to help reduce the trade deficit, but foreign nations involved have denied, or only a symbol. For example, India recently said that buying an additional $ 10 million United States dollars in exchange for us to support a permanent seat on the Security Council of the UN, but $ 10 billion to do almost anything to help the trade deficit that swings around $ 500 billion dollars a year figure.
The business community and conservatives want to resolve the problem by lowering U.S. wages and salaries to a level competitive with third world nations, so that American workers can produce goods cheaper than those sold by China, Philippines, Indonesia, Bangladesh, etc. That would make the middle and lower class poor.
There are two ways that the Conservatives could do it. Some Republicans are proposing the elimination of the minimum wage, and social programs like unemployment insurance, food stamps, etc., ie, do not say "unemployment insurance", etc, but the budget deficit is so high that without raising taxes on higher income earners, the only way to produce a balanced budget that was requested by the Republican Movement and the Tea Party would be to eliminate all social programs. Once the above is done, people would have jobs as wages of an employer is willing to give, or face real hunger.
The other way to do so would be to promote a high level of inflation, without increasing the minimum wage, etc. With a thousand percent inflation, the minimum wage actually become worth only abut 70 cents per hour, for example, and $ 300 per month for food stamps a family would become $ 30 per month. Inflation is caused by printing money, and the Federal Reserve has announced it is initiating the printing of approximately $ 600 billion in new money in the near future.
However, the reduction of American wages and salaries is not the only possible way that American exports competitive. You could also make the competition to bring wages in foreign nations to a level of America.
This could be done by a rapid increase in international minimum wage. As the international minimum wage increases, which would pay for itself to foreigners, because the income of older people, enabling companies to sell more goods and services, which would produce more economic growth. Just keep wages stagnant economic growth. The higher wages in foreign countries that would mean more sales of goods and services produced by American workers at current wage levels.
We could do this effectively enough unilaterally immediately. I should not wait for the long process of making a new international treaty.
The method would be for the United States to pass legislation that would allow countries to sell their products and services in the United States, a corporation, foreign or domestic, would be required to pay employees anywhere in the world to an extent that the lowest employee receiving a salary equal to the minimum wage in America. For example, if a Chinese company wanted to sell something in the U.S., its lowest level employees must earn no less than the minimum wage in America.
In this way, the whole world that the United States seeks economically would be paying at least minimum wage in America. Companies from other nations to do this because they want to sell to the United States, and this would also be very popular with workers from other nations.
It is true that the introduction of a requirement of all the minimum wage in force immediately could cause economic chaos too. However, if it were implemented over a period of five years, which would be sufficient time for companies to adapt. Thus, under de facto minimum wage could be 20% of America's minimum wage the first year, 40% the second year, 60% the third year, 80% the fourth year, and 100% thereafter.
Note that legislation to establish an international regime de facto minimum wage does not add anything the deficit or require spending cuts and tax increases. Therefore, there would be no political reason for anyone to oppose it.
If the Republicans threatened to block legislation, only to be blocking the way things have been doing, the consequences of reduced wages international agreement not to approve the minimum wage and the fall of the United States to be a poor power, a third class If the trade deficit is not reduced might be explained to voters. The voters know so it would be a terrible thing for Republicans not to support it.
Of course, it is urgent to start in the legislative process quickly, because if not, then the wages and salaries are massively reduced in either of two ways discussed above.
There is another option for the rapid creation of new manufacturing jobs in the United States would not be necessary to increase the budget deficit or raise taxes.
Should not the cost of living adjustment Social Security for this idea to work.
People may acquire additional income from social security, and that the money would be used to create many new small manufacturing companies. Some of the small manufacturing companies probably remain small in order to continue to provide only a modest contribution to the U.S. economy. Some would probably become the major companies make new products in the United States, both for domestic consumption and for export.
Interest rates unusually low at the moment, but in normal times, annuities typically pay 6% or more. You can do that, because when a person dies, no return to what the person has in
Therefore, to be attractive, I think a program for the purchase of additional funds from social security would attract adequate amounts by paying 6% more than the cost of living adjustment. That means every $ 200 paid in person would give an extra dollar of income per month, when the person reaches retirement age. If the person is already receiving social security, additional income to start immediately.
In addition, foreign citizens are allowed to buy social security pensions for them at the same speed. Produced by small companies manufacturing new year, and further reduce net debt to foreign lenders at the bit immediately to bring new dollars in the United States. In the long run, it would be a payment to foreigners when he began to receive social security but would be offset by manufacturing in the United States.
There are several ways the money could be used for the implementation of new manufacturing firms in the United States. Whatever method is used, it would be of vital importance that the letter of all new business and its agreement with the federal government should specify that all products manufactured by the company would have to be manufactured in the United States, at all times
the future existence of the new company. It would also help large companies to acquire new companies that proved successful. However, the manufacturing agreement-in-the-United-States to continue holding of the subsidiary, when a company became a subsidiary of a large corporation.
I have a recommended method, which probably could be improved. It is designed to ensure that very few of the manufacturers of new error. The greatest danger of failure in the early years, when a customer base has not yet developed very far, and a new company has fixed costs, however, must pay such as rent and interest on loans. With a still fluctuating
Early customer base, there will be periods of lower revenue for the company and the periods of higher income. Often, a period of lower income will make the company to fail when they can not make your rent and interest payments.
Therefore, each new company will begin to own land, original buildings and housing for the owner or several partners. The cost of that would be part of the loan, the government provided for starting a business. The loan, of course, include all equipment necessary for commissioning and initial working capital.
Now, as part of the protection of new businesses fail, the government loan non-interest bearing. Instead, the principle would be reimbursed at a rate of ten percent of what the company actually sold each quarter. Thus, temporary reductions in sales would not cause the company to fail. The payments, of course return to the social security fund.
Then there would be a landmark agreement. Permanently, the company would pay 3% of their gross income on social security payments, payroll tax --- funds are not counted as part of this, of course. The permanent income than one would expect, I think, provide full funding
for the social security fund in the coming centuries. If 3% did not solve the problem long term social security funding, the percentage could rise to a level that could solve the problem. All this would have to be estimated at first because it would be better to have a firm agreement with each new business from scratch, with the percentage of gross revenues paid into the social security fund are the same for the company (or subsidiary if became one) for all time.
The government selected the new owners likely to do well in running a business, and provide oversight of the early years as needed. Once a company is securely established and the owners knew exactly what they were doing, monitoring the government would withdraw.
This would not be socialism at all, by the way, because the end result would be a group of companies free enterprise. That would be similar to much of what China has been doing to produce about ten percent growth rate the last couple of decades. The Chinese government gives temporary help firms, which then continue as private companies in the free enterprise once they are well on their own.
China remains socialist in some ways, but for the most part, China has become a nation free enterprise.
For example, one of my ideas would be the imposition of a fee required Investment (RIF). This is seen in either the retail or wholesale, something like a sales tax but a tax would not be real. The RIF would be the same for domestic and foreign. Instead, the money needed for investment income Cargo RIF enter into special bonds issued by the federal government. Non-interest bearing bonds. Bonds can be bought and sold, but could only be charged if the bailout money used to build new factories in the United States. So, I mean really new. Just building a new factory to replace an old one not closed
count.
RIF bonds to be issued to companies, foreign and domestic alike, which makes products people bought. Any company can use its revenue bonds under federal government supervision sufficient to ensure that this happens, to build a new factory in the United States or could sell their bonds, no doubt, at a discount to another company I wanted to build a factory in the United States. In a number of areas, a new factory can be designed so that it can compete with products made by low-wage workers abroad. There is no doubt that companies specializing in the construction of factories to be competitive in that way.
One source of new exports to our range are products with new designs, special designs of the new museum quality.
To create the avalanche of new designs that we have to increase enough to save exports to the United States, we must increase the number of artists, encouraging them to do the work of the highest quality, and make arrangements to have their designs manufactured United States States.
There are several ways that could increase the number of artists, so there are many options to choose from.
1. Could provide an income of $ 1000 per month (ie, equal to $ 1000, 2010) to anyone who wants to be an artist and has the right skills, with the provision that to maintain income, the artist must work on time complete. The artist gets everything he or she earned from the sale of their work without affecting the grant. One million artists supported in this program would require one billion dollars a month in grants, not all that much compared to many programs. Taxes paid on sales would probably most of that cost to the government.
2. You could pass legislation that would allow people who bought the work directly from the artists who made them, to have half of the purchase price of the products as a tax deduction. Most of that cost would come back in new taxes paid by artists in the income they receive.
3. We could provide all adults in the country a credit equal to 1000 2010 dollars, so the adult could be used for the purchase of any direct work of an American artist who did the work. That would cost something in the area of 200 billion dollars per year. I'm running for various reasons, so it did not look up the exact number of adults in the United States at this time.
Some people may be able to come up with new ideas for options of further adding to the list above.
To drive the quality up, there are several things that could be done.
1. Could be a number of awards each year for high-quality works that had been done during the year. If I had a million artists, we could have 50,000 prizes of $ 10,000 each, for example. That cost 5 billion dollars per year.
2. We might have teachers who continuously provide instructions and examples appropriate (images of works in museums) to the artists, with the aim of getting the work of each artist to museum quality. Each artist, for example, might have 100 hours of instruction this year.
Others might be able to add to this list.
To manufacture products in the United States would hold the copyright on the works of artists strong.
So we want to do something to encourage companies to start making products with new designs from artists. Since it would be copyright, no foreign company could produce new designs in competition with American products, so no need to worry about cheap labor outside the United States. Then, in exchange for incentives to companies to start producing the designs, the companies signed a contract strong binding always making the whole design of new products in the United States.
various incentives would be possible.
1. Each company may be proposed by the government of half the cost of the new factories needed to manufacture a new product design.
2. In the U.S., each time a customer bought one of products of new design, he or she could have half the cost as a tax deduction.
3. Corporations be allowed to join a government funded cooperation supermarkets everywhere that sell only products of new design.
4. The shareholders of the companies manufacturing the new design would be allowed to pay no taxes on corporate dividends.
Others could not doubt add other options to the list.
What we must do to save America is to have a national debate earlier lists, and other ideas from other people might have to add to the list.
No matter if my ideas were used in the end, if someone's ideas were used.
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