General Electric goes abroad to lower costs and boost profits. Goldman Sachs invests overseas in the same kind of low-wage, high-profit enterprises. That is the mission of such businesses. But the US government has never taken on the mission of defending the American economy, or the American people in the global economy. Wrote Harold Meyerson, the columnist at Washpost.com
My comment: Multi-national corporations go overseas for higher profits due to low wages for the workers. Total profit is total revenue minus total cost. CEOs have their economic clout that the government has no authority to interfere under our private-sector-oriented free enterprise system. The trite expression:"What is good for GM is good for America" as a fallacy of composition is no longer applicable in the macro-sense. Former CEO of Goldman Sachs and the present Treasury Secretary Paulson with his distinguished expertise is the authority to optimize and maxmize the American economy for both private and public sectors. The evidence is clear enough.
Page D1: A new poll finds Americans feeling a lot more squeezed thereby making no progress over the past five years. Presidential candidates are aware of such situations. Another headline: Bleaker hopes for a good retirement due to lower income,rising costs of health care, food and fuel plus declining home values.
IMF forecasts rough economic weather for all nations especially middle class folks who are struggling harder to maintain existing lifestyles.
What would be the possible way to survive? Shop at Asian shops and fill up gas at independent stations and eat Chinese food with nutrition but less cost especially a hearty buffet lunch to skip supper to save the cost for 3 meals. One heavy meal may be recommended. Here is a case for individuals in the microview of Sino-Americaneconomics. Francis Shieh a.k.a. Xie Shihao,a thrifty octogenarian. 4/10/08.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment