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Buy American Opponents: Un-American |
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What do Russian Prime Minister Vladimir Putin and the U.S. Chamber of Commerce have in common?
They both oppose provisions in the economic recovery package that would ensure that taxpayer dollars are spent on products that are made in America-to the maximum extent possible. The Buy America provision survived the recent Senate debate, despite attempts to kill it by someone who consistently wraps himself in the American flag: Sen. John McCain.
In the words of United Steelworkers President Leo Gerard, organizations like the Chamber of Commerce and Business Roundtable “want to give American tax dollars to foreign manufacturers to create jobs overseas.”
The U.S. Chamber of Commerce wants to spend the tax dollars of unemployed Americans to create jobs in China and Indonesia, Korea and India. The 15 business groups sent a letter to Congress opposing provisions added to the recovery package that would strengthen existing laws requiring government agencies to buy American steel and other products when building public works projects with tax dollars.
In the House, the Buy America provision, sponsored by Rep. Pete Visclosky (D-Ind.), required stimulus projects to give a preference to American-made steel and iron with certain exceptions. A Senate committee made it even stronger-Sen. Byron Dorgan (D-N.D.) extended the Buy America provisions to include “manufactured goods.” An amendment introduced last night by Sens. Dorgan, Brown and Baucus clarifies that the Buy America provisions in the recovery bill will be applied in a manner consistent with U.S. international trade obligations.
In a discussion last night on PBS with John Bruton, European Union ambassador to the United States, AFL-CIO Secretary-Treasurer Richard Trumka successfully put in perspective the European protests against Buy America, listing some of the ways Europe protects its own industries and pointing out that
this is a stimulus package to get the American economy going. Now we’re going to spend almost $1 trillion, and we won’t get our economy going unless we actually spend that money here and create jobs here. It’s American taxpayers saying we want to spend our money to get American jobs and the economy going.
On Facebook, a group set up in support of Buy America-Spend American Tax Dollars on American Companies-is fielding attacks on the provision. The trolls making noise are in a minority. Recent polls show 86 percent of Americans support the Buy America provisions-including 79 percent of Republicans.
On Jan. 29, the American Iron and Steel Institute (AISI) released results of a national survey of more than 1,000 adults showing that the vast majority-86 percent-supported the Buy America provisions for stimulus projects.
Yet, as David Sirota notes, the corporate campaign against Buy America is gaining steam. One of its scare tactics is to assert that “by restricting the use of foreign-made materials and goods, these provisions could precipitate retaliation from other countries.”
Economist Dean Baker puts this “trade war” red herring in its place, asking:
Why would our trading partners start a trade war over a bill that increases demand for their exports? That’s right, the stimulus bill will increase demand for imports, including for imported steel. The bill will lead to more growth, which will increase demand for all products, including imported steel. That will be the case even if we have barriers that limit the use of imported steel for a small part of the stimulus. So, will our trading partners start a trade war because we are buying more of their products?
Buying American goods with U.S. taxpayer dollars is a no-brainer. So, if fears of a “trade war” aren’t the real reason for opposing Buy America, what is?
Baker has the answer:
“Free traders” could not care less about free trade. They don’t like policies that favor ordinary workers, like those in the steel industry. On the other hand, they are very happy when the government intervenes to help the rich, as was the case with the Wall Street bailout.
And that’s un-American.
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This article, and the entire notion of “Buy American” protectionism, is extremely demogogic. A few points in what on a topic that requires a full and critical debate. This is especially important for any INTERNATIONAL labor movement that has affiliates in Canada and relations with unions in other countries (Mexico? etc.). I believe the International labor movement has seriously protested against the murder of hundreds of trade unionists in Columbia, for example. How about the slave-like conditions of working people in China?
Thus any policy that favors working people in the United States must also consider the effect of these policies throughout the world as we now have a globalised world economy. This globalized economy is unfortunately a capitalist globalized economy. That is, the world economy is forever organized to profit the financial elites. This profit is forever at the expense of working people in all countries. Does the AFL-CIO want to support policies that hopefully would help U.S. workers by destroying the jobs and livelihood of Canadian workers?
“FREE TRADE” that was set up by treaties like NAFTA and organizations like the WTO (all controlled by U.S. capital in partnership with the financial elites of foreign countries) is devastating to both the workers in the U.S. and in the foreign countries SIMULTANEOUSLY.
FREE TRADE means totally unregulated gangster capitalism out to “make a killing” (often literally) by exploiting to the maximum the working people of the “trading partner”. Unions are murderously discouraged. Privatization of the social programs to ameliorate the conditions of the poorest in foreign governments is demanded. Even water has been privatized! No environmental laws are allowed that would diminish the profits of the investing corporations.etc.etc.
The demand for FAIR TRADE treaties and organizations, tries to solve these abuses within the framework of capitalist globalisation. But this is simply not possible.
The fundamental problem is that global capitalism, in its demand at maximum profit by any and all means possible (up to and including war), is incapable of filling the economic needs of the working people in any country. “Buy American” will only fill the money-bags of some domestic corporations. But out of necessity, these companies will still seek to maximize their profit by exploiting their local “human resources” as always. These same companies do not want to pay “living wages”, nor pay for health care insurance, retirement benefits, etc.etc. because these essentials for working people diminish and minimize profits.
The only end to this unending history of massive impoverishment, vast social inequality, wars, unchecked global warming, etc. is to end the system of economics that has always produced these calamities. We must end capitalism. We must transition to a socialist economy that provides for the economic needs of the vast majority of humanity, the people who create all the wealth of the world, the working people of the world.
The simplistic cries for “Buy American” protectionism is a no-win prospect for working people in the U.S. and worldwide.
This article from WSWS discusses this further:
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The rising tide of economic nationalism
30 January 2009
Peter Symonds
http://www.wsws.org/articles/2009/jan2009/pers-j30.shtml
“As the global economic crisis continues to deepen, the unmistakable stench of economic nationalism is on the rise around the world. Confronted with collapsing industries and growing anger over job losses, governments are reaching for protectionist measures despite the disastrous consequences of such beggar-thy-neighbour policies in the 1930s.
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The Democrats in the House of Representatives went one step further by including a “Buy American” provision in Obama’s $825 billion stimulus package approved on Wednesday….
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Such measures threaten to provoke escalating retaliation and a full-blown trade war. …
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While those promoting “free trade” speak for the bankers, financiers and more globally competitive sections of capital, there is a definite constituency for protectionism among less competitive industries….
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The working class cannot defend its interests under the banner of either protectionism or “free trade”…
Peter, this is a “stimulus” debate on where the money should go. It’s the American public’s tax money and it should go towards American jobs. Period. All other products are still fair game. The idea that a “new” initiative would create a trade war is ludicrous.
Socialism doesn’t work and never will,There will be no trade wars over a buy American Policy all of our trade partners have similar if not stronger policies and it is time for our government to stand up to the rest of the world.
As far as the stimulus package goes it isn’t going to be our money, we don’t have any,I’m for the stimulus but I feel much of the money is directed at the wrong places.Our Congress could to a much better job if everyone would get off of their pet projects and work for for all of the people.Much of this money will do nothing to stmulate anything but arguments.
Dr on 08.02.2009 at 12:52 (Reply)
It is not possible to refute here, in a “comment”, to respond to the usual corporate propaganda that “Socialism doesn’t work and never will,”
The implication here, of course, is that capitalism does “work” ? For who? Capitalism does not “work” for the vast majority of people, especially working people who try to live off their increasingly inadequate wages.
Corporate capitalism is now destroying American workers standard of living.
The organized labor movement, forever a “business partner” to the corporations, is actively agreeing to and promoting this destruction. For example:
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With government deadline for concession deal approaching
Automakers, UAW move to create low-wage workforce
By Jerry White
6 February 2009
http://www.wsws.org/articles/2009/feb2009/auto-f06.shtml
“General Motors and Chrysler have offered buyouts and early retirement packages to their entire combined workforce of 89,000 hourly workers in a move aimed at ridding the industry of higher-paid veteran workers and replacing them with new hires making half the wages.”
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After reading this article, the question must be raised: To what purpose
is organized labor? Why EFCA? With the on-going destruction of working people who are organized at private businesses, at what point will the
unions and massively threatened working people “draw the line” and say “enough!”
The “Buy American” campaign first of all will benefit SOME of the U.S. companies that literally cannot “compete” in the world market and still make a handsome profit. When the trade barriers go up, and these companies are protected against imports, do you think it will seriously benefit the workers employed at these companies? Only slightly. Why? Because, like all companies out to mazimize profit, they will still minimize wages (for U.S. workers), still cut out all benefits possible (health care, retirement, etc.)
In other words, the working people today in the U.S. are in a “no win” situation facing an impossible economic situation that cannot be softened, or ameliorated under existing capitalist control of the government. The corporations “own” both Democratic and Republican parties. They have been and are “looting” the treasury and throwing the entire country into debt and depression. No relief for working people is possible while this corporate, capitalist system continues its plunder.
Thus the military-industrial complex demands more wars and big defense budgets. Thus there will be no economical single-payer health plan to serve the needs of the people. But we will have a health plan which maintains the corporate profiteering of the big drug companies, health plans, thanks to Obama and Clinton.
All of the benefits once won by union contracts and now being thrown out by employers, should be supplied by government support of public education, public health care, etc. But these are being destroyed because the wealthy and corporations do not want to pay ANY TAXES. Corporations now pay no Federal income tax. This is glorious capitalism at work today. It is impossible to understand these “facts of life” by watching capitalist controlled tv or reading the corporate controlled mass media.
If some sort of strategy is not now developed by organized labor and working people, this USofA is going to plunge into complete economic depression. With no jobs and with a bankrupt federal government, there is no rent money, no money for utilities, no food, no health care, no schools, and no hope for a future … individually or as a society. Food riots, water riots, anarchy will be our future. The Bush regime has already deployed over 20,000 troops from Iraq to be deployed in the U.S. to supress “civil disorder”. This is happening NOW!
What can be done to move this country away from this disaster?
The only hope for us all is the that a new alternative economic system must be created that is focused on filling the economic needs of all the people. Such a system is called generically “socialism”. (NOT the collapsed system that existed in the USSR). Ownership and democratic control of the economy by the working people of the country is essential.
The organized labor movement must organize and mobilize itself NOW if this impending depression and destruction of working people is to be averted.
1. The concept of being a “business partner” to corporate capitalism must end.
2. New mass media must be created to educate all working people about capitalism and the critical need to end corporate control of government.
3. A new anti-capitalist, socialist political party should be created to end the monopoly Democratic/Republican two-party corporate dictatorship. No funds from corporate interests allowed.
4. Candiates committed to a program of ending war, cutting the defense budget,
raise taxes on the wealthy, etc.should be run at every level of government.
The utterly corrupt banking system should be nationalized. Privatization of the federal government should be ended. The entire polluting energy industry (oil,gas,coal, nuclear) should be nationalized, made sustainable and non-polluting, and their profits used to fund the needs of the people. No more wars for oil (Iraq, Middle East) or profit (US biggest arms dealer in world) that has slaughtered over 1 million people in Iraq alone.
Jerry Wells what you call capitalism in nothing more than GREED by a few thieves that should have been regulated and were not.If you like socalism so much move to Russia it worked pretty well for them.Eutopia does not exist and so long as there are people with different wants and needs it never will.
It’s true that the point of a stimulus package is to put public funds where they will do the most good, and that may well include specific provisions to support US manufacturing. But can we dispense with this nonsense about “standing up to the rest of the world”? One big impact of globalization has been to make the rest of the world all the more vulnerable to fluctuations in the US economy. We in the US have allowed our Wall Street speculators to run amuck for years, and now the whole world is paying for it. When the Japanese economy tanked a few years ago, Americans barely noticed. But now that the day of reckoning has come for us, it’s precipitated a global crisis which is hitting other countries–especially developing countries–even harder than it’s hitting us.
None Dare Call It Economic Treason !
I don’t understand how protectionism of American industy, and manufacturing should be a dirty word. The first duty of a country is to look out for their citizens. There should never have been free trade agreements in the first place. These free trader’s keep talking about retaliation by other countries. What, are they going to stop buying our scrap paper & rags, and scrap metal? I don’t think so.. I would like to know, how many cars, appliances , industrial macines, and machine tools, electronics , Tv’s, steel , and steel products, and aluminum etc. that China, India , Indonesia, Russia, and the rest of the world buy from us.
If the economic stimulus does not mandate American steel, and American made products, it will be a failure, and just lead to more economic stimulus packages that the U.S. cannot afford. If other countries are going to supply the materials etc for rebuilding our country, they pay no income taxes, or any other kind of taxes to support these programs. They do not contribute to our Social Security and Medicare system. In fact, they do nothing to support our country. If Americans have good well paying jobs, they pay taxes to the Federal gov’t, state gov’ts. county and city gov’ts to support our way of life. America has given our well being away to other countries.
Whenever the projects that the cities and states are finished, with out rebuilding Americas Industry, and manufacturing, we will be right back where we are now, only worse.
There is one thing for sure . Fast Food jobs, warehouse jobs, moving foreign made goods around , and jobs at Walmart, will not make this country prosper. I also notice, when I have problem with my computer or most other devices, I talk to technicians in India. .So technical jobs, or medical billing and such are no longer safe jobs for Americans
Americans should come first. When America does well, the whole world benefits.
If we would have had the kind of trade agreements that we have now, during World War 2, The United States would not exist. We would not have been able to win the war, and rebuild Europe, and Japan, and other countries.
I don’t think Americans fought and died so that other countries could take all our industry. They fought and died for our country, and so should our gov’t fight for Americans
Protectionism is not a dirty word. It is the patriotic duty of our Government, and all Americans.
Thank You
There are many words and assertions in the previous posts. One statement in particular took me aback.
The statement is: ” Socialism doesn’t work and never will”.
Huh?
There is overwhelming evidence to the contrary. Here in the U.S. we have corporate socialism, and it works quite nicely for the Wall Street crowd, and for corporations who have chosen to move U.S. jobs offshore. Both enjoy hundreds of billions of dollars in tax-payer financed protection against economic loss.
Then there are those who would privatize everything. Much of our military has been privatized. We’ve seen the corruption that has created. Halliburton, Blackwater, General Dynamics and other conglomerates have reaped harvests aplenty thanks to the no-bid, tax-payer financed contracts they were handed. There is also a growing movement to privatize our public infrastructure, like bridges, highways, and electrical grids. Using our tax dollars to benefit private investors is an example of
corporate socialism.
In the 1990’s 1% of the population owned 18% of the wealth. Today that same 1% owns 40% of the wealth, thanks to corporate socialism.
Look around you! Are the wealthy facing foreclosures? Are they struggling to pay for medical care? Are they being robbed of their pensions? Do their kids go to run-down, under-funded public schools? Of course not! Thanks to corporate socialism they all live high on the hog.
Personally, I don’t care if people call it socialism or rheumatism. I just want America’s working class to get its fair share of the bounty. There is a remarkable difference between what we workers expect as compared to what Wall Street and corporate America expects. We’re willing and anxious to work for our money!
We’re not asking for handouts. We are, however, calling on government to make sure safeguards are in place that are designed to put people to work at jobs paying livable wages. That means ending corporate socialism.
Buy American? As long as our tax dollars are being spent, we the people should have control over where our money goes. While it is true that people in poor countries experience economic hardship, it is false to conclude that by shipping U.S. jobs offshore we help alleviate their pain and suffering. The dictatorships that rule those nations with iron fists are the villains. So, too, are the World Bank and the International Monetary Fund. Both are examples of corporate socialism. When South Africa won its independence in 1994. the WB and the IMF threatened to withhold credit to that liberated country unless the African National Congress agreed to pay the debts incurred by the former apartheid government of South Africa. In other words, South Africans are being required to pay off the debts of their former oppressors! That is corporate socialism!
Forget all the self-defeating chatter about “socialism” or the evils of “redistribution of wealth”. Why bring those diversions up now? People are sure as hell silent about corporate socialism and are mum on the issue of redistribution of wealth that goes from our pocket books into the bank vaults of rich, greedy, morally-bankrupt Wall Street/corporate financiers. Why?
Stop making excuses for the villains who got us into this mess. Put working class America first for a change. (Here’s something that has always puzzled me. Ask people what they’d do if thieves walked into their homes to steal their television sets. You’ll get all kinds of responses. “I’d blow ‘em away!” “I’d whack them with a Louisville Slugger!” “I’d bash ‘em!” Some may say they’d call the police. All would do something. But ask them what they’d do if people wanted to steal their jobs and move them overseas to countries where workers are exploited as a matter of routine, and you’ll get a blank stare for an answer.)
Most Members of Congress are ideologically-challenged. They don’t get it! There is a huge disconnect between working class America and the politicians that in theory are elected to represent us. Some of them are part and parcel to the theft of our jobs and they also contribute to the circumstances that lead to the dashing of our hopes and dreams.
The stimulus package is a step in the right direction. Don’t let GOP obstructionists or “Blue Dog Democrats” water down the stimulus package. We voted for change! We sure as hell didn’t vote for a “Blue Dog” agenda!
It’s our time! We must not squander this opportunity. GOP/Blue Dog obstructionists must be bowled over. If we let then get away with their crap we are the ones who will continue to suffer. It’s our time!
Take action! Call your lawmakers. Thank the stalwarts who support America’s workers! Tell the weak-kneed ones to grow a spine! And the mean-spirited ones? Tell them to go to hell!
By the way, victories are contagious! Once we win a few battles it won’t be long before we’ll be able to win health care justice in our nation.
Your comment is quite good. I’m going to attempt to email it to my cousin, a retired steel worker who lives in Hobart, IN (near Gary, where he was employed). He is a died in the wool “Buy American” for all the wrong reasons. Maybe what you have said will sway him. Buy American, sure!! There are few things made in America that do not have some foreign components. The world has changed and if we don’t change with it we will be doomed. As a nurse, I like your comment about winning health care justice in our nation. Amen to that!!!!
Rich A. I’m in total agreement with you,but this morning I got a newsletter from Congress.org,that stated a full 89% of the population is against this stimulus package and weather you and I are for against it this Congress, if they work for the people should forget it and find some other way.I am a little sick of writing my congressmen because as near as I can tell they really don’t care what our opinion is.They did the same thing with the bank bailout it has work out pretty well don’t you think.I truly believe the only way to make change in this government is with a viable 3rd. party and term limits.
Hi Dr
At 8:30 this morning (11:30 D.C. time) I called my two senators and my house rep. I asked if calls were going for or against the stimulus package. All three offices said the calls were running about neck to neck. I also asked them to hold firm in their support of the plan.
The 89% figure that you cite does not jibe with what I was told.
If, however, people are indeed against the stimulus plan while at the same time suffering economic hardship, it makes me wonder why they are choosing despair over hope, and why they are lending credence to the same GOP/Blue Dog thugs who got us into this mess.
Rich I do not know how Congress.org came up with their numbers but that is the figure they quoted to me and others.It may have been an independent poll.The facts remain that weather we are for or against it our politicans are going to play the game their way.All my Reps are Democratic and none seem to care what I think,you should see some of the letters I get back from them.If the whole Congress thinks as they do we are in a heap of trouble.All I want from them is to work for everyone but that doesn’t follow the party lines.
Dr -
I agree with you! Out of the 435 House members, and 100 Senators, my estimates is that no more than 25% of them “get it”. Our job is to make sure they “get it”.
The GOP, a few “Blue Dog Democrats”, and lots of media hacks are acting surprised that Obama has put forth his stimulus package. That’s mind-boggling! The stimulus package was one of Obama’s major campaign themes. Some Democrats got elected (or re-elected) by riding in on Obama’s coattails. Now some of them are jumping ship. I’m an old war-horse (i.e., working class activist). I’ve seen the damage turncoats can cause. Rather than acting in a manner that will benefit all of us, they instead have their eyes set on what they think is best for I, me, and mine. In my opinion that is what Blue Dogs are doing. Rather than lead, they are choosing to raise red flags by uttering demagogic “cautions” on periphery issues. If any of them had ever had to do manual labor during lives they’d be acting differently. Ah well, when people from the cloistered crowd get elected to office they bring with them a mindset rooted in neoliberal ideology. That’s the problem.
Perhaps the stimulus package is not perfect. Obama has said as much. But do we the people have to be put on hold and suffer more months of economic hardship while Congress works on creating a “perfect” package? First of all, there ain’t no such thing. Perfection is an abstract ideal. What may be “perfect” to John may not be perfect to Nancy, and vice versa. Demanding perfection means endless delay. Working men and women need action – and relief - NOW!
So Dr, getting back to your original, justified complaint about non-responsive Members of Congress, allow me to offer this suggestion: Whether we’re from urban or rural America, whether we live on the east or west coast or in the heartland of our nation, we need to deluge lawmakers with messages of “stop playing two-bit politics. Pass the stimulus package NOW! We voted for change in November. Quit trying to undermine the mandate of the voters!”
In closing, if I were to give Congress a grade for its performance over the past 30 years, it would be D + at best. If a factory worker or a fry cook or a teacher or a truck driver had performed their jobs as lousy as Congress has done its “duty” , those workers would have been handed pink slips and told to look elsewhere for employment.
Many of them want to beat us into silence so we’ll take the crumbs they throw our way while they give the keys to the bakery to corporate America and Wall Street financiers. Well, as far as I am concerned, no coiffed and manicured suit and tie will ever shut me up! We have to continue the struggle until social and economic justice is achieved!
Rich I have not given up,but I e-mail and or call my Reps at least once a week for some reason or other.How many times and ways can you tell a fool,who seems to know more about what is good for you, than you do.It’s why I keep telling people we sorely need a thrid party.It seems to me we must deserve them we keep re-electing them.I believe part of the problem is many people are like my departed Father in Law,all that was needed for his vote was Republican in front of the candidates name.I know many Democrats that do the same.We must realize this is not a rivalry between competing teams,but what is good for everyone.Party line BS is killing this country,I worry about my Grandchildren,I’m a forty year union member and retired now,may have 20 years left if I’m lucky and whatever happens probably won’t have a long lasting effect on my life,but I fell as if I’m watching this country die all because our politcans are more interested in stepping on someone’s toes than what is good for the people.By the way I voted against all of my Reps this last election.