Government Grows the Economy
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Economist Jeff Madrick, director of policy research at The New School’s Bernard Schwartz Center for Economic Policy Analysis, is among several key speakers at next week’s Building the New Economy conference here in Washington, D.C. AFL-CIO President Richard Trumka and United Steelworkers President Leo Gerard also are among keynote speakers. Here, Madrick shares with us why government involvement in the economy is essential to ensure a robust, successful nation.
America had been living a free-market myth for a generation until the credit crisis of 2008 and 2009 descended on the nation—and the world. One expression of that myth, found frequently on the editorial pages of the popular media, was that government does not grow economies, business does. In other words, government, don’t meddle where you’re not needed. Politicians are even easier to belittle than government itself.
The Lesson of Pittsburgh for G-20: Manufacturing Matters
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The revival of Pittsburgh, site of the G-20 summit this week, can provide valuable lessons for the world’s leaders. Among them: Manufacturing matters and poor trade policies hurt everyone.
“Pittsburgh, G-20 and the New Economy: Lessons to Learn, Choices to Make,” a report released today by the Campaign for America’s Future (CAF), makes clear that the renaissance of Pittsburgh after the collapse of the steel industry was cut short because of the lack of a national industrial policy and the nation’s trade policies.
During a telephone news conference, CAF Co-Director Robert Borosage said some manufacturing jobs in Pittsburgh were replaced by high-end jobs in education or medicine.
But many were replaced by jobs in hotels and food services—jobs that never paid as well and proved even more vulnerable in the recent downturn. Some manufacturing jobs were never replaced at all. That helps explain why the city’s population is declining, especially among youth, who seek opportunity elsewhere.
Take the Pledge: Buy American
So, the world isn’t flat after all. Not that some of us ever bought into Thomas Friedman-speak. But many in this country did, especially those running the political show, and now we have a chance to shape a progressive future on the ashes of such failed visions.
And that progressive future needs a widespread recognition of the acceptance of the need to Buy America. A good first step is taking the American Auto Revivial Pledge.
One of the hardest connections for those of us in the union movement to make with our progressive allies has been in the area of trade and policies that encourage U.S. consumers to Buy American Made. Especially Buy America.
Why is that so?
Work Songs, Bargaining for Work and Family and More from Cool Tools
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Our latest edition of Cool Tools includes a look at successful Blue-Green coalitions, working songs from labor’s long musical history and educational resources to help you put vital family life issues on the bargaining table. The AFL-CIO’s Cool Tools assembles the latest hot picks for union activists and allies. (If you can’t locate the items at The Union Shop Online,TM try Powell’s Books, the nation’s largest union bookstore, or get a list of union stores at The Union Shop Online.TM)
Union and environmental activists are finding new power and success in the growing Blue-Green movement. University of Florida sociologist Brian Mayer’s new book, Blue-Green Coalitions: Fighting for Safe Workplaces and Healthy Communities, finds that
attempts to build blue-green coalitions are likely to succeed when [workplace and environmental] health is the starting point for finding a common ground.
