Home › Forums › Financial Markets/Economics › BUY AMERICAN (avoid that made in China)
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June 1, 2009 at 8:19 PM #409480June 2, 2009 at 12:01 AM #408830sdduuuudeParticipant
[quote=jpinpb][quote=sdduuuude]How come we never see letters that say “We, as Americans need to build stuff that isn’t so damn expensive?” i.e. why is the burden on the consumer to buy the wrong thing instead of on American compaineis to make the right thing ?
Huh? Huh? Ever wonder that ?
[/quote]
I think we American companies make good and right things. Just that other countries have slave labor and can afford to make cheap crap that WE buy. People here don’t want to work for slave wages. We have to pay a salary somewhat commensurate to living here. It cuts into a company’s profits.
[/quote]And buying stuff I need from the higher priced vendor (USA) cuts in to my personal profits. That’s my point. Why should the consumer fund the “Buy American” campaign? Why not the producers ?
Seems to me the real cost is in the added overhead of minimum wage, and an effective tax rate of about 50 – 60% of all income over the poverty level.
Cut back on the 9% CA income tax, 30% USA income tax, the 8% sales tax, 15% social security, and set the minimum wage at $0.00 and we could potentially compete again.
June 2, 2009 at 12:01 AM #409069sdduuuudeParticipant[quote=jpinpb][quote=sdduuuude]How come we never see letters that say “We, as Americans need to build stuff that isn’t so damn expensive?” i.e. why is the burden on the consumer to buy the wrong thing instead of on American compaineis to make the right thing ?
Huh? Huh? Ever wonder that ?
[/quote]
I think we American companies make good and right things. Just that other countries have slave labor and can afford to make cheap crap that WE buy. People here don’t want to work for slave wages. We have to pay a salary somewhat commensurate to living here. It cuts into a company’s profits.
[/quote]And buying stuff I need from the higher priced vendor (USA) cuts in to my personal profits. That’s my point. Why should the consumer fund the “Buy American” campaign? Why not the producers ?
Seems to me the real cost is in the added overhead of minimum wage, and an effective tax rate of about 50 – 60% of all income over the poverty level.
Cut back on the 9% CA income tax, 30% USA income tax, the 8% sales tax, 15% social security, and set the minimum wage at $0.00 and we could potentially compete again.
June 2, 2009 at 12:01 AM #409317sdduuuudeParticipant[quote=jpinpb][quote=sdduuuude]How come we never see letters that say “We, as Americans need to build stuff that isn’t so damn expensive?” i.e. why is the burden on the consumer to buy the wrong thing instead of on American compaineis to make the right thing ?
Huh? Huh? Ever wonder that ?
[/quote]
I think we American companies make good and right things. Just that other countries have slave labor and can afford to make cheap crap that WE buy. People here don’t want to work for slave wages. We have to pay a salary somewhat commensurate to living here. It cuts into a company’s profits.
[/quote]And buying stuff I need from the higher priced vendor (USA) cuts in to my personal profits. That’s my point. Why should the consumer fund the “Buy American” campaign? Why not the producers ?
Seems to me the real cost is in the added overhead of minimum wage, and an effective tax rate of about 50 – 60% of all income over the poverty level.
Cut back on the 9% CA income tax, 30% USA income tax, the 8% sales tax, 15% social security, and set the minimum wage at $0.00 and we could potentially compete again.
June 2, 2009 at 12:01 AM #409379sdduuuudeParticipant[quote=jpinpb][quote=sdduuuude]How come we never see letters that say “We, as Americans need to build stuff that isn’t so damn expensive?” i.e. why is the burden on the consumer to buy the wrong thing instead of on American compaineis to make the right thing ?
Huh? Huh? Ever wonder that ?
[/quote]
I think we American companies make good and right things. Just that other countries have slave labor and can afford to make cheap crap that WE buy. People here don’t want to work for slave wages. We have to pay a salary somewhat commensurate to living here. It cuts into a company’s profits.
[/quote]And buying stuff I need from the higher priced vendor (USA) cuts in to my personal profits. That’s my point. Why should the consumer fund the “Buy American” campaign? Why not the producers ?
Seems to me the real cost is in the added overhead of minimum wage, and an effective tax rate of about 50 – 60% of all income over the poverty level.
Cut back on the 9% CA income tax, 30% USA income tax, the 8% sales tax, 15% social security, and set the minimum wage at $0.00 and we could potentially compete again.
June 2, 2009 at 12:01 AM #409530sdduuuudeParticipant[quote=jpinpb][quote=sdduuuude]How come we never see letters that say “We, as Americans need to build stuff that isn’t so damn expensive?” i.e. why is the burden on the consumer to buy the wrong thing instead of on American compaineis to make the right thing ?
Huh? Huh? Ever wonder that ?
[/quote]
I think we American companies make good and right things. Just that other countries have slave labor and can afford to make cheap crap that WE buy. People here don’t want to work for slave wages. We have to pay a salary somewhat commensurate to living here. It cuts into a company’s profits.
[/quote]And buying stuff I need from the higher priced vendor (USA) cuts in to my personal profits. That’s my point. Why should the consumer fund the “Buy American” campaign? Why not the producers ?
Seems to me the real cost is in the added overhead of minimum wage, and an effective tax rate of about 50 – 60% of all income over the poverty level.
Cut back on the 9% CA income tax, 30% USA income tax, the 8% sales tax, 15% social security, and set the minimum wage at $0.00 and we could potentially compete again.
June 2, 2009 at 1:18 AM #408844SDEngineerParticipant[quote=sdduuuude]
And buying stuff I need from the higher priced vendor (USA) cuts in to my personal profits. That’s my point. Why should the consumer fund the “Buy American” campaign? Why not the producers ?
Seems to me the real cost is in the added overhead of minimum wage, and an effective tax rate of about 50 – 60% of all income over the poverty level.
Cut back on the 9% CA income tax, 30% USA income tax, the 8% sales tax, 15% social security, and set the minimum wage at $0.00 and we could potentially compete again.
[/quote]Sounds great – wait…didn’t we try that back in the 1800’s? Yeah, the middle class did really well back in those days.
You’re overestimating the tax burden a wee bit as well, unless you consider the poverty line to be something north of 200K/yr. My households total tax burden was about 35% (including fed, state, ssi, and medicare), and we make well into the six figures. Of course, my TOP marginal tax rate was above that, but I don’t pay that rate on my entire income.
I think our society has become just a wee bit too hung up over the pursuit of the almighty dollar. There was once a time, not too long ago, when you bought quality instead of the cheapest thing on the market, and when people bought products made in the USA because they knew they were helping fellow Americans.
June 2, 2009 at 1:18 AM #409084SDEngineerParticipant[quote=sdduuuude]
And buying stuff I need from the higher priced vendor (USA) cuts in to my personal profits. That’s my point. Why should the consumer fund the “Buy American” campaign? Why not the producers ?
Seems to me the real cost is in the added overhead of minimum wage, and an effective tax rate of about 50 – 60% of all income over the poverty level.
Cut back on the 9% CA income tax, 30% USA income tax, the 8% sales tax, 15% social security, and set the minimum wage at $0.00 and we could potentially compete again.
[/quote]Sounds great – wait…didn’t we try that back in the 1800’s? Yeah, the middle class did really well back in those days.
You’re overestimating the tax burden a wee bit as well, unless you consider the poverty line to be something north of 200K/yr. My households total tax burden was about 35% (including fed, state, ssi, and medicare), and we make well into the six figures. Of course, my TOP marginal tax rate was above that, but I don’t pay that rate on my entire income.
I think our society has become just a wee bit too hung up over the pursuit of the almighty dollar. There was once a time, not too long ago, when you bought quality instead of the cheapest thing on the market, and when people bought products made in the USA because they knew they were helping fellow Americans.
June 2, 2009 at 1:18 AM #409332SDEngineerParticipant[quote=sdduuuude]
And buying stuff I need from the higher priced vendor (USA) cuts in to my personal profits. That’s my point. Why should the consumer fund the “Buy American” campaign? Why not the producers ?
Seems to me the real cost is in the added overhead of minimum wage, and an effective tax rate of about 50 – 60% of all income over the poverty level.
Cut back on the 9% CA income tax, 30% USA income tax, the 8% sales tax, 15% social security, and set the minimum wage at $0.00 and we could potentially compete again.
[/quote]Sounds great – wait…didn’t we try that back in the 1800’s? Yeah, the middle class did really well back in those days.
You’re overestimating the tax burden a wee bit as well, unless you consider the poverty line to be something north of 200K/yr. My households total tax burden was about 35% (including fed, state, ssi, and medicare), and we make well into the six figures. Of course, my TOP marginal tax rate was above that, but I don’t pay that rate on my entire income.
I think our society has become just a wee bit too hung up over the pursuit of the almighty dollar. There was once a time, not too long ago, when you bought quality instead of the cheapest thing on the market, and when people bought products made in the USA because they knew they were helping fellow Americans.
June 2, 2009 at 1:18 AM #409394SDEngineerParticipant[quote=sdduuuude]
And buying stuff I need from the higher priced vendor (USA) cuts in to my personal profits. That’s my point. Why should the consumer fund the “Buy American” campaign? Why not the producers ?
Seems to me the real cost is in the added overhead of minimum wage, and an effective tax rate of about 50 – 60% of all income over the poverty level.
Cut back on the 9% CA income tax, 30% USA income tax, the 8% sales tax, 15% social security, and set the minimum wage at $0.00 and we could potentially compete again.
[/quote]Sounds great – wait…didn’t we try that back in the 1800’s? Yeah, the middle class did really well back in those days.
You’re overestimating the tax burden a wee bit as well, unless you consider the poverty line to be something north of 200K/yr. My households total tax burden was about 35% (including fed, state, ssi, and medicare), and we make well into the six figures. Of course, my TOP marginal tax rate was above that, but I don’t pay that rate on my entire income.
I think our society has become just a wee bit too hung up over the pursuit of the almighty dollar. There was once a time, not too long ago, when you bought quality instead of the cheapest thing on the market, and when people bought products made in the USA because they knew they were helping fellow Americans.
June 2, 2009 at 1:18 AM #409545SDEngineerParticipant[quote=sdduuuude]
And buying stuff I need from the higher priced vendor (USA) cuts in to my personal profits. That’s my point. Why should the consumer fund the “Buy American” campaign? Why not the producers ?
Seems to me the real cost is in the added overhead of minimum wage, and an effective tax rate of about 50 – 60% of all income over the poverty level.
Cut back on the 9% CA income tax, 30% USA income tax, the 8% sales tax, 15% social security, and set the minimum wage at $0.00 and we could potentially compete again.
[/quote]Sounds great – wait…didn’t we try that back in the 1800’s? Yeah, the middle class did really well back in those days.
You’re overestimating the tax burden a wee bit as well, unless you consider the poverty line to be something north of 200K/yr. My households total tax burden was about 35% (including fed, state, ssi, and medicare), and we make well into the six figures. Of course, my TOP marginal tax rate was above that, but I don’t pay that rate on my entire income.
I think our society has become just a wee bit too hung up over the pursuit of the almighty dollar. There was once a time, not too long ago, when you bought quality instead of the cheapest thing on the market, and when people bought products made in the USA because they knew they were helping fellow Americans.
June 2, 2009 at 1:43 AM #408853CA renterParticipantSubmitted by sdduuuude on June 1, 2009 – 11:01pm.
And buying stuff I need from the higher priced vendor (USA) cuts in to my personal profits. That’s my point. Why should the consumer fund the “Buy American” campaign? Why not the producers ?
——————–Because the producers ARE the consumers, and the consumers ARE the producers.
When your customers are only able to pay 60% of what they once paid for your product/service (because they are making less at their jobs), that will cut into your margins as well.
If you think you will then turn to your employees for more wage concessions (and your competitors and suppliers do so as well), then ultimately, your customers will also see a further reduction in wages. If this deflationary spiral sounds good to you — which would be much more vicious than an asset/housing price deflation, BTW — go for it! You first!
The reason why Americans have been the worlds #1 consumer is because our wages have been comparatively high (credit has masked the stagnation/deflation of wages over the past few decades).
Every producer NEEDS a consumer. Americans have been so brainwashed by the supply-side capitalists that they’ve lost sight of what makes the cycle go ’round. You need producers AND consumers. In a world where everyone is paid $2./day, to whom do you expect to sell all the wares you’ve so tediously worked to produce?
You cannot have higher asset prices over the long haul (and “growth” in the prices of things you sell) without wage inflation.
June 2, 2009 at 1:43 AM #409094CA renterParticipantSubmitted by sdduuuude on June 1, 2009 – 11:01pm.
And buying stuff I need from the higher priced vendor (USA) cuts in to my personal profits. That’s my point. Why should the consumer fund the “Buy American” campaign? Why not the producers ?
——————–Because the producers ARE the consumers, and the consumers ARE the producers.
When your customers are only able to pay 60% of what they once paid for your product/service (because they are making less at their jobs), that will cut into your margins as well.
If you think you will then turn to your employees for more wage concessions (and your competitors and suppliers do so as well), then ultimately, your customers will also see a further reduction in wages. If this deflationary spiral sounds good to you — which would be much more vicious than an asset/housing price deflation, BTW — go for it! You first!
The reason why Americans have been the worlds #1 consumer is because our wages have been comparatively high (credit has masked the stagnation/deflation of wages over the past few decades).
Every producer NEEDS a consumer. Americans have been so brainwashed by the supply-side capitalists that they’ve lost sight of what makes the cycle go ’round. You need producers AND consumers. In a world where everyone is paid $2./day, to whom do you expect to sell all the wares you’ve so tediously worked to produce?
You cannot have higher asset prices over the long haul (and “growth” in the prices of things you sell) without wage inflation.
June 2, 2009 at 1:43 AM #409342CA renterParticipantSubmitted by sdduuuude on June 1, 2009 – 11:01pm.
And buying stuff I need from the higher priced vendor (USA) cuts in to my personal profits. That’s my point. Why should the consumer fund the “Buy American” campaign? Why not the producers ?
——————–Because the producers ARE the consumers, and the consumers ARE the producers.
When your customers are only able to pay 60% of what they once paid for your product/service (because they are making less at their jobs), that will cut into your margins as well.
If you think you will then turn to your employees for more wage concessions (and your competitors and suppliers do so as well), then ultimately, your customers will also see a further reduction in wages. If this deflationary spiral sounds good to you — which would be much more vicious than an asset/housing price deflation, BTW — go for it! You first!
The reason why Americans have been the worlds #1 consumer is because our wages have been comparatively high (credit has masked the stagnation/deflation of wages over the past few decades).
Every producer NEEDS a consumer. Americans have been so brainwashed by the supply-side capitalists that they’ve lost sight of what makes the cycle go ’round. You need producers AND consumers. In a world where everyone is paid $2./day, to whom do you expect to sell all the wares you’ve so tediously worked to produce?
You cannot have higher asset prices over the long haul (and “growth” in the prices of things you sell) without wage inflation.
June 2, 2009 at 1:43 AM #409404CA renterParticipantSubmitted by sdduuuude on June 1, 2009 – 11:01pm.
And buying stuff I need from the higher priced vendor (USA) cuts in to my personal profits. That’s my point. Why should the consumer fund the “Buy American” campaign? Why not the producers ?
——————–Because the producers ARE the consumers, and the consumers ARE the producers.
When your customers are only able to pay 60% of what they once paid for your product/service (because they are making less at their jobs), that will cut into your margins as well.
If you think you will then turn to your employees for more wage concessions (and your competitors and suppliers do so as well), then ultimately, your customers will also see a further reduction in wages. If this deflationary spiral sounds good to you — which would be much more vicious than an asset/housing price deflation, BTW — go for it! You first!
The reason why Americans have been the worlds #1 consumer is because our wages have been comparatively high (credit has masked the stagnation/deflation of wages over the past few decades).
Every producer NEEDS a consumer. Americans have been so brainwashed by the supply-side capitalists that they’ve lost sight of what makes the cycle go ’round. You need producers AND consumers. In a world where everyone is paid $2./day, to whom do you expect to sell all the wares you’ve so tediously worked to produce?
You cannot have higher asset prices over the long haul (and “growth” in the prices of things you sell) without wage inflation.
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