American Elephants

Decline of U.S.Manufacturing? Just Another Myth! by The Elephant's Child
February 9, 2011, 5:25 pm
Filed under: Capitalism, Economy, Freedom, History | Tags: , ,

Americans don’t make anything anymore.  All our stuff is manufactured in China.  That’s a siren song you hear everywhere.  But it simply is not true.

Americans manufacture more goods than any other nation on earth, by a very large margin.  American manufactured more goods in 2009 than the Japanese, the Germans, British and Italians combined. When we have the president of the United States suggesting that we are not competitive, and that government must invest in encouraging entrepreneurs, educating students and selecting which businesses should — with government help — succeed, he is not fairly describing our manufacturing sector.

It is absolutely true that the United States has lost more than 7 million manufacturing jobs since the late 1970s.  But that has happened even while manufacturing output has continued to climb and grow to new record levels every year.  The U.S produces 21% of manufacturing output, Japan produces 13% and China 12% according to the National Association of Manufacturers.

Fifty percent of the nation’s research and development is performed by the nation’s manufacturers, so don’t try to tell us that the government has to get into the business of fostering innovation for American industry.  The government is not a big source of ideas, and lots of government grants are pure waste.

But we hear that manufacturing plants are all closing.  Lost jobs.  More is being done with fewer people.  Computerization has meant that many tasks can be performed by a computer.  New machines can replace repetitive work.  Lost jobs are scary, but when a new machine costs a job in one plant, making those machines may mean many more jobs.  We cannot predict the future, we can only try to estimate probabilities.

The decline and demise of America’s manufacturing sector has been vastly exaggerated.  We still make all sorts of stuff, and we make more of it that ever before in our history.   We do it with a fraction of the workers that were required in the past.  Americans should take pride in our status as the world’s leading manufacturer.

Wednesday Stack of Stuff by American Elephant

Part of the problem with blogging is that there are so many interesting storied to write about, and nowhere near enough time to write about them all. Here’s just some of the stories catching my attention:

How will Obama block it? — “New drilling method opens vast oil fields in US”

Heh heh — AOL Buys HuffPo, stock takes $315 million dive

Jennifer Rubin“Obamacare Support Melting Away”

iBubble? —  “Apple is Most Valuable Company on Earth: Analysts”

First GOP Senate pick up?“Webb won’t seek re-election”

Gallup — Poll: Obama 68% disapproval on Defecit

Progressive Control Freaks  still controlling — Boston to ban smoking in parks?

Most corrupt administration ever #1 — Obama fired another investigator for doing his job.

Most corrupt administration ever #2 — Emanuel/Blagojevich phone calls conveniently go missing

NASA shock — New 3D photographs reveal Sun looks remarkably the same from all sides

I Suspect You Shouldn’t Underestimate Sarah Palin. Any Woman Who Can Look This Good at Age 47, And Still Possess Her List of Stunning Accomplishments, Is a Force to Be Reckoned With. by The Elephant's Child

%d bloggers like this: