that guy in AZ Wrote:
that guy in AZ Wrote:
Last Thursday, Forbes published an article explaining why our current unemployment rate of 3.5% is bullshit. The answer can be found in what they called the U.S. Private Sector Job Quality Index. The article is worth reading in its entirely, but the short version is that we have lots of jobs , but they are increasingly low quality jobs.
The way to improve the Job Quality Index is to INVEST money in education - but the Republican Party does not understand that. The article below explains why cutting taxes is NOT the answer to economic growth:
Arizona -- Thanks for sharing the Forbes article on the Job Quality Index. It certainly is intuitive that the quality of jobs, many of them in manufacturing, have been replaced by lower paying service jobs. We can understand the reasons for slow wage growth as explained in the article. I agree. However, it is more difficult to foresee what we can actually realistically do to reverse the trends. On that point I was struck by the second article linked at the bottom of your article.
Steve Denning, Forbes, December 5, 2016: Why Does The U.S. Lose More Manufacturing Jobs Than Germany?
Denning wrote his article shortly after Trump was elected in 2016, but his perspective has proven to be correct in my opinion. As Denning points out, German firms, many of them privately owned, "rarely emulated U.S. firms in the pursuit of “maximizing shareholder value as reflected in the current stock price”—an idea that even Jack Welch has called “the dumbest idea in the world.” Private owners of firms can see that a sharp focus on short-term profits hinders the creation of long-term wealth. They have no interest in financial engineering gadgets, like share buybacks, to make the firm’s shares appear to be doing better than they really are."
Moreover, Germany significantly boosted efforts to create a context for innovation throughout the 2000s, steadily bolstering the competitiveness of their manufacturing sector. “Germany set about enacting a range of comprehensive economic reforms to increase the competitiveness of Germany’s economy throughout the 2000s, including making its tax code more competitive, increasing investment in apprenticeship programs, increasing investment in industrially relevant applied R&D, and during the Great Recession introducing the short-time work program rather than firing workers outright as often happened in the US..."
Denning noted that Germany wasn't alone that other countries including Japan, Korea, Holland, Taiwan, and China "worked feverishly throughout the 2000s to bolster their science, technology, and innovation ecosystems that underpin the competitiveness and innovation potential of their private sector enterprises.”
With our political environment and a "Trumpism mentality" of casting blame on each other (divide and conquer) I cannot see America unifying and mobilizing as a country to embark on a German kind of experience. Even if Trump is not re-elected, the harm that he has done will be hard to reverse. However, many of the problems that we have predate Trump, and part of it is our "American exceptionalism" attitude and cognitive dissonance that we cannot accept that we are the victim of ourselves...that we cannot look in the mirror and see the problem facing us. From our faith in "God to fix everything with prayer" to our hyper-patriotism, to our fearful mentality and love of guns, our reverence for the military, to our failures in education, to our apathy about our democracy, to our corporate malfeasance, we have reverted to a "la la land" tribal mentality where critical thinking is replaced by conspiracy theories, demagoguery, and hatred towards each other.
I blame Trump, but our current assemblage of Republican legislators, enablers and sycophants as well as the mindless Trump supporters and voters at his endless rallies, have all succumbed to Trumpism...which is not all that far from Putinsm.
"We have met the enemy and he is us." -- Pogo.