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Jerry Jasinowski

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Organic Manufacturing

Posted: 07/27/2012 9:12 am

A new report from former homeland security secretary Tom Ridge and former assistant secretary Robert B. Stephan contends that the loss of manufacturing, along with fraying infrastructure, is leaving our nation more vulnerable to natural disasters. The report was sponsored by the Alliance for Manufacturing, which advocates a more aggressive trade agenda.

This report is part of a growing chorus of opinions and commentaries lamenting the erosion of our industrial landscape -- a chorus that I deem long overdue. There is growing awareness that manufacturing really is vital to our economy, and that foreign competitors are employing predatory and often illegal means to wrest away our leadership in key manufacturing sectors.

I believe it is also fair to say that the public is becoming more aware of the direct connection between the flood of foreign imports and the loss of jobs in this country. The recent flap about U.S. Olympic Team uniforms made in China hit a nerve with a lot of people. I don't believe 10 years ago anyone would have cared where those uniforms were made.

The standard response of most economists to this sort of anxiety is that trade is what it is, and that government should not become engaged in trying to promote and protect specific economic sectors. They contend that government should not be in the business of picking winners and losers in the economy, except where national security is clearly at issue.

But think that argument really misses the point. I agree we should not yield to protectionism, but on the other hand the best defense is a good offense. Our government should not be in the business of picking winners and losers -- it should be promoting investment, R&D and exports across the board. We need a tax system that rewards productive investment. We need an education system that prepares people for real world jobs, especially in manufacturing.

And there is no reason in the world why we should not create and encourage a joint public-private Buy American campaign. There is certainly nothing un-American or uneconomic about encouraging positive behavior. Every time I go to the grocery store (okay, many it's not that often) I see signs advertising organic foods. Many consumers are willing to pay more for food grown without chemical additives. It is a perfectly legitimate marketing angle.

We need a counterpart for manufacturing -- call it organic manufacturing -- in which consumer products are clearly labeled American Made, and consumers are invited to perhaps pay a little more for "home-grown" manufactured products, knowing those products will be top quality and safe, and also that they are helping keep jobs in the U.S.


Jerry Jasinowski, an economist and author, served as President of the National Association of Manufacturers for 14 years and later The Manufacturing Institute. Jerry is available for speaking engagements.

 
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02:43 AM on 07/30/2012
What's wrong with "Made in the US"?

:-)
HUFFPOST SUPER USER
rtx47
08:32 AM on 07/28/2012
High School, College undergraduate education and Healthcare is still "made in America"
To use the author's term "Organic".

And it is so god-darn-expensive; with less than stellar outcomes and quality.
When are we going to improve what we are supposedly good at?
After it leaves the US shores?
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itruth
fideistic deist with socratic tedencies
02:03 PM on 07/27/2012
Organic Manufacturing; when I saw that title I thought it was a breakthrough.

To be honest we have no real idea what that would mean for the world. The only thing that can truly manufacture organically is a plant. We have very inefficient ways of converting sunlight into energy and then storing it chemically in dirty batteries. A few fringe ideas deal with solar thermal heat sinks and they are still very inefficient at storing energy for any long period of time.

Nature is supreme in design elegance and function; there is a reason for this; billions of years of trial and error have winnowed out the poor designs. Once we can couple our emerging ability to model systems that are so very complex as the web of life, with biological engineering advancing with this possible outcome of organic manufacturing with outputs that are synchronous with inputs; then we will have evolved to a point of opportunity.

The idea is always preeminent; once out it can be dissected into functional portions. There are a number of converging sciences that can benefit from visionary solutions; they only need leadership to guide them toward a useful outcome. Build a better plant that uses up toxic substances and converts that into useful byproducts and clean the environment while making a bioenergy that can be used across the food and fuel spectrum.

Doable? It will require a concerted effort; so did the genome. Our future depends upon the synthesis of old and new.
oilfield
large employer per obamacare
11:36 AM on 07/27/2012
the death tax rewards ones life of hard work building a business with it being liquidated to pay the irs....long live the multinational public corporation.....
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cyclone70
When one facepalm isn't enough
10:20 PM on 07/27/2012
the idea is to prevent dynastic autocratic generations of idle rich like europe has. the idea ofan estate tax is part of a meritocracy that one should gain from ones own efforts rather than be handed wealth down

What exactly did a Paris Hilton do to earn her wealth?
oilfield
large employer per obamacare
10:44 PM on 07/27/2012
idle rich make more jobs available...whats so bad about that?  the reason folks work so hard is to help their kids have a better life than they did.....paris didnt do anything initially.....she had a tv show and has a perfume line i think at this point.  i still dont see where the government should get the money and where it lands us anywhere but worse off than we are now with mega corp after mega corp that treats their employees like a faceless number.....but if thats what america wants, we shouldnt hear all of the griping from the left about wal mart and their likes. 
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Konnie
Really South Carolina??
11:04 AM on 07/27/2012
lay this problem at the feet of the trolls on wall street. publicly held manufacturers dance to the tune of the moment as sung by some trolls on the street who have never run any company, much less understand manufacturing. they can make or break a company based on some arbitrary theory and the impossible unsatiable unsustainable profit model. the ceo whose sole responsibillity is not to their product or service seems to be satisfying these impossible to meet goals so their stock is given a gold star by these no-nothings. there is no way to win this sociopathic game. either the stock suffers or the product or the workers. extrapolated continuous growth and profit is always impossible. companies used to just be judged on their merits, now their only goals are to feed some computer model based on game theory. and you wonder why there are no jobs, shoddy cheap products and absolute immediate obsolescence.
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cyclone70
When one facepalm isn't enough
10:21 PM on 07/27/2012
so so far too many solid and long time companies dismantled, stripped and raided by corporate raider vulture capitlaists
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cyclone70
When one facepalm isn't enough
10:40 AM on 07/27/2012
The funny thing is that many US made products aren't much more if at all than the foreign counterparts.

the same is true for products once made in the US but now imported like jeans or shoes - they still cost the same as they always did - no savings passed on to the consumer, plus the quality isn't near as good as it used to be

I am always willing to pay more and take a little more time to buy US made goods. my, a family member's, my neighbor's jobs might very well depend on it

the problem is that it gets more and more dificult each day to find those products still made in the US

Menard's stores have been running very successful "made in USA" ad campaigns and promote their US made products, it appears to be working as I will go their before I shop at their competitors who do not promote their US Made products