To Survive, Americans Must Assert Themselves as Economic Patriots

For a brief moment, when Congress authorized that $700 billion bailout for the Wall Street wise guys whose recklessness caused the financial crisis that we're all suffering, federal officials actually considered giving part of the money to foreign banks.

Really.

They quickly backed away from using American tax dollars to prop up overseas financial institutions.

But now, the same issue is at stake with the $825 billion economic recovery package. Fifteen groups including the U.S. Chamber of Commerce and the Business Roundtable want to give American tax dollars to foreign manufacturers to create jobs overseas.

That's right. The U.S. Chamber of Commerce wants to spend the tax dollars of unemployed Americans to create jobs in China and Indonesia, Korea and India.

The 15 business groups sent a letter to Congress opposing provisions added to the recovery package that would strengthen existing laws requiring government agencies buy American steel and other products when building public works projects with tax dollars.

The recovery package would use American tax dollars to pull the United States out of a deep recessionary hole caused by a blind belief that business knows best and shouldn't be regulated -- from banks to pharmaceutical manufacturers.

The package is, essentially, Americans agreeing to increase their national debt to revive an economy sucker punched by greedy Wall Street gamblers. So when business interests want to spend those tax dollars overseas, to create jobs there at the expense of unemployed Americans, while at the same time increasing the U.S. trade deficit, frankly, it looks a bit like treason.

To survive this economic catastrophe, Americans must assert themselves as economic patriots. They must stand up to the likes of the Chamber and the Roundtable and call them out for being economic traitors to the United States of America.

The measures proposed in Congress to strengthen the existing laws requiring that American products be purchased are simple, inexpensive and would not delay construction projects. For example, Ohio Sen. Sherrod Brown wants requests for waivers to the federal "Buy America" requirements to be publicly posted on the Internet in a place where people with knowledge of the situation can comment on them. That way, a government agency will likely quickly find out about attempts to use the waiver process to circumvent the rules.

The Chamber and the other business groups whine in their letter to Congress that strengthening "Buy America" rules may violate international agreements.

That's bogus and the groups know it. America can honor its international obligations while using U.S. tax dollars to employ American workers. For example, states that receive federal grants for highway and mass transit projects may specify that products for that construction be purchased from U.S.-based producers without violating international agreements.

The Chamber and the other business groups also contended they were worried that strengthening the "Buy America" rules would prompt retaliation from foreign countries, so that U.S. companies would be prohibited from providing materials for construction funded by foreign stimulus programs.

When other nations nurture their industries and employ their own countrymen with their tax dollars, it won't be retaliation. It will be reasonable. It will make good economic sense.

French President Nicolas Sarkozy announced in December that he would do whatever it took to save his country's auto industry. No big protest broke out from anyone contending France should buy the auto parts from some low-priced American competitor. No, it seemed logical that France's president would "buy French" and strive to rescue the industry that employs 10 percent of his population.

India already employs many protectionist measures to shield its industries. China subsidizes its manufacturers and manipulates its currency. But, somehow, the U.S. Chamber of Commerce thinks it's wrong if U.S. tax dollars are spent in America to employ Americans.

These are the guys who were behind George W. Bush's tax breaks for the rich these past eight years. These are the very ones whose wrongheaded policies brought America to its economic knees. And they are the business hotshots who don't see that they've done anything wrong that should change.

Those Wall Street business wizards felt so entitled to Americans' $700 billion in tax dollars given to bail them out that they spent it on $18 billion in year-end bonuses, a $16,000 commode and a $50 million Dassault Falcon 7X manufactured-in-France corporate jet. (Well, the Obama administration did tell Citigroup it had to cancel that jet.)

Here's the thing to remember about these business groups so worried about preserving "free" trade. A dozen of them put America or U.S. in their names, like the United States Council for International Business. But it's not the U.S. they care about. Their focus is themselves.

Many of them long ago shipped manufacturing overseas, to benefit from tax breaks provided by the Bush administration, slave wages paid to third world workers and zero enforcement of safety and environmental regulations. That's why they oppose "Buy America" regulations. They want to use American tax dollars to pay subsistence wages at their factories in foreign countries, then ship the steel or aluminum or rubber back to the U.S. at untold cost to the environment and the trade deficit.

You can trust 'em same as you can Bernie Madoff.

What you can trust is that empty feeling in your stomach and your pocket, a pang that's spreading quickly while the U.S. Chamber busies itself trying to thwart "Buy America." More than 2.55 million Americans have been thrown out of work since Bush's recession began. On Monday alone, companies announced they would cut 75,000 more jobs. Unemployment stands at 7.2 percent, and it is expected to rise to 10 percent before year's end if drastic action isn't taken.

Drastic action isn't sending American tax dollars overseas to create jobs there.

Last year, the Government Accountability Office reported that "Buy America" policies are effective by

"protecting domestic employment through national infrastructure improvements that can stimulate economic activity and create jobs; protecting against unfair competition from foreign firms as a result of foreign government subsidies; and maintaining national security interests through the continued use and development of certain industries within the U.S. economy, like the iron and steel industries."

That sounds like a policy worth investing in. A policy good for America.

Comments

[Huneke]

Doesn't anyone remember the Smoot-Hawley tariffs? Everyone's worried about another Great Depression, but no one seems to recall why it became Great (as opposed to just a bad recession): an enormous drop in international trade as the result of protectionist measures, just like Buy America!

Right now exports are one of the only parts of our economy that have yet to fall off a cliff. What do you think our trading partners would do if we expand the Buy America rules? Many are just looking for an excuse to impose "protections" of their own, the end result of which would not be to protect workers but to impoverish all citizens.

We need to recognize such proposals for what they are: isolationist. Gee, come to think of it, that was another upshot of the Great Depression, wasn't it? And we all remember what happened as a result. Does anyone really want to go there? That may not have been the intent of those sponsoring the legislation, but it would surely be the result.

My organization proudly signed on to the business letter protesting the new proposals. A lot of comments are questioning our patriotism. I think what someone really needs to do is look at who benefits from expanding Buy America (a very few companies) and who doesn't (quite a lot of us).

[One more Thing]

Our country has changed. It's been changed as much as Georgia was changed when General Sherman marched through. It will never be the same again. Lobbyist and politicians destroyed it.

We must suffer. We must rebuild. We must be strong and standup against bail outs to those who destroyed America.

[brassminnie]

We not only need to buy current US produced, we need more US produced. We need to build the ideas of our inventors here! Currently, a terrific idea is probably going to be either sent overseas for production or crushed, because it would endanger the profit margin of a corp that only calls itself American because it's good PR. Have you called 'tech support' for anything lately. Could the person on the other end of the phone speak English well enough to understand the problem? Do you shop at Walmart because it's cheaper? No, it's not! You pay for the low wages and lack of benefits with taxes that provide food to the children of people who don't make enough to feed them. You pay taxes to pay the interest on the money we owe China for all those 'cheaper' products. Even most of the food comes from other countries. The problem with the 'trickle down' theory of tax breaks for big business is it trickles down where wages and low and regulations for the heath and safety of workers and populations are lax. If we don't start supporting our country with our purchases and start creating jobs here, instead of 'bargain shopping..­. '

[kstuff]

Amen. We are hanging ourselves. I've never seen anything like it! Thanks for standing up for the American worker. I fear that you'fe the only one. How can we help?

[Diogenes08]

May I respectfully request that there be added a "Hire American" clause? If money ever does indeed reach contractors involved in rebuilding America they should be forbidden by law from hiring any person not holding American citizenship. This should apply down the line, from ore miners to steel workers to the guys painting the stripes on the roads.

For too long contractors have been hiring undocumented aliens to the exclusion of Americans to build American homes in America, and the country has lost 3 different ways.
1) Americans are not employed, taking money from the businesses they would have patronized,taking their tax money out of the general fund and causing an overload of the unemployment system.
2) Illegals do not pay taxes, and contractors do not pay matching taxes on them. But you will notice that those savings have NOT been passed on to home buyers.
3) Illegals send up to 60% of their pay back to their families, out of the country and out of the mouths of American grocers, clothiers, car makers, etc.

[ran6110]

Has anyone tried to contact their Congressional representatives and actually gotten any type of answer beyond vague form letters?

I think everyone is talking but the politicians are deliberately ignoring us.

I had been sending emails to one of our 'new' senators here in Oregon. After 5 or 6 with just form letters returned I decided to call his office.

I got right through and was told emails don't count!

When I said I wanted to register my opposition to more bailout money without tighter controls the person said I was the first to do that.

Strange since I know a co-worker called that day before with the same view!

Sorry to say he's in for a 'safe' 6 years and we can't do anything about it.

[joebhed]

If you union folks really want economic patriots, then what you're saying is that you want a high priority use of the nation's MONEY SUPPLY towards American jobs, rather than towards wherever it produces the highest return.

We have been waiting and hoping for the unions to wake up to nationalizing the nation's money system.
I did not say nationalize the nation's banks.
I said, nationalize the money system.
The banks should remain private and lend real money.

The priority use of the money supply, which is in the hands of those who create and control the nation's money, is the most powerful economic force for any country on the globe.

Our money system is in the control of the private, federal reserve bankers.
It has been in the control of their specific cartel since 1913.
The priority use of the money supply of those characters should be obvious - it is to MAKE MORE MONEY.

If you want a money system that has as its policy objective to MAKE MORE JOBS, and employ more Americans, then you guys need to get behind the restoration of that money-creaton power back to the people.

Dennis Kucinich has already called for removing the money-creaton powers of the FED, and he will soon introduce legislation with that goal in mind.

Greenbacks.
Government-issue.
Debt-free money.
The Chicago Plan.
Monetary reform.
Equals economic democracy and economic patriotism.
We're ALL in this together.
In solidarity.

[ManwithaParachute]

E-mail and call your Senators and e-mail the White House. These criminal corporations are paying lobbyist to tell the politician to ignore WE THE PEOPLE.

If you take the time to read and write commentary here then you should take the time to voice your opinions directly to those who can impact the outcome.
http://www.senate.gov/general/contact_information/senators_cfm.cfm
http://www.whitehouse.gov/contact/

[jcdf]

Since we have lost so many manufacturing jobs to over seas, it is all the harder to "Buy American" and stimulate the economy. We can not be a world power without world power manufacturing.

[Vinca]

I AGREE WITH LOU DOBBS, OBAMA SHOULD NOT PUT OFF UNTIL MAY TO IMPLEMENT THE I-CHECK

[brighterlight]

Yes, every other country is trying to take care of itself too. See what's going on in Britain http://trueinformation.wordpress.com//). Hopefully, Obama will side with American and keep the "Buy America" provision, not being swayed by Big Corporations and Other Countries' Interersts.

Obama Will Review Buy American Provision in Stimulus
http://www.bloomberg.com/apps/news?pid=newsarchive&sid=a37ppHeTuz_HA)

However, Canada has sided with U.S. Big Corporations (such as GE and Caterpillar) to get steel work for Canada as part of our Stimulus package
http://www.bloomberg.com/apps/news?pid=newsarchive&sid=a37ppHeTuz_HA)

Keep in mind that "Americans prefer U.S. goods, unknowingly buy foreign ones"
http://www.quirks.com/articles/a1987/19870505.aspx?searchhID=23808171&sort=9)

[hey0there]

thanks for this enlightening article. All of these countries (especially India) are doing everything they can to protect THEIR interests while making sure they lobby hard to remove the few remaining protections we have on OUR interests so they can steal them away.

I am heartened though that over the past several weeks, ive been seeing a shift in public sentiment as they become slowly aware of whats been going on in the past decade. If any officials keep weakening America, thinking we won't notice, we need to weed them out and discard them.

protect Americas interests first. By removing all her protections, you have made her the weakest member of the 'global economy', easy prey.

[northstar11]

want to venture a guess on how the USA,and corporate america really advance and protect their interests world wide?