Thursday, September 16, 2010

What's A Little Cash Among Friends?

We have a big problem in this country with unemployment. A substantial part of the reason is the recession. But a situation that plays a big role and in the future will play a huge role, is that jobs are being exported to other countries. Now here's where you say "it's those low wages they pay in Mexico and China and elsewhere". Well that's partly true, but according to an interesting article in the Washington Post this morning, that's not the only reason. See other countries, like Mexico and China are offering substantial cash incentives. The U.S. is offering loan guarantees the give you a lower interest rate. Let's see, do I want cash money as a gift or a sure bet for lower interest on a loan? Is there anyone who thinks America has the inside track on this one? Now to be fair, the U.S. does have grants available, but you have to apply for and fill out exhaustive forms requiring an office staff just to get it all filled out properly. Or a cash gift just to move elsewhere. I'm not fond of America giving money away, but if it means saving jobs? What the heck are we waiting for? Another reason for locating factories is the question of how close to the labs where innovation is located. Now here's where America is ahead. The danger is that these labs could begin to move with the factories and take our brain children with them. So, what's the answer? Don"t you think we should start passing out the green to any company that will locate here and tax the heck out of those who don't, to pay for it?

No comments:

Post a Comment