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Tag: us-economy

Jayaraman Rajah Iyer comments on "Offshoring has Destroyed the US Economy (via Suzie-Q’s Truth and Justice Blog)"

Jayaraman Rajah Iyer comments on "Offshoring has Destroyed the US Economy (via Suzie-Q’s Truth and Justice Blog)"

Jayaraman Rajah Iyer walks his own path and has his own thoughts. Here’s what he things about the afore mentioned post –

Dear JP

US has created a bubble of its own, not just a furious-attack as Krugman says [from WP on the bubble..the response of the right was a furious attack; basically, it was politically incorrect to raise any question about the glorious Bush boom.] but a piranha syndrome on any one who talks against cap… before the ism is even completed, by US – .com, .gov, .edu, .org, in one voice by the dots that stand disconnected otherwise. US.ppl stands completely alienated. An idea when turned over, through a maze of analysts before considered by the CEO led team of experts at a Camp Goliath or some such resorts the incremental cost of the idea is so prohibitive in comparison to the corresponding benefits, that it is thrown in the dust bin. US has expended itself out. No country in the world can afford US Model.

Quotes from Jayaraman Rajah Iyer.

From the web site, Jayaribcm’s Blog.

http://jayaribcm.wordpress.com/2012/11/14/reviving-keynes-animal-spirits-for-your-business/#more-1104

Recently (July 2012) Dr. Manmohan Singh, Prime Minister of India declared “Reverse the climate of pessimism… revive the animal spirits in the country’s economy,” It is indeed surprising the catch-phrase was not made use of all these years and Dr. Manmohan Singh a renowned economist himself had stressed on bringing optimism to his second wave of reforms for revival of Indian economy. Can Animal Spirits be implanted to Indian Economy? What about for Corporate Sector? The note prepared by IBCM© Research is published here with regard to Animal Spirits that John Maynard Keynes stated in the year 1930 and what it means to corporate? ‘Reviving Keynes Animal Spirits for your business –

Measuring by Return on Intangible’ is one that can bring in measurable vibrancy within an organisation. IBCM© Research Consulting shall be the agent of change.

From the web site, Jayaribcm’s Blog.

http://jayaribcm.wordpress.com/2012/09/29/investment-decisions-for-pension-funds-by-intangible-value-capital/

Investment decisions have to go deeper in identifying where to invest so
as to have a long term benefit for both the parties – Investor and
Investee, where Value System takes precedence in measuring to the
expectations. Equity portfolio of the investor will remain the driver to
accelerate towards higher rating by Intangible Value Capital that
measures the value system of the Corporate. Same is true for banks on
credit risks. It is inevitable IBCM© Research’s Intangible Value Capital
would remain as the one foremost Rating methodology necessary for any
investment decision.

From the web site, You Tube. (Click to hear his thoughts on his book.)

Inactivity Based Cost Management by Jayaraman Rajah Iyer  

The theme of the book is: Activity is a Cost Incidence whereas
Inactivity Cost has a Consequence. Inactivity Based Cost Management is
Measuring Intangible: Governance,Ethical & Fiscal Responsibility and
Accountability. Cost Consequence is relevant for only one day, i.e.
today, as a corollary Governance is feasible for only one day, i.e.
today. Inactivity Based Cost Management measures your skills and
energies of Governance, Corporate or Government.

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Andrew Comments on "Offshoring has Destroyed the US Economy (via Suzie-Q’s Truth and Justice Blog)"

Andrew Comments on "Offshoring has Destroyed the US Economy (via Suzie-Q’s Truth and Justice Blog)"

Andrew often comments on my posts and always has something interesting to say. –

English: Worlwide Offshoring Business Deutsch:...

English: Worlwide Offshoring Business Deutsch: Weltweites Offshoring Business (Photo credit: Wikipedia)

In a lot of cases, the jobs that are going overseas are NOT in job fields that have a shortage of workers. You mentioned manufacturing. Thats the big one.

This is speculation, but I think that outsourcing jobs has actually created a lot of the worker shortages in particular job markets.

My generation, while growing up, was constantly bombarded with this idea that if you did not go to college, then you wont be successful. I think this mentality was partly due to our parents generation seeing those high school level jobs (manufacturing, customer service, technical support, etc) being sent overseas and they wanted to steer their children away from having to look for those types of jobs. An unfortunate biproduct of that panic is that, with everyone going to college, the value of the college degree has fallen. Another consequence is that people, generally, arent interested in going into a skilled labor field (carpenter, welder, electrician, etc.) because they’ve been told over and over again that you need college to be successful. This is CREATING that shortage that proponents of offshoring cite to justify their actions.

From around the web.

From the web site, Centurean2’s Webblog.

http://centurean2.wordpress.com/2011/06/01/offshoring-has-destroyed-the-us-economy/

(Apparently a quote from Paul Craig Roberts.)

These are discouraging times, but once in a blue moon a bit of hope appears. I am pleased to report on the bit of hope delivered in March of 2011 by Michael Spence, a Nobel prize-winning  economist, assisted by Sandile Hlatshwayo, a researcher at New York University. The two economists have taken a careful empirical look at jobs offshoring and concluded that it has ruined the income and employment prospects for most Americans.

To add to the amazement, their research report, “The Evolving Structure of the American Economy and the Employment Challenge,” was published by the very establishment Council on Foreign Relations. http://www.cfr.org/industrial-policy/evolving-structure-american-economy-employment-challenge/p24366

For a decade I have warned that US corporations, pressed by Wall Street and large retailers such as Wal-Mart, to move offshore their production for US consumer markets, were simultaneously moving offshore US GDP, US tax base, US consumer income, and irreplaceable career opportunities for American citizens.

From the web site, The Liberty Voice.

http://www.thelibertyvoice.com/the-offshore-outsourcing-of-american-jobs-a-greater-threat-than-terrorism

(Quoted from Paul Craig Roberts.)

The authors note that despite the enormity of the stakes for all Americans, a state of denial exists among policymakers and outsourcing’s corporate champions about the adverse effects on the US. The Hira brothers succeed in their task of interjecting harsh reality where delusion has ruled.

In what might be an underestimate, a University of California study concludes that 14 million white-collar jobs are vulnerable to being outsourced offshore. These are not only call-center operators, customer service and back-office jobs, but also information technology, accounting, architecture, advanced engineering design, news reporting, stock analysis, and medical and legal services. The authors note that these are the jobs of the American Dream, the jobs of upward mobility that generate the bulk of the tax revenues that fund our education, health, infrastructure, and social security systems.

The loss of these jobs “is fool’s gold for companies.” Corporate America’s short-term mentality, stemming from bonuses tied to quarterly results, is causing US companies to lose not only their best employees-their human capital-but also the consumers who buy their products. Employees displaced by foreigners and left unemployed or in lower paid work have a reduced presence in the consumer market. They provide fewer retirement savings for new investment.

From the web site, America and the Global Economy.

http://americaandtheglobaleconomy.wordpress.com/2012/04/26/offshoring-to-the-united-states/

Offshoring and re-shoring have been staples of the U.S. manufacturing
vocabulary for the past decade, but there hasn’t been a lot of
discussion about other countries offshoring to the United States.
Chinese conglomerates have begun to shift their production and
manufacturing to the United States. The incentive is this: in China,
companies that export products to the United States at ridiculously low
prices are subject to anti-dumping tariffs
because the U.S. believes that the products are being sold at a price
lower than what it cost to make them, which creates an unfair advantage
in the marketplace. If a Chinese company manufactures their product here
in the United States, it is a domestic product and is not subject to
the same regulations. Raymond Cheng,
CEO of one Hong-Kong consulting firms, noted that “it’s a tactical
advantage to be next door to your biggest client,” which is just what
the Chinese companies are looking for. In addition to avoiding tariffs,
opening a plant in the United States saves money on transportation and
fuel. Cheng continued to point out that “it’s a natural evolution that
as Chinese companies grow into global brands, they will come to the
U.S., the largest consumer in the world.”

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Offshoring has Destroyed the US Economy (via Suzie-Q's Truth and Justice Blog)

That this actually controversial is astonishing. Nevertheless, you there are countless web sites that argue that offshoring was good for everybody.

Despite it’s negative image in first world countries such as the U.S., offshoring has proven to be beneficial to both the business owner and the country where the services are culled.

I think that this issue is much more of a political issue than a job issue. Jobs exist in the United States. In many fields there are shortages of workers. The offshore resources are filling that shortage in some cases. In other cases companies are saving money by using cheaper resources. By saving money, they are making more which is profitable for their shareholders. Who are their shareholders? Probably each and every one of us. Remember your retirement account?

Then, on Feb. 9, the White House released its annual Economic Report of the President. Buried deep on Page 229 of the report was a paragraph noting the growth of offshore outsourcing by U.S. businesses and suggesting this was basically no different from other kinds of international trade:
“The basic economic forces behind the transactions are the same… . When a good or service is produced more cheaply abroad, it makes more sense to import it than to make or provide it domestically.”

I teach college, specifically business law. When my class began to fill up with former manufacturing workers desperate for some kind of work or work related opportunity, I couldn’t help but notice those were the kinds of jobs that made this community, the jobs that made America. It was those jobs that were leaving.

I’ll let the article make the rest of the argument.

James Pilant

Offshoring has Destroyed the US Economy Nobel Economist Michael Spence Says Globalism Is Costly For Americans Dr. Paul Craig Roberts | Global Research | May 31, 2011 These are discouraging times, but once in a blue moon a bit of hope appears. I am pleased to report on the bit of hope delivered in March of 2011 by Michael Spence, a Nobel prize-winning economist, assisted by Sandile Hlatshwayo, a researcher at New York University. The two economists have taken a careful empirical look at … Read More

via Suzie-Q’s Truth and Justice Blog

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