Americans are deceived into believing they benefit economically from outsourcing, offshoring production and an unprecedented trade deficit. In reality, the United States giving up its wealth for plastic trinkets and outsourcing is the cause for rising poverty and joblessness all across the nation.
Tag Archives: Trade Deficit
Unfortunately for us, many of our “free trade” agreements have resulted in closed factories, soaring unemployment, and some communities engulfed in misery.
President Obama promised 5 million green jobs during his presidential campaign in 2008. Not only did he fall short by a long way, but in fact we’ve lost hundreds of manufacturing companies, with thousands of employees laid off. During his 2012 re-election campaign, President Obama promised jobs again, this time promising 1 million manufacturing jobs which he has yet to come close to fulfilling. He has only added a little over 189,000 manufacturing jobs. With so little being made in the United States compared to decades ago, we must now, more than ever, join together and buy American made products.
A fair trade relationship between countries is something to be desired. Each country can take advantage of its relative strengths and both countries grow economically. An unfair trade relationship, however, can be as destructive as the fair one is healthy, and can lead to the decline of a civilization. This latter case is precisely the malaise afflicting America. Just look at our relationship with China as an illustration.
According to the U.S. Energy Information Administration , in 2014, energy produced in the United States provided about 89 percent of the nation’s energy needs. The remaining energy was supplied mainly by imports of petroleum. However, only 10 percent of that was renewable energy. The U.S. is one of the largest energy importers in the world. We used to be energy independent until the late 1950s when energy consumption began to outpace domestic production. During this time, the U.S. began to import more energy to fill the gap. It wasn’t until 2005 when imports finally began to decline and exports increased. However, much of our enormous trade deficit has energy to blame.