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The Truth will prevail, but only if we demand it from Congress! 9-11 Inside Job and Neocons Hacked 2004 SCROLL DOWN
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More Jobs Hype Careless journalists and commentators are hyping the 274,000 new April payroll jobs as evidence of the health of the U.S.economy. An examination of the details of the new jobs puts a different view on the matter. April’s job growth is consistent with the depressing pattern of Of the 274,000 April jobs, 256,000 were in the private or nongovernment sector, and 211,000 of these were in the service sector as follows: 58,000 in leisure and hospitality (primarily restaurants and bars), 47,000 in construction, 29,200 in wholesale and retail trade, 28,000 in health care and social assistance, 17,300 in administrative and support services (primarily temps), 11,700 in transportation and warehousing, and 8,800 in real estate. A few scattered jobs in other service categories complete the picture. Americans regard themselves as “the world’s only superpower,” but the pattern of American job growth in the 21st century is that of a Rubinstein’s findings are consistent with the racial composition one observes on construction sites, in fast food restaurants, in waste services and among hospital orderlies. Until recent years, American jobs had nothing to fear from low-wage foreign labor. Americans’ high pay reflected their high productivity from working with the most capital and best technology. The collapse of world socialism and the rise of the high-speed Internet forced Americans to compete head-to-head in the same global labor market with low wage foreign labor working with identical capital and technology. When Americans and Europeans cannot compete in labor markets with Chinese, Indians and Eastern Europeans, because the cost of living in North America and The claim by outsourcing’s proponents that outsourcing creates new and better jobs for Americans is pure fantasy. This claim can find no support in job and income data. Moreover, the same incentive to outsource that is sending so many jobs abroad applies equally to any new replacement jobs. The only American jobs that are safe are in domestic nontradable services that cannot be outsourced, and even in these domestic services, such as schoolteachers and nurses, foreign workers are being imported via work visa programs. Outsourcing’s proponents claim that it benefits corporations and their shareholders. This is true only in the short run. The substitution of foreign labor for American labor allows executives to reduce costs and increase profits, thus producing large bonuses for themselves and capital gains for shareholders. The long run effect, however, is to destroy the U.S. consumer market and to reduce U.S. corporations to a brand name with a sales force selling foreign made products to Americans employed in Third World jobs. Offshore outsourcing is a new phenomenon that has received little attention from economists, who mistakenly view offshore outsourcing as just another manifestation of the beneficial workings of free trade and comparative advantage. In fact, offshore outsourcing is the flow of resources to absolute advantage. Economists have known for two centuries that absolute advantage does not produce mutual gains. Unlike the operation of comparative advantage, absolute advantage produces winners and losers. COPYRIGHT 2005 CREATORS SYNDICATE INC.
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