A) Markets work like this; Firms build and supply when there is sufficient demand, prices are set by this supply vs. demand ratio.
B) Markets work like this; When the super rich and corporations enjoy tax immunity they might build factories and supply stuff because only then can demand for their shit exist.
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The Pentagon sided with the President, and formally against Congress. Obama via directive gave the military the goal to get off oil, cut the dangerous man and material expensive supply lines, and go alternative energy on base and in fighting units whenever possible. The Congress a couple days ago passed a law forbidding the military to follow this directive and forbidding money spent on alternative energies. This, benefits oil companies and foreign oil suppliers, it kills troops, sets up convoys for ambush, theft, destruction, making delvivered fuel to remote outposts in Afghanistan $400 even 800 per gallon. The pentagon is furious. It also sets the pentagon in a postion to violate an order from the President, or Congress. Their first reaction is to side with Obama. We have a Congress who will harm this nation to protect their doners and owners. Please let people know about this. The pentagons reaction is below, very unusual for the Pentagon to take a swing at Congress, a GOP Congress.
“This exemption could further increase America’s reliance on non-renewable fuels. Our dependence on those types of fuels degrades our national security, negatively impacts our economy, and harms our planet. This exemption would also send a negative signal to America’s advanced biofuel industry and could result in adverse impacts to U.S. job creation, rural development efforts, and the export of world leading technology”.
From Clean Technica (share this quote)
Fringe:
ReplyDeleteIn the baseball film, it was said that if we build it, they will come. In the business world, it is the opposite. If they (the consumers) come, we (the entrepreneurs) will build it (the factories).
This was printed in Tuesday's Wisconsin State Journal. I guess we think alike. ; )
ReplyDeleteI assume Paul Greenberg wishes to be taken seriously. His column from Saturday's State Journal makes that rather difficult. The two Presidents who created the enormous federal debt, Reagan and the second Bush, are the two whose economic policies he lauds, as he at the same time indicates his belief that the enormous federal debt is the cause of our sluggish economy. Take him and his type seriously at your own peril.
The reason we have a sluggish economy is that too few people have disposable income, largely due to previous free trade agreements which led to a mass exodus of manufacturing jobs to countries which practice republican, free market style economics with a gusto Greenberg and his friends can only dream about. When the Paul Greenbergs of the world figure out that demand is what drives an economy, not supply, then you might consider what they say, and take it seriously.
Kevin J Mack
Madison, WI
I don't understand economics or world trade as well as maybe I should - I do believe that we need to pay more for items produced outside the United States - be it clothing, electronics, food, or even a KIA suv. A good example is this Dell laptop - made in Malaysia.
ReplyDeleteSarge
Whit,
ReplyDeleteThat film was an example of a misunderstood economic condition. The field built (for ghosts) did not create the demand. The demand fueled by nostalgia already existed and the farmer built a facility to supply (seating, viewing, parking to meet the demand. It was textbook Econ 101, the demand was met with a supply at the right price and timing. The turn of the phrase though makes it appear as something else. And my city has a multi-hundred $ debt now for an arena that was rammed through council meetings with this misguided quote wielded like a drug by developers.
Kevin,
ReplyDeleteWell done, I can't improve on that.
I would add, Darrell (and Whit), and not to be "nit-picky," that the line is "Build it and HE will come." A reference to the long-deceased father, and not Shoeless Joe. ; )
ReplyDeleteThis comment has been removed by the author.
ReplyDeleteNAC,
ReplyDeleteYour right about the actual phrase, but it is misquoted all the time now as "they" by developers and supply siders.
Sarge,
ReplyDeleteSlippery surface to stand on, playing with tarrifs and import duty. At the least they should tax companies at a higher rate who say over a five year period send any major product or component to offshore manufacturing, hire offshore engineering or accounting, answering services and so on. Don't drive them out of business, but set them a higher rate than shops who build their own gear, answer their own phone. Wow that may be tough to police, but lets have a go at it.
Correct answer: A)