BigF350, you're right--the U.S. does impose tarriffs on many goods it imports. I think what polarbear is getting at, is the overall picture. Our exported goods are much more highly taxed when they reach foreign shores than the goods that land on our soil. Because of that, we are currently running a colossal overall trade deficit--meaning we are importing a higher value of goods than we are exporting. One country that is contributing greatly to this problem is China, which just about doesn't let our stuff in, but is taking over many classes of consumer goods here. Cheap electronics, tools, etc. I used to avoid buying Chinese (still could 5 years ago), because I disagree with their politics and how that profit would be spent, but I simply can't anymore--too many products I use can only be found in Chinese-made versions.

I'm not trying to bait a political discussing here, just kind of giving examples...

Jason

 

Thanks for that, I will agree that import tariffs are substantially less in the US than quite a number of countries (anyone tried importing into Malaysia lately?)

I could go on about how countries having tariffs will eventually give way to decline in thier own companies... But back to the subject at hand - GM

On a side note, I have quite a number of friends that work for "The General", and even thier most profitable devision, Holden, has placed a restriction on employing new people.
The friends I know are 2nd year graduate engineers, they are each doing jobs which up until a 18 months ago, used to be done by a team of 4 engineers.
70+hr weeks aren't uncommon for them...

 

jroehl "BigF350, you're right--the U.S. does impose tarriffs on many goods it imports. I think what polarbear is getting at, is the overall picture. Our exported goods are much more highly taxed when they reach foreign shores than the goods that land on our soil. Because of that, we are currently running a colossal overall trade deficit--meaning we are importing a higher value of goods than we are exporting. One country that is contributing greatly to this problem is China, which just about doesn't let our stuff in, but is taking over many classes of consumer goods here. Cheap electronics, tools, etc. I used to avoid buying Chinese (still could 5 years ago), because I disagree with their politics and how that profit would be spent, but I simply can't anymore--too many products I use can only be found in Chinese-made versions."

One of the problems with not having a cohesive economic policy is you wind up with wierd stuff. Tariffs on Canadian Timber, Australian Beef, and Russian Steel, for example. While I don't want to get into any kind of discussion as to whether these are appropriate or not, they are examples of micro-managing, as opposed to taking the "big picture" approach. The US certainly isn't the only country guilty of this, but it does point automatically to larger questions being asked today-

1) Who benefits from free trade?
2) What are the costs?

As the global economy becomes.... more global, workers in all industrialized societies are beginning to realize that one of the costs of globalization will be a reduced compensation package, at least for those still employed. It's a large transition- and like all transitions, I don't expect it to be smooth or quiet. The gyrations of Delphi and GM just hint at the undercurrent.

I won't speculate on how it goes, but I do believe there'll be more money made in the stock markets next year on the short side than the long- if that gives you any clue.

 

Making more money? Since both companies are losing money at a rapid rate, neither is a poster boy for how to run a corporation. GM is sitting on a ton of cash that will prop them up for some time, but they, like Ford, have huge legacy loads and a public perception (real or not) problem. Bankruptcy may be the only way to lighten the load for both.
Dono

 

imo the big money isnt made in the front of the house .. ie sales floor ... its made in the finace dept ,the service area and the extended warranty's also the buy low sell high trade in dept cant hurt eather .. i meen come on dealerships have become pritty flashy tuff for me to think this happens on a dollar over invoice sale ... how can it ??? pay roll ,,taxes.. etc over head???? i also belive the qualty ,, pride and cost of the far east markets out shined the us in the eary 90's and the us unions just now have caught on .. a little to late in my eyes ... just a thought .. kick the unions out of the mix maybe the the auto makers would pass those savings down .. unions only help a select few and drive the prices up for the rest of us .. and maybe the workmanship would also go up cuz dead weight wouldnt be able to hide behind a union rep ... of course thes are my thoughts ...

 

I agree on the union comments. At the risk of this thread getting closed, in my opinion, the unions have been taking advantage of the manufacturers for far too long, and it needs to be stopped. The union has to be willing to compromise, not demand more.

 

thank you nick ford ..im am not un american im a call it as i see it kind of guy .. and its nice im not alone in these thoughts .. i dont see chevy nor ford going under .. if the u.s could bale dodge out in the 80's and be saved by a k car and caravan i think the u.s would bale chevy and ford for that matter .. i meen look at what we do for our over sea's friends and i say that lightly ... but i do often wonder .. home come the u.s didnt bale me out in the midest of my divorce.... lol ..
good laffs to all .... russ

 

We practice free trade here? Since when? We subsidize, we tax, we erect trade barriers just like others do. If Chinese widgets cost $5 and American widgets cost $10, we buy Chinese widgets. We could level the cost with a tax on Chinese widgets, but the American consumer would scream bloody murder and the Chinese, a growing market, would retaliate in kind. They might even stop buying our bonds. Since we operate on borrowed money and have pawned our future to other countries, we desperately need their money to continue our feeding frenzy. We play the trade game, we're just not the 800 pound gorilla we once were.
Dono

 

ct. russ...I don't see it as being un patriotic to your country if you have those views, especially about the unions. The unions seem to put on this act of protection, but in reality, the unions have turned into more of a bully then anything else. This idea that big corporations want to take every advantage of you as they can, for everything you've got, has got to be pushed out of mind. This isn't the late 1800's early 1900's.

If America wants to particpate in free trade, they have to bve willing to follow their own rules. Last time I checked, America owes Canada $3 billion (should have been $5 billion...don't know what happpened there) from the unjustified softwood dispute. The USA is unwilling to accept every NAFTA ruling ever made on the dispute in recent years. Appeal, after appeal, after appeal leave Canada with nothing, and billions in lost revenue. Free trade???

 

dono "We practice free trade here? Since when? We subsidize, we tax, we erect trade barriers just like others do. If Chinese widgets cost $5 and American widgets cost $10, we buy Chinese widgets. We could level the cost with a tax on Chinese widgets, but the American consumer would scream bloody murder and the Chinese, a growing market, would retaliate in kind. They might even stop buying our bonds. Since we operate on borrowed money and have pawned our future to other countries, we desperately need their money to continue our feeding frenzy. We play the trade game, we're just not the 800 pound gorilla we once were."

Dono- you have a unique (but pretty accurate) view of things. FTE never ceases to amaze me.

 

Long Live the General Ford Company!

GeFoCo, heehee

 

four-sixty-power "Long Live the General Ford Company!

GeFoCo, heehee"