EU threatens...Obama backs down
By lilwonders
@lilwonders456 (8214)
United States
February 4, 2009 9:45am CST
Instead of lauching his planned big "buy American" campaign soon. Obama has softened up on it. The EU threatened to retaliate if Congress went ahead with sweeping measures in the $800 billion stimulus plan to restrict spending to American goods and services.
The plan generally prohibits the purchase of foreign iron and steel for any stimulus-funded infrastructure project with the goal being to boost the U.S. iron and steel industries, which have been pummeled by the current recession.
Trade unions demanded a tightening of the law on the use of foreign workers as hundreds again walked out at the Lindsey oil refinery in protest at the hiring of Italian and Portuguese workers, and energy workers around the country followed suit.
Obama is now saying he will remove the restriction from the bill.
So it looks like instead of protecting the US (which is his job) and doing what is best for us, he is bowing to the EU. Who does not have our best interest at heart but their own. WHy should our stimulus money be used to stimulate other countries ecomony's? It is our tax dollars, it should be put to our use for our benefit. What do you think?
2 people like this
6 responses
@Troublegum (641)
• United States
4 Feb 09
If the government commits to buying only US steel. The price of US steel will go up and independant contractors will have to purchase international steel because the price will be better. So basically legislating restrictionism. will hurt independant business owner, tick off the international community, and not change anything in terms of where steel comes from.
@belhaven14 (454)
• United States
4 Feb 09
Those are all very valid points. Restricting trade will not help anything even with Obama's good intentions.
@belhaven14 (454)
• United States
4 Feb 09
I'm glad he backed down. Personally, I think the stimulus plan shouldn't go through. But if it does, and it probably will, you can't restrict trade. It doesn't work. If we restrict trade with other countries, they will restrict trade with us. Without trade, companies will not be able to compete because their costs are higher. Then those companies go out of business putting us in a bigger problem than before. You have to understand that government in business rarely helps. Businesses have to be allowed to do what is profitable, or they will not survive.
@lilwonders456 (8214)
• United States
4 Feb 09
He would not restrict trade....the bill just said that the bail out money had to go to us workers and us companies....not foreign ones.
@belhaven14 (454)
• United States
4 Feb 09
"The plan generally prohibits the purchase of foreign iron and steel for any stimulus-funded infrastructure project with the goal being to boost the U.S. iron and steel industries, which have been pummeled by the current recession."How is that not restricting trade? They are telling the U.S. companies that they cannot purchase any materials from foreign countries. That is restricting trade. If German steel is cheaper (hypothetically) and of equal quality, then to make a better profit the U.S. company should buy the German steel. A clause like this will cause international reaction with their trade policies. It could be harmful to American industries. You can't just look at the positives of a plan, you have to look at the possible negatives and side effects.
@lilwonders456 (8214)
• United States
4 Feb 09
any stimulus-funded infrastructure
That is right. Only bail out money takers. Anyone else can buy from what ever country they want. I agree with this. IF we have to do this whole wasteful bail out...then it needs to benefit the tax payers here and not some other country. It is our tax dollars and it needs to go to work for us.
@barehugs (8973)
• Canada
4 Feb 09
Obama is a very smart guy! He knew all along that he had to let the stimulus plan money fall where it may. He also knew that he couldn't get that idea through Congress. So he went ahead and announced the Big Buy American Campaign, and then he waited. Sure enough as soon as message got out, threats of retaliation from the rest of the world came pouring in, and Abama appeared to soften. This is the Mark of a Great President! He gets what he wants and very few catch on to his Strategy! Isn't it sad that so Many Americans can't see the butter on their bread?
@newtondak (3946)
• United States
4 Feb 09
Obama is a big union supporter and he's not going to anything that goes against what any of the unions want. The oil refinery stuff is just a stunt by the oil companies so they will have yet another reason to up the gas prices.
@BlueGoblin (1829)
• United States
4 Feb 09
I'm gonna take a step back from bashing Obama for awhile. I have done it since the primaries and now I just want to sit back and see what he can do. I think he deserves a chance to prove me wrong. I think people are bashing him far too early and his supporters have just turned them off.
@TheCasualReporter (283)
• France
4 Feb 09
Great discussion. As others have pointed out here, while it seems protectionism should be a good thing for Americans and the economy, it isn't. To illustrate, consider a family-run firm that only hires family members if at all possible, to protect the family. The family have jobs at first, but they may not necessarily be the most qualified for the work they need to do, and they can pressure the firm to give them personal advantages. The company's competitors, not restricted to family preference, hire the sharpest minds and best talent for the cheapest price and in time dominate the company. It eventually folds and ALL members of the family are out of work. Protectionism is the enemy of efficiency and effectiveness, and consequently a strong economy. So in the long run Obama is looking out for the interests of the American people by keeping free trade flowing and keeping American companies lean, efficient, and competitive. Thing tough love.
