Why the stimulus plan won't work in the long run

United States
February 19, 2009 8:28am CST
The stimulus plan is only a very temporary solution if its any solution at all. No economy can be strong and successful without a good manufacturing base, and Obama's plan doesn't include bringing back all the industrial jobs that were lost to China and other overseas places. Not having an industrial place makes the coountry very vulnerable to attacks both military and economic. That is the main reason why the South lost the War Between the States, because they didn't have the industry to make all the equipment they needed, as well as the civilian supplies. Even though our country was not fully armed at the start of WWII, it was very easy to convert peacetime factories to wartime factories. today we would be unable to do this if we had another major conflict. For this country to have a flourishing economy, we need to have the money stay in this country, by supporting domestic manufacturers who supply our needs and at the same time supply the jobs we need to keep buying. Thus it will be a continuous circle of wealth, instead of all the money leaving this country and not enough coming in.
1 person likes this
5 responses
@murderistic (2278)
• United States
19 Feb 09
How exactly do you expect that to happen without the implementation of blatant socialist policy? You can't force manufacturing plants to come back to the US. And if you did, they would probably go out of business because they couldn't afford to sell their products at the same price while spending triple or more the amount on labor. The best thing that he could have done, which, he did to some extent, but not enough IMO, is pour money into innovation and new energy efficient products and systems. It would save Americans money on energy in the long run and would be a great stimulant for jobs that CAN'T be exported overseas. It would give the US an advantage over China because the green industry is inevitably going to be a huge one and we really should try to beat China to the punch.
• United States
21 Feb 09
No you wouldn't need socialism. the stimulus money could be given to manufacturing companies to improve production efficiency, and at the same time there should be extra tarrifs and taxes for things imported, to try to even out the price. Also there could be tax rebates and incentives for manufacturers who produces their stuff in this country, as well as government assistance to pay some of the costs of providing health care to the American employees.
• United States
26 Feb 09
The real problem with the auto industry is that the unions make exorbitant demands. The auto workers are way overpaid, even with unemployment they get more money than I'll ever see working in the medical field. That pushes the price of cars so high that no one can afford to buy them. The unions need to go, there is no reason for auto workers to be so overpaid while everyone else in the country suffers. Let them do their part to put this country back together.
• United States
22 Feb 09
That has happened, in the auto industry and it's an absolute disaster. They are using the bail-out money to lay off workers because there isn't enough demand for cars. There isn't enough demand for anything right now, except for cheap Chinese products.
• United States
20 Feb 09
The major problem that I have seen with this so called "Stimulus Package" is that there are no incentives for companies to grow and expand. You hit it right on top of the head when you said the problem with the economy is that we don't have a strong enough manufacturing base. Roosevelt's New Deal tanked, it actually made the depression worst. How do you think Obama's New Deal is going to work? I think we have another tanker on the way. People only do things for the incentives that they get. No incentives, no spending.
• United States
21 Feb 09
Yes, the second one (which isn't so "new" after all), won't be any better than the first one.
@mscott (1923)
• United States
19 Feb 09
We owe and keep borrowing so much money from places like China that we are forced into buying their products. If we stopped importing them they would call in the debts we owe. We won't stop the importing of their stuff but if Americans were smart and strong enough they would stop buying it. However, most people won't stop buying, want the cheapest prices even if it hurts us in the long run, and won't go without buying all the new and latest gadgets.
• United States
21 Feb 09
Thats one problem with many Americans, nobody is willing to "go without" temporarily to make this country strong again. Yes, the bottom line is that if nobody bought the Chinese stuff, the companies would be forced to go back to making things in this country.
@deejean06 (1952)
• United States
19 Feb 09
I completely agree with you! It is increasingly difficult to find things made in the usa. I have continually tried to purchase products made in the usa but many times have come up short. Everything I buy for my infant is manufactured in China. I cannot find clothes, dishes, utensils, toys, etc. made here.
@dlr297 (5409)
• United States
19 Feb 09
I agree with you completely we need to bring the jobs back here. and another thing that needs to be done is the jobs that are here need to be given to its citizens and not to people that are here that are not citizens. We have to be able to take care of ourselves before we can help anybody else. This country try's to take care of too much of the world and not what they should be doing right here. I think that the stimulus plan is just the beginning of something, and yes it is only temporary, but at least it is something, a start to try to build this country up again,
• United States
21 Feb 09
Thats true. They take better care of the foreigners than us. I know when I got laid off from my manufacturing job a few years ago, the newspapers were all upset because the foreigners that worked there were losing there jobs, but they didn't mention 1 word about the 5 times as many Americans that were also losing their jobs. This economy isn't strong enough to support anyone besides the US citizens.