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Saturday, November 10, 2007
Robert Bluey :: Townhall.com Columnist
A Bonbon for Big Labor
by Robert Bluey
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Will the Dems' health care Christmas Present to America be an improvement or detriment to our health care system?


One of the biggest flaws of the Rangel bill is its expansion of the nanny state. The current program offers trade-displaced workers job training and unemployment benefits for two full two years. The Rangel bill would let some workers stay out of the workforce for up to three years, collecting taxpayer-funded unemployment benefits all the while. (Older workers could qualify for cash handouts if they take a lower-paying job.)

It's unclear how displaced workers will benefit from taking a three-year hiatus from real-life work experience, but that's exactly the approach favored by many “progressives.” An alternative, advocated by Rep. Jim McCrery (R-La.), takes an "earn and learn" approach that allows workers to hold a full-time or part-time job and receive training simultaneously, using the same logic as nighttime higher-education classes for full-time workers. McCrery’s bill also attempts to streamline operations at the U.S. Department of Labor so that it is reoriented to provide workers with the services they desire instead of the services favored by Washington bureaucrats.

No one in Congress argues that the government should “abandon” American workers. But given the relatively minimal number of jobs displaced by international trade each year -- loosely estimated at only 3 percent of all jobs lost in any given year -- Rangel's extravagant plan to expand the job-training program to service workers makes little sense. The administration estimates this expansion would instantly increase eligibility for the program by at least 30 percent.

American workers in all segments of the economy face far greater challenges than free trade. To name just two, there’s the need to keep up with new technologies and to identify and respond to changes in consumer behavior. Those challenges are hard.

But politicians vastly prefer easy targets to hard challenges, and the unions have made free trade an easy -- albeit inappropriate -- target.

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About The Author
Robert B. Bluey is director of the Center for Media & Public Policy at The Heritage Foundation and maintains a blog at RobertBluey.com
 
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Making stuff
edweirdness writes: "Even the most uneducated pin head recognizes "making stuff" beats the hell out of "managing a foreign company to make stuff for us". "

Oh. You mean 'talent' scout. There's an uneducated pinhead for you, and I'll bet my bottom dollar he agrees with your statement.

Which is better? Making a product at $20/hr and selling it for $25, or paying someone to make the product at $10/hr and selling it for $20?

You do the math and let me know. For extra credit, which is better for the consumer?

Once we have that clear, we'll move on to comparative advantage.

What?
Based on the running arguments regarding whether or not "manufacturing" is or isn't the basis of a solid economy, this forum is rapidly declining to a state of disservice to readers. Even the most uneducated pin head recognizes "making stuff" beats the hell out of "managing a foreign company to make stuff for us". Primarily, the fact that we are undergoing grave doubts about the state of our economy, that we are even having this discussion at all, should serve to silence those who feel that a "service based economy" is economically or socially sound or sustainable. Truly disturbing in all of this are those who assert that England, Singapore, etc,,, are all doing well. Nothing protects an economy and the interests of workers as well as an industrial base. Particularly when "service based" economies falter. These economies still require food, products and parts that will have to be obtained from those economies that still "produce goods".
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