Quote:
Originally Posted by Broadsword2004
So over the last twenty or so years since Reagan's deregulatory policies, has the economy undergone a lot of re-regulation and is now over-regulated again?
|
The short answer--yes. Businesses, especially those that export, are experiencing ever increasing regulation. This raises indirect costs and makes it increasingly difficult for US manufacturers to compete. If you want to see the effects, go research where all the subcomponents for your 'American-Made' car originated. You can also take a quick trip to Walmart and read the labels.
Quote:
Originally Posted by Broadsword2004
One thing to remember is that despite the challenges of globalism, the global economy didn't wreck the United States---to the contrary, we are the ones who wrecked the global economy.
|
Not exactly. Europes' gaping wounds were mostly self-inflicted--for many of the same reasons that are afflicting the US. If you look towards India and Asia--things aren't so bad, which coincides with many of the authors points regarding low labor cost and lax regulations.
Quote:
Originally Posted by Broadsword2004
Through our trying to provide every American with a house and ignoring the laws of economics, we created a massive housing and credit bubble that nearly brought down the system. And a real-estate bubble bursting is an extremely hard blow to an economy.
|
This was certainly the straw that broke the camels back, but I believe the author highlights some very good points on the true depth of our problems.
Quote:
Originally Posted by Broadsword2004
Then we have all of the uncertainty of the Obama administration, the massive "stimulus" not only didn't work, but may well have hamstrung the economic recovery, and then just as America is holding down the global economy, states like California are probably holding down the American economy as well.
|
I'll certainly agree with you there.
Quote:
Originally Posted by Broadsword2004
If California would just deregulate a good bit so as to not make it so hostile for businesses there, and then if, on the national level, regulations are too severe, we deregulated, those alone I bet would provide a major economic boost for the country.
I think America can compete fine with the rest of the globe. No nation can do everything. But we have certain states that like to regulate a lot which hurts the national economy overall and also we took a major hit from the housing/credit bubble, so the economic turnaround will be a little while.
|
Deregulation will certainly help. The real fun part will be convincing the American workers, and the Government, they need to take a pay cut. Taxes, regulation and labor costs all need to be addressed in order for us to turn the situation around.