BenK wrote:
Sure the government has a small part in the decision whether to manufacture
state side or outsource to another country...but the bottom line decision is
made by the corporate exec's...and...that is driven by stock price...of which
their bonuses are based...
Government involvement as in trade packs, taxation, land use, EPA, etc, etc
and again, repeat the bottom line decision is executed by corporate exec's
Then look at how foreign OEMs and how they make a profit building 'here'
state side, while many American corporations can NOT...so outsource to another
country
All of this has in large part made the American Middle Class SECOND wealthiest
in the world to Canada
Govt has a large roll for large corporations. Both in stability of policies and tax (cost) absorbed by those corporations. Instability in the govt does not allow reliable projections for future projects. Tax treatments with respect to competing locations in this global economy are real. I completely agree with
"made by the corporate exec's...and...that is driven by stock price...of which
their bonuses are based..."
But remember this is the owners of the company, IE shareholders. Shareholders expect a return on their at risk funds and rely on the management to perform those tasks to satisfy their required returns.
These decisions are not made in a vacuum at the sole direction of some greedy corporate exec. No one said small cars cannot be profitable assembled in the US but this is a decision to maximize profit on all products and is not a zero sum game everyone is making it out to be. Does the US worker care if they are assembling a F150 or Fiesta? And there are differences in the transplant mfgs in their cost structure that the domestic oems must deal with.