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DON’T BLAME CHINA FOR TAXES – BLAME US

Minutemanmedia.org

 – by Jim Hightower 

"Made in China" has become a warning label. Look out – toxics in toothpaste, arsenic in shrimp, lead in toys! 

Politicians are pointing their fingers at China's lackadaisical approach to product safety. But wait a minute – where, oh where, are our own regulatory watchdogs? 

The big shock is not that Chinese-made toys are laden with lead, but that America's Consumer Product Safety Commission is a toothless watchdog that employs exactly one inspector to oversee the safety of all toys sold in the United States. Likewise, the Food and Drug Administration has licensed 714 Chinese plants to manufacture the key ingredients for a growing percentage of the antibiotics, painkillers, and other drugs we buy, but provides practically no oversight of these plants. In 2007, for example, FDA inspected only 13 of them. 

An even bigger shock is that our consumer protection laws are so riddled with loopholes that unsafe products can legally come into our country. Take phthalate, a chemical additive in plastics that is suspected by scientists here and in Europe of inhibiting testosterone production in infant boys. Yet, Mark Shapiro, author of “Exposed: The Toxic Chemistry of Everyday Products,” reports that while the European Union has banned the use of phthalates in products aimed at children under three years of age, our government has refused to act. 

Thus, China has factories that manufacture two lines of toys -- one without phthalates for shipment to European countries, and one with phthalates for export to our children. 

The problem is not with the Chinese, but with our own corporate chieftains who have moved their manufacturing to China specifically to get these kinds of low-cost shortcuts in production while simultaneously demanding that Washington cut back on regulations that protect us consumers. We must put our own house in order.

 
If I may, does this really surprise anyone? BTW, it is this antiregulatory stance that, IMHO, underlies the failure to do anything meaningful about illegal aliens. Many of the same folks who benefit financially from the lack of consumer protection regulation also benefit from the availability of cheap labor. It's all about the bottom line.

We, too, are complicit. Speaking in great, broad generalities, do we look for the lowest price of various goods, or do we insist that we'll only buy the "good" stuff, even if it costs $4, $8, $12 more? When a new roof is needed, do we insist that only citizens and lawful resident aliens be employed by the contractor, or do we merely seek out what appears to be the best price, and let our high minded proclamations concerning "securing the border" take a back seat? When the lawn care company gives us a low bid to do the unpleasant work we don't want to do, are we vigilant about the guy on the mower who looks Hispanic, that is, do we ask the contractor if the guy is a citizen or has a visa, or do we merely pay the fee, patting ourselves on the back for saving a few dollars?

So long as increases in regulatory vigilance adds costs, which additional costs are reflected in the purchase price, there will be those who oppose the increased regulation by act and deed, who will be supported by those who buy the less costly product. If there are speculative future costs, contingent liabilities if you will, do we really care as long as the current price makes us feel we're receiving a good deal? If our retirement funds are invested in companies that "do the right thing", are we accepting of that, or do we threaten litigation because a higher dividend is paid by other corporations who may not be so right in its actions?

I ask these questions and post my thoughts not to say that I'm for less regulation, but rather to illustrate what is, to me, a complex problem not simply solved. For the record, the CPSC needs to be strengthened, more inspectors need to be hired and empowered by FDA and other agencies, more attention and resources need to be devoted to enforcing current laws on employment of "illegals". This might increase the cost of production offshore to the point some jobs will be brought back, providing an opportunity for real economic growth. Don't count on it.
 
posted 668 days ago
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Danny said:
 
Vaughn,

Yesterday I had attempted twice to reply and was unsuccessful in both ventures it would appear. So, this time we get the "frustrated" reply. LOL

My short answers:
1. I do not always by "made in China" especially if it is toys for my kids(and one of them puts everything in her mouth at the moment still). This comes at the expense that they don't get as many items as they may have otherwise. The times I do buy made in China is when it really doesn't make sense to pay significantly more for something that I'm only using to see what it may look like or just get a job done quickly. So for me it is a purposefully made decision to buy what I buy. Does this make me worse than those who don't really think about where things are made when they buy items?

2. As for contracting work, I'd pay more for a crew who has legitimate rights to work here. It matters not to me the country of origin, if they have a visa, green card, have become a citizen great. I'd make a reasonable attempt at being assured that the works were allowed to be here, but I'm probably not going to go so far as to ensure every worker has the proper papers as I wouldn't yet know what those should even look like. :)

3. I think the thoughts of these stem from my beliefs about how things should be. Take for instance, I don't think it is wrong for companies to outsource some of their labor and manufacturing to other countries. No matter how we look at it, we are in a global economy now and as such we need to learn how to compete and do well in it.

However, I don't think this should come entirely penalty free. What do I mean? Well lets say we have an American based company who outsources all their manufacturing to another country. Then I think said American company should have to pay import tariffs at this point, as in reality they are not helping the country that much at all, but just their bottom line.

If same company though were to retain some of the manufacturing in the U.S.(1/3 to 1/2 of their manufacturing capacity) then they could be granted no tariffs and maybe even some tax incentives. This does two things, you guarantee some jobs remaining here in the U.S. and secondly you help to ensure there are people able to buy some products.

Understand my reasoning though, outsourcing to other countries I think needs to be allowed, especially so when companies are attempting to break into a new market. I think it helps to get into those markets if there are jobs for the people to do.

4. While not entirely on topic... I don't think all people who are rich are bad. A good example is Bill Gates(perhaps not perfect but not all bad a guy), looking at the Bill and Melinda Foundation. Granted there are those who are bad, and we can all supply our own examples here. The issue with those I consider "bad" is when an executive runs a company into the ground and gets a multi-million dollar severance package. Seriously, what the heck is up with that? I could do just as bad where are my millions?

Back on topic, I'm not upset with those who have lots of money and had earned it through hard work. Congratulations to those who succeed and do well, and do well for their employees. For me, money isn't the end all be all of everything. I place importance on money for the things I need, and if I'm able to get a little of the things I want, I'm happy.

 
posted 667 days ago
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Rox said:
 
Here, here! regarding the wealthy.

To be honest, I wouldn't know what to do with that kind of money. >grin<

As a matter of fact, a friend sent me a link to the HGTV Dream Home contest last night. I took a look at the house and decided I wasn't sure I could live in it. Not MY dream house. Then again, if they want to give it to me, I wouldn't turn it down. And, yes, I did enter. Entered today, too. LOL
 
posted 667 days ago
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