Manufacturing McCain

Posted by SCapozzola on February 15th, 2008

Despite the loss of 3.3 million good-paying manufacturing jobs since 2000, John McCain believes the U.S. is still on the right course to ensure economic prosperity.  As his website makes clear, “globalization is an opportunity for American workers today and in the future. Ninety-five percent of the world’s customers lie outside our borders and we need to be at the table when the rules for access to those markets are written.”

Now, ManufactureThis is non-partisan.  Or, more accurately, we seem to dislike everyone in equal measure.  But McCain, who comes from the party of Lincoln, Teddy Roosevelt, and Calvin Coolidge, seems to have long since turned his back on the nation’s domestic manufacturers, and thus comes in for special criticism.

  McCain’s championing of what he refers to as “globalization,” as noted above, seems hopelessly naïve.  Yes, 95% of the world’s consumers live outside our borders.  But unfortunately, they hold very little of the world’s wealth.  Consequently, they are not actually “customers” for U.S. goods, but low-wage laborers who knit the shirts and shoes sold at Wal-Mart.

The rest of the world isn’t necessarily thrilled by the United States’ position as the number one affluent consumer, though.  And that may explain why, despite McCain’s ideal of being “at the table,” the faceless World Trade Organization (WTO) almost always rules against U.S. interests. 

McCain’s website notes his desire to “reduce barriers to trade, level the global playing field and build effective enforcement of global trading rules.”  It’s a nice goal, but one he’s never really sought to act on.

Since 1994, China has artificially devalued its currency in order to boost exports.  After joining the WTO in 2001, Beijing promised to halt this illegal “currency manipulation.”  Unfortunately, it has yet to do so.  If Senator McCain really believed in reducing trade barriers, he would press Chinese leaders to live up to their commitments by halting currency rigging.  Unfortunately, he voted against the Schumer-Graham bill intended to address China’s currency peg.

And then we get to Senator McCain’s pledge to aid “displaced workers” by “retraining, relocating and assisting them.”  One might ask if a supposed free market Republican wouldn’t prefer a system wherein workers can find their own jobs in a healthy manufacturing sector rather than depend on federal aid.

But ideology aside, McCain simply misperceives the value of manufacturing.  There’s his recent campaign slip about “some jobs that aren’t coming back to Michigan.”  And then there’s his very revealing comment during the 2000 primary campaign, when McCain told the worried parent of a recently laid-off mill worker, “Forgive me for wanting more for your son.” 

First world economies depend on manufacturing to create wealth.  Senator McCain may approve of a paper mill worker downshifting to some mythically rewarding service job, but the bigger point is that there are paper mill jobs in the United States paying $70,000 per year.  Hourly wages in retail, by contrast, do not boost families into the Middle Class.

And so we see McCain’s circular logic.  He supports unfettered free trade, even if it means the dismantling of entire industrial sectors.  The federal government can always spend endless dollars to retrain these workers.  And if the succeeding jobs don’t pay well, there’s always more federal money to spend, spend, spend on more assistance.  No matter, though, because in McCain’s America we can always purchase the cheapest possible goods from overseas.

##

6 Responses to “Manufacturing McCain”

  1. Joe Says:

    When’s the last time you manufactured anything? Getting a fraction of $70,000 to write this slop? Now go out and get a real job and stop peddling this drivel.

  2. SCapozzola Says:

    Joe:

    We always appreciate comments. Yours isn’t very constructive, though, since it really doesn’t address any of the points made in the article.

    And facts are stubborn things, so we’d be glad to hear any points you might have to dispute the assertions made here. And we trust that, depsite the cynicism you’ve expressed, you share our goal of saving American manufacturing jobs and raising the American standard of living.

    Best,
    steven capozzola
    AAM

  3. Scott Smith Says:

    Mr. Capozzola: I find your comments to be fascinating. The rectitude of your motives is quite commendable.

    -Cheers

  4. Jonathan Trenn Says:

    Steven

    Some excellent points here. I’ve always wondered about that rhetoric many use - that there’s a great big world out there waiting to buy our products. Then you realize that supposedly billions of people don’t have a phone or a car. But yes, they sew shirts for Wal Mart for $3 a day.

    And if we’re not making anything, then we won’t be making manufactured products that we can sell overseas.

    If Joe is going to bitch like that, a lest he should give some specific examples as to why he thinks what you write is drivel.

  5. David Says:

    Steven;

    Very good column on manufacturing and trade; leaves no doubt of McCain’s intentions for U.S. workers. His candidacy is of the persuasion that America has already begun to operate in a new world economy. For example: in this country we have more chiropractors then metal workers and more security guards then lathe operators. The question becomes are these people victims of older economic order or struggling to gain ground in a new world economy? American company’s are looking to expand overseas in an attempt to gain larger market share and to remain competitive. Two corporations that have done this are Rainbird ( sprinklers ) and Caterpillar ( tractors) both companies once manufactured and sold their products solely in the U.S. but, now 44% of their sales revenues come from overseas sales where both companies have centered manufacturing.

    David

  6. Manufacture This » Blog Archive » Walking the Manufacturing Plank Says:

    […] a massive, ongoing boost for China’s exporters.  Unfortunately, and as ManufactureThis has previously noted, Sen. McCain has consistently opposed any action to curb China’s illegal practices in favor of […]

Leave a Reply