I’m using my grandmother’s toaster that she bought 35 years ago. It was made overseas.
Any politician who campaigns on such a populist economic message is blowing smoke. That’s the very message Trump campaigned on: Economic Nationalism, but he has discovered that all his ideas either don’t work or would lead to inflation and an erosion of Americans’ standard of living.
…and therein lies the problem: In order to bring back those manufacturing jobs, you’d have to tax imports or close our borders, hurting our economy and driving up the cost of goods in the process, and therefore, driving down American standard of living.
There are two ways to measure standard of living:
-One is to compare the cost of standard goods, such as food staples, from one region to another. Will higher grocery prices improve you life just because they create more low-skilled jobs for Americans?
-The other is to measure how much you can buy with a dollar, or another set amount, and compare that from one region to another. When a dollar buys significantly less than it does now due to inflation, so you think Americans will benefit?
…and that’s the problem with this argument that participating in a global economy is harmful to Americans, that it involves ignoring the effects of bringing jobs back for people who refuse to work for poverty-level wages. This expectation that anyone is willing to work for poverty-level wages (aside from the undocumented immigrants we keep turning away) is the house of cards your whole economic populist message is built upon.
We actually had a good thing going in our pre-9/11 world, where migrant farm workers would come to the U.S., do jobs Americans wouldn’t do, and pump the money they earned back into our economy, stimulating economic growth as their children were educated and became American entrepreneurs, creating more jobs. At the end of harvesting season, the migrant farm workers would go back home, not having to rely on American social support systems between harvesting seasons. Then we closed the exit door, trapping them here, thinking it wouldn’t slow down our economy, but leading to two recessions. Even George W. Bush had the sense to try to create a guest worker program to stem the effects of the clamp down.
About 110 years ago, H. L. Mencken pointed out that immigrants were out-competing native-born Americans at both the top and bottom of the economic spectrum. The advantage they had was that immigration, legal and illegal, is a Darwinian sorting process that selects tough, energetic, and optimistic people.
Ronald Reagan once said this is the country optimists move to. Americans who have been here for multiple generations, particularly in rural areas, are passive people who haven’t moved to where the opportunities are, and who see as a step down what someone from Guatemala sees as something better than back home. Pedro’s Mexican Grocery is an insult to Joe Local, who doesn’t have the motivation to start his own business. He doesn’t want his town revitalized by some foreigner who’s smarter and harder (and cheaper) working than he is; that’s too humiliating.
The American economy was built on the backs of immigrant laborers. Now you have to have an engineering degree (for example) to get a work visa. Did we really think our economy wouldn’t notice the difference?