B
Boss H
Guest
I. WWII created a protectionist environment for American companies.
This resulted in the emergence of unionization, and higher wages.
Higher wages resulted in more consumption and higher turn-over of product by American companies.
While the companies did not earn a huge profit on each unit as they do not, they sold more which compensated for the lowe profit on each individual item.
This is what you call strong consumer confidence, which is created by the working class making good wages and not having to worry about job security.
Right now Americans do have to worry about job security. The threat? Outsourcing. Result? poor consumer confidence, lower retail sales, less factory orders, and less profit for the rich.
Jobs are not created simply by the rich having more money. They have had more money since the 1980s and they haven't been creating jobs they have been outsourcing them.
Other than that what other aspects would you like to know?
Welfare creates higher demand for product stabilizing market prices making it profitable to be a food producer, without directly subsiding producers, and has cut poverty in half.
II. Then if you want to look at it from a society standpoint, communism and socialism does not emerge from the workign class feeling that the current systsm is benefitting them. It emerges from them not feeling any benefit to the current system, and the supply side gaining more of the benefit than the working class.
Same thing with unions. They don't usually appear if a company is paying a good wage and decent benefits.
They emerge when the worker feels they aren't being justly compensated, which tends to happen without regulation on businesses.
We witness this in the past when nearly every industry was ruled by monopolies. There was no free market because the power was in the hands of the companies.
Free market is a paradoxial idea. The more you relax regulation the more power is int he hands of the companies. They like you to think more power is in the hands of the consumer, by the inevitble outcome to that, is less choice for the consumer.
You can sit there and claim Keynesian economics is better than supply side, or the opposite, but realistically they are both just as important.
Companies will not produce goods unless they are selling them, and without the companies selling them, there is no job creation.
Both depend on a delicate balance between the working class having money to spend and the businesses creating them havbing enough capital to boost production and supply that demand.
Anyone who claims one or the other is better, is only looking at half of the economy from an idealistic view.
This resulted in the emergence of unionization, and higher wages.
Higher wages resulted in more consumption and higher turn-over of product by American companies.
While the companies did not earn a huge profit on each unit as they do not, they sold more which compensated for the lowe profit on each individual item.
This is what you call strong consumer confidence, which is created by the working class making good wages and not having to worry about job security.
Right now Americans do have to worry about job security. The threat? Outsourcing. Result? poor consumer confidence, lower retail sales, less factory orders, and less profit for the rich.
Jobs are not created simply by the rich having more money. They have had more money since the 1980s and they haven't been creating jobs they have been outsourcing them.
Other than that what other aspects would you like to know?
Welfare creates higher demand for product stabilizing market prices making it profitable to be a food producer, without directly subsiding producers, and has cut poverty in half.
II. Then if you want to look at it from a society standpoint, communism and socialism does not emerge from the workign class feeling that the current systsm is benefitting them. It emerges from them not feeling any benefit to the current system, and the supply side gaining more of the benefit than the working class.
Same thing with unions. They don't usually appear if a company is paying a good wage and decent benefits.
They emerge when the worker feels they aren't being justly compensated, which tends to happen without regulation on businesses.
We witness this in the past when nearly every industry was ruled by monopolies. There was no free market because the power was in the hands of the companies.
Free market is a paradoxial idea. The more you relax regulation the more power is int he hands of the companies. They like you to think more power is in the hands of the consumer, by the inevitble outcome to that, is less choice for the consumer.
You can sit there and claim Keynesian economics is better than supply side, or the opposite, but realistically they are both just as important.
Companies will not produce goods unless they are selling them, and without the companies selling them, there is no job creation.
Both depend on a delicate balance between the working class having money to spend and the businesses creating them havbing enough capital to boost production and supply that demand.
Anyone who claims one or the other is better, is only looking at half of the economy from an idealistic view.