Full Employment via Reindustrialization

The primary reason for U.S. structural unemployment, economic stagnation, adverse balance of trade, and shrinking revenues is the export of our industries, services, and R&D and reliance on the importation of low tech goods.
This post was published on the now-closed HuffPost Contributor platform. Contributors control their own work and posted freely to our site. If you need to flag this entry as abusive, send us an email.

REINDUSTRIALIZATION IS THE SOLUTION

Conventional wisdom and academentia (over education without common sense) blame inadequate consumption, low demand, class interests, debt overhang, low inflation and automation as the causes of economic stagnation and the jobs crisis.

However, the primary reason for U.S. structural unemployment, economic stagnation, adverse balance of trade, and shrinking revenues is the export of our industries, services, and R&D and reliance on the importation of low tech goods. The simple, cost free, bipartisan solution is REINDUSTRIALIZATION with its multiplier effect on service and supplier industry job creation combined with relevant skill training.

HERE'S HOW: require all recipients and beneficiaries of government basic research, development grants, and tax or other R&D incentives to produce the created products and their components in the USA for 3 to 5 years. After that period, these goods would likely become generic and could be offshored through patent, copyright, and/or joint venture arrangements, making room for the next generation of innovation. This is not protectionism. Innovation creates its own markets.

Non-compliance with this policy by U. S. companies or their domestic or foreign affiliates would result in heavy duties on the importation of such goods produced overseas instead of in the USA. Require repatriation of 80 percent of all foreign held reserves at capital gains rates.

Also, require all research and development to be done in the U.S. Change immigration and citizenship regulations to attract and keep the world's leading scientists, engineers, researchers, and skilled workers with automatic citizenship to qualified foreign graduates of American and overseas universities in select disciplines. Make the U.S. a magnet for the best and brightest. Strictly regulate sovereign investment in high tech companies to prevent industrial theft and enhance national security. Incentivize domestic insourcing, skill training, and automation to develop globally competitive low tech manufacturing and services. Increase competitiveness with affordable universal healthcare and livable social security via tax reform. All of this is cost free. Time is of the essence.

Popular in the Community

Close

What's Hot