My advice to the president on the state of the economy
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The economy as a rollercoaster
Dear Mr. President: A suggestion to reduce the trade
deficit.
The economy as a roller coaster.
If the body mass of a coaster is the economy, then the stimulus package is the
force that pushes it to roll on the track of the roller coaster. Therefore, it is the track of the roller
coaster on which the economy roll that we should redesign so that it creates a
loop that brings the coaster back to us without having to apply force to push
it again.
Our failure to create such loop may cause us to encounter brake runs along the
track which can slow or even stop the economy from rolling again. We must create jobs that bring money
back into the economy.
Trade deficit is the key component here, the more goods we can export to other
countries, the more stable our economy will become. It is the result of our
trade deficit that will determine whether or not we can sustain the waves of
this economy.
For example, one of the many jobs that can help reduce the trade deficit is in
the sector of agriculture. As it is now, there is a growing demand for organic
produce. Americans wants to eat healthy, they’re looking into foreign markets
to buy organically grown produce. We can invest a small percentage of this
stimulus money in farming by stimulating small farmers to cultivate organically
grown produce. We do not have to be the consumer, we can become the supplier,
supplying to our population while keeping the money re-circulating.
We can make Haiti the organic paradise; encourage Haitians to produce organic
food to sell to foreign markets. We can attract investors for them while at the same time setting rules
to guard small organic farmers against giant corporations. We can protect their grains from being
patented to secure the process of organic farming.
We can encourage
American investors to buy organic produce from Haitian vendors at market price.
By building partnerships with the Haitian people, we’re making them part of the
loop system, which means their economy is tied in with ours via the coaster within the loop
system.
Other jobs that can help reduce the trade deficit are in the green energy sector.
Creating green cars is one of the many proposals that you have proposed as a
means to reduce the trade deficit. However, to create green cars at a cost that
is affordable, you may have to make it a government subsidy.
What I mean by that - is that to compete against foreign markets, government will have to take charge. It will not be possible in the private sector’s hands if they continue to pay workers so much money to produce a car.
By taking charge, you’re making domestic goods and services artificially competitive against imports. And that is the strategy that we need to employ if we want to off-track this growing trade deficit.
A further option is to create jobs in foreign countries. What I’m talking about here is government acting as a corporation. It’s very much like what Proctor & Gamble has done in some foreign countries, which is creating a market to consume your own goods.
This strategy is very much like the paradox killing two birds with one stone. You see, in a global economy, government can’t depend on corporation to improve their economic situation.
Corporations are
separate entities owned by individual stockholders; those individuals are part
of the world economy. They have no tie to any state, and they’re there to make
a profit where they see fit, so whether it’s in China, Japan, Haiti or Africa,
makes absolutely no different to them.
We can encourage green energy manufactures to built factories in Haiti as a
mean to raise the minimum wage of the poor to a level that is above their current living standard. As Americans,
it is only when we have a stake in a country that we become concerned with their conduct of
operations.
As a Haitian patriot, I believe that you have to give to
receive, so for that we’re willing to welcome foreign investors in Haiti, we encourage
them to built resorts that are affordable and not exclusive to anyone. Hire
Haitian residents to work at these resorts, build schools and restaurants to prepare
local citizens for these types of services.
To reduce the trade deficit in the US, government should act as a corporation,
looking for return on investment where they see fit. China is successful because they’re one of the
biggest corporations in the world. As you clearly stated “they’re not a democratic society, so they don't
debate". This is part of the reason why they're not wasting any time. They export a great amount of their
products, by creating partnerships across the globe as a mean to move their product faster while
minimizing on import.
So it is true, the New York Time was right “China is not
waiting, it is moving" They send their affiliates to other countries to
produce markets for China to sell to. As you can see MR. President this is why we need to
re-evaluate ourselves and implement suitable measures to counteract, if we must
continue riding this economic wave.
Build partnerships across the country, tie in our economy with theirs, and
build a relationship on mutual ground. That is to say we’re not looking to take
advantage of the small countries, but making them partners so that we rebuild
our economy from the bottom up.
Since their treasures are our treasures, we must help elevate their economy to show gratitude and respect. Their citizens should not have to come to the US looking for a job. This is globalization, if the loop we’re creating has no brake runs along the tracks, their economy and ours will intertwine making it possible for anyone to live the American dream.
The result of the loop would have distributed wealth across
the globe, the land of opportunity wouldn’t necessarily seize the most middle
class people, and other developing countries would have also given rise to
their own middle class group.
Why do I talk about this? Well, as a parent and tax payer, I am a stakeholder
and so are many Americans like myself who have come to accept this country as our home. In order to make
the United States a bread winning state in the future economy, it must create
an economic loop and be incorporated.
United States incorporated during business in the world economy as a separate entity, where the stakeholders are citizens of the world economy. Some may refer to it as a socialist idea, but others will see it as an opportunity for us to regain leverage in the world economy, The United States doing business as a corporation will help reduce the trade deficit while creating a loop to keep the money re-circulating into the country.
Edited by Nadine Sellers
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The Old Firm says:
13 months ago
A nice simile, Coolbreezing.
Cheers
TOF