Monday, November 3, 2008

Misleading Politics

I really get frustrated with the way the various political factions distort the truth. My current angst is aimed at the commercials that say ... this candidate (insert name here) "voted to give tax cuts to companies that ship jobs overseas!" There are stupid folks who will take this at face value. The reality is that manufacturing jobs are much cheaper to have almost anywhere other than the US. We have a high standard of living. So, if you are in a situation where shipping costs are outweighed by labor costs related to manufacturing, and you are in a competitive market, you will try to lower manufacturing costs. It is unfortunate, but necessary in order to keep the low prices that the market demands. So, what do good politicians do? Well, they offer incentives, tax breaks, to companies in an effort to offset some of the manufacturing cost so that the jobs might stay here. I just hope that there is a tie-in that requires the tax benefits to go away if the jobs do. More likely, though, the tax cuts will stay so that the company will keep whatever other local jobs it has from moving away as well.

Bottom line is that the commercials try to say the politicians offer tax cuts to companies as a reward for shipping out jobs, whereas the reality is that they are trying to do just the opposite. The commercial must work, though, as there are at least as many versions of the commercial as there are candidates trying to protect their legislative careers.

1 comment:

Orpheus said...

I just thought I would let you know about something I have heard about today. Apparently, in an attempt to figure out what the last Republican leadership has done wrong, the GOP is forming a committee that will put together a website, on which frustrated and disappointed Republicans can leave comments about how the party let them down in the last few years. I thought that you would appreciate this, as a somewhat dissatisfied conservative. I will let you know if I hear more.