By Jules Lumbard
What’s good for Apple… is not good for America.
There was a saying that everyone in America accepted prima facie when America was a strong, vibrant and uncomplicated country. What’s good for General Motors, the saying went, was good for America.
People did not just mean General Motors, they meant Big Business. If Big Business was successful, people believed, the country would be successful.
A successful Big Business meant increasing profits. Increasing profits meant more investments. Investments in plants. Investments in new employees. Communities were progressive. New hotels. New roads and bridges. New amusement parks.
Because Big Business created American jobs, the road to the middle class for most Americans was an easy road to navigate. People had cars, houses, pensions, savings. Savings were used by banks to invest in businesses.
Small businesses became big businesses. And the cycle went on and on.
That is the mind’s video of the 50s, 60s, 70s and 80s.
Starting in the 90s, that video broke. Big Business was no longer investing in America. They were not creating jobs in America.
The world was globalizing. Big Business started creating jobs in Mexico. In Canada. In Ireland. In Brazil. In India. In Southeast Asia. In China.
Apple, the most valuable company in the world and in all of man’s history, does not invest in America. It does not create jobs in America. It, rather, invests in China. And it creates jobs in China. It makes the Chinese rich. It cares little what happens to Americans.
Apple makes huge profits on its sales of Iphones, Ipads and other electronic devices to eager consumers in America. But it does very little for Americans.
The reality is that Apple is a Chinese company. And why do I say this? Apple’s operations are conducted almost exclusively in China. The Chinese are reaping the huge rewards of Apple’s success. Apple may legally be considered an American multinational company, but the reality is Apple operates plants in China and other countries, but not in America.
And Apple is not the only one. A whole host of manufacturing companies that people think are American companies are actually Chinese companies.
Big Business, since the 1990s, is no longer good for America. Since Big Business is no longer interested in helping Americans achieve their middle-class dreams, we Americans must do it all alone. Without any help from Big Business.
And how do we do this?
We must pressure our government to bat for us. Government for the longest time was caught up in the What’s good for Big Business theory. As long as Big Business was successful, everything was humming along for Americans. So the government adopted policies that strengthened Big Business.
But Big Business, having abandoned Americans, is no longer on the same page as the government. It’s not only on a different page, it’s in an entirely different book. Big Business is on the Profit Motive book, known widely as Capitalism. The government is now using a different book. It’s called Employnomics, which is of course different from traditional Economics.
Employnomics assumes that the most important goal of the government is the creation of jobs for the American people. It differs from Economics in that Economics creates wealth for corporations and individuals. Wealth creation for corporations and individuals in the 21st century is not being used to create jobs in America. It is used, instead, to create jobs in China and to a much more limited extent, in other developing countries.
The role of government is to advocate for the people. It’s a government for the people, of the people and by the people. Now that it is clear that Big Business has abandoned Americans, the government must side with the American people and treat Big Business as a foreign entity. Because that is what it is. With a number of outstanding exceptions, of course.
American Big Business, European, Canadian and Australian Big Business have put China on track to become the biggest economy in the world. Perhaps sooner rather than later.
What can the government do? Well, for starters government must recognize that the American market is far and away the most important market in the world. For the privilege of selling in the American market, all manufacturers must abide by the new rules.
I call it the Proposed New American Doctrine. Within five, seven or ten years, depending on the industry, all major manufacturers who sell their products in America must manufacture 51% of their American sales within the United States. The major manufacturers who fail to do so within the allotted time will face huge tariffs that will make their products uncompetitive in the American market.
Where manufacturers actually make the products intended for other parts of the world is not our concern. It is only those products that are intended for the American market that we are interested in. 51% of such products must be manufactured in the U.S.
The people who run our government, elected and unelected, must work for the interests of the American people. Not for the Chinese. Not for the Indians. Not for the Taiwanese, the Mexicans and Brazilians.
We Americans demand nothing less from our government, from the elected politicians, and from our bureaucrats.
We must give them notice that their power derives from our power. We can always take back that power. Through the ballot box. Through the media. Through blogs such as this.
(Readers who wish to contact the author may send an email to: JulesLombard88@gmail.com. He will be glad to answer any questions or comment on readers’ concerns.}