November 2002 Archives

By Vincent F. Safuto Staff writer

November 22, 2002

"Producers are consumers"

Buried deep in one of the boxes I have stored in my garage is the notebook from the college class in macroeconomics I took several years go, where the professor intoned those words and I wrote them down.

The power of the American economy and its rise to global dominance can be attributed, in part, to a recognition that, while it's all well and good to produce things, and produce them at a reasonable price, there must be a demand for those things.

The idea that the people who made products might be able to earn enough to afford to buy them was a long time in taking hold in the United States. When it did, America and Americans benefited from a society where workers could advance themselves economically, buy the products they made, and other products as well, build families, and secure better lives for themselves and their children.

But now we're taking giant steps backward, and many manufacturers are looking to lands beyond America's borders, not for new markets in which to sell their goods, but for new places to make them and thus lower their manufacturing costs.

In and of itself, keeping production costs under control is not a bad thing. But in their pursuit of lower costs, companies are making a tragic miscalculation that will not only hurt Americans, but also the companies themselves in the long run.

If every manufacturer sends its jobs to Mexico or China, it matters little how low the price of the manufactured goods are if no one here in the United States can afford them.

Conservatives decry liberals' complaints about a "race to the bottom," but anyone who is drawing a salary today, and even retirees, should recognize the threat posed by irresponsible exportation of jobs.

Based on what I see on the business wires, the race to send good-paying jobs overseas is turning into a flood, and companies say it will make them more "competitive" since American workers cost too much, no matter how good they do their jobs.

Reality is that some day, production jobs paying decent wages and offering benefits may be quite rare, and those products from a "competitive" manufacturing environment may be unaffordable at any price.

Retirees may believe they're safe, but some companies are pondering ways to save on pensions and medical benefits, and if they're willing to eject the people who do the work, they're even more eager to unload people who used to do the work.

Magazines have raised the specter of deflation, when prices and wages begin a downward spiral. If this keeps up, we may end up in a permanent economic depression that makes the one of the 1930s look like prosperity.

Political solutions to economic problems tend not to work well, and cutting taxes has done little to persuade companies to keep manufacturing in the United States.

It's a forlorn and desperate hope, but only action by enlightened and understanding business leaders, if there are any left in this country, can stave off a dismal economic future for ourselves and our children.

Vincent F. Safuto is a copy editor for the Press Journal. Reach him at Vincent.Safuto@scripps.com


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By Vincent F. Safuto staff writer

November 18, 2002

Headline in the Vero Beach Press Journal, Jan. 1, 2050: Where have all the flowers gone?

Subhead: Last green spot in Florida paved over and striped.

Do you think Palm Beach County, Broward or Miami-Dade are bad places to drive? Are you about to give up on Martin, St. Lucie, Indian River and Brevard counties' roads?

Try the roads in the Tampa Bay area.

A recent two-day trip to the west side of the state showed the consequences of wild and unrestrained growth, seemingly in every direction at once. If you find State Road 60 in our fair city to be a mess of shopping plazas and parking lots and want to get away, I suggest you take it west about 180 miles, then hang a right on U.S. 19, if you dare.

"Nineteen," as it's called, is like the Indianapolis racetrack, except for its lack of curves and the presence of traffic lights. But it does have traffic. Lots of traffic.

It's almost like a Disney ride, with thrills, chills and spills as you try to avoid becoming another traffic statistic. Definitely an "E" ticket.

Finding your destination on U.S. 19 consists of keeping an eye on the other vehicles, from motorbikes to SUVs to 18-wheelers, and darting glances to the right or left when no one's in front of you.

Not in the correct lane to make that turn? To avoid a multicar pile-up, keep going to the next intersection, start edging over to the turn lane and make a U-turn, when the light eventually changes.

Even for a younger person, the traffic and the confusing array of roads and bridges can make driving from place to place a terrifying, hair-raising, name-your-beneficiary experience. Getting to your destination with only minor emotional damage is almost a victory.

Even more fun is the act of merging. If you plan on testing your car against U.S. 19, you'd better have one that can hit 50 mph in less than seven seconds or you'll spend the rest of your life waiting for a gap in traffic.

Whoever planned or failed to plan the mess in the west should be punished severely. It's growth designed to make travel an unforgettable experience if you make it.

I expect that one day, the entire Tampa Bay area will be paved over, and the green spaces will be fond memories.

Lest you think that the benefit of all that sprawl is low unemployment, forget it. Tech companies and other employers in the Tampa Bay area have caught layoff fever, too, and unemployment is high.

All that concrete hasn't created good jobs at good wages, unless you're in the road-construction business.

For all the roads they've got, they're building more, and widening some. Those ubiquitous road barricades have relatives on the other coast, so there's just no escape from them.

Some economic growth is good, and maybe that will result in the need for a few more miles of roads in Indian River County. But planners here should look at the Tampa Bay area as an object lesson in how not to have growth.

Vincent F. Safuto is a copy editor for the Press Journal. Reach him at (Vincent.Safuto@scripps.com).


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