An Index of
February 23 2004
Sen. John Edwards did not win Wisconsin, but he closed a huge gap with John
Kerry with astonishing speed in the final week.
The issue propelling Edwards was jobs, the lost jobs under George Bush, and
Edwards' attribution of blame for the losses on NAFTA and the trade deals for
which John Kerry voted in Congress.
Edwards has plugged into an issue that could cost Bush his presidency. Indeed,
Kerry's sudden conversion into fiery critic of trade deals for which he
himself voted suggests that he senses not only his vulnerability on Super
Tuesday, but his opportunity in the fall.
For a precise measure of what this issue is about, one can do no better than
to consult Charles McMillion of MGB Services here. Each February, McMillion
methodically pulls together from the Bureau of Labor Statistics his grim
annual index of the decline and fall of the greatest industrial republic the
world had ever seen.
Since Bush's inauguration, 2.8 million U.S. manufacturing jobs have simply
vanished. By industry, the job losses are heaviest in computers, where 28
percent of all the manufacturing jobs that existed when Bush took office are
gone, semiconductors where we have lost 37 percent, and communications
equipment, where jobs losses have reached 39 percent in just three years.
One in three textile and apparel jobs has disappeared, and the losses continue
to run at the rate of 100,000 jobs a year. This helps to explain Edwards' rout
of Kerry in South Carolina.
With the markets soaring, the Bush recovery is being called a jobless
recovery. Not so. We are creating millions of jobs overseas – even as we are
destroying manufacturing jobs at a rate of 77,000 per month in the United
Consider. Last year, we bought $958 billion worth of foreign manufactures and
our trade deficit in manufactures alone was over $400 billion, more than $1
billion a day. Millions of foreign workers now labor in plants that
manufacture for America, doing jobs that used to be done by American workers.
Not so long ago, Detroit was the auto capital of the world and the United
States was the first nation in the production of televisions.
Now we don't make televisions any more. And our trade deficits in cars,
trucks, televisions, video cassette recorders, automatic data-processing
equipment and office machines added up last year to $218 billion. We retain a
trade surplus in airplanes and airplane parts, but, because of the competition
from Airbus, that is shrinking.
After airplanes, our No. 1 export in terms of a trade surplus is ... soybeans.
Corn is next, followed by wheat, animal feeds, cotton, meat, metal ore, scrap,
gold, hides and skins, pulp and waste paper, cigarettes, mineral fuels, rice,
printed materials, coal, tobacco, crude fertilizer and glass. Airplanes aside,
the United States has the export profile of an agricultural colony.
Our largest trade deficit with any country is with China. It has rocketed from
$22 billion in Clinton's first year to $124 billion last year. "The World's
Most Unequal Trade Relationship" is how McMillion describes it.
What were our best-selling items to China, where we ran a $2.8 billion
surplus? Oil seeds and soybeans. What was China's biggest selling items to us?
Computers and electrical machinery and equipment, where Beijing ran surpluses
at our expense of $50 billion.
There are bright spots, however, in the bleak jobs picture painted by
McMillion. State and local governments added 600,000 workers in three years.
Some 21.5 million of us now work for state, local and federal governments –
one in six Americans, 7 million more workers than we have employed in all of
Perhaps this is what the Weekly Standard is bragging about when it celebrates
Bush's "Big Government Conservatism."
To read these numbers is to understand the breach that has opened up in a
conservative movement last united when Ronald Reagan went home to California.
To neoconservatives of the Wall Street Journal school, these trade numbers are
yardsticks of their success at creating a Global Economy and measures of their
triumph in championing NAFTA, the WTO and MFN for Beijing. To the Old Right,
however, manufacturing was a critical component of American power,
indispensable to our sovereignty and independence, and the access road for
working Americans into the middle class.
Seeing the devastation of NAFTA and its progeny, sensing rising opportunity in
the industrial Midwest, Democrats are jumping ship on free trade. Bush, if he
does not temper his enthusiasm for these one-sided trade deals, may just go
down with it. If he does, one prays he will at least ensure the
neoconservatives have first been locked securely in the cargo hold.
© 2003 Creators
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