ABC’s “Made In America” Shows Network Is Clueless

After watching the latest segment of ABC World News’ “Made in America” series, several thoughts come to mind:

1) Don’t view it on a full stomach;

2) Once again, the media has failed to ask the right questions because they, like our elected officials, don’t understand the problem, and

3) Spending more money on a problem sounds great but is never the solution.

The series illustrates the astronomical amount of goods that are made in China, and postulates how great it would be if only we could “buy American.”

Gee, Diane Sawyer and Company, tell us something we don’t know.

Perhaps if the network did a little research as to the real reason why America manufactures virtually nothing anymore, thus identifying the problem, it could then report on the ways to bring back American companies, and the jobs and products they create.

But that would take foresight and initiative.  And when it comes to the American media, those traits are in short supply.

In the latest segment, Sawyer states that the average American family will spend $700 this Christmas season, and that if each just spent $64 on American-made goods, over 200,000 jobs would be created.

If that’s the recipe for success, then why stop at just $64? Well, ABC thought of that. Reporting that total Christmas spending would total more than $465 billion, it stated, “..if that money was spent entirely on U.S. made products, it would create 4.6 million jobs.”

Great idea, if you’re playing make-believe.  But in the real world, things don’t work that way.

First, we live in an ever-increasing global economy, which is perfectly fine, as world trade is a good thing.  But things don’t work out so well when a country owns a mammoth trade deficit, which, in our case, is north of $500 billion per year and exponentially growing.  You don’t need to be an economist to understand that when manufacturing plants move overseas, exports drop significantly while imports shoot skyward.  That trend will only continue until the problem is identified, let alone solved.  But stating a pie-in-the-sky wish that all products should or could be purchased in America is just plain insulting.

Second, throwing more money at the problem won’t solve anything, and in fact makes it worse by masking the real issues. Yet that’s a lesson lost on America, as we continue to fall for the duplicitous line that if we just open the wallet and increase the budget, all will be well.

As a case in point, what do we do about the nation’s abysmal academic achievement, in which U.S. students rank near the bottom of every category compared to their global competitors?  Spend more on “education” --- a lot more.  Of course, we’ve been doing that every year at the local, state and federal levels, yet the scores continue to go the wrong way, but so what?  That just means we need to spend even more money!

Too much crime on our streets?  Hire more cops, despite the fact that most municipalities are going under just trying to pay current salaries and exploding pension and benefit costs.  Give no attention that even the most militarized police states still have crime, and that more money (and thus more police) won’t deter crime. Smarter policing, and infinitely more important, smarter kids, will.  But since we still aren’t “spending enough” on education, we continue to open the coffers for more cops.

Not enough jobs?  Again, this wouldn’t be an issue if we had an educated workforce and a solid manufacturing base.  But since we have neither, and refuse to make any meaningful attempt to change that situation, we create money out of thin air, throwing trillions in “stimulus” (aka, “taxpayer”) money at the problem. The fact that it didn’t work has not deterred the politicians, as they seek yet another round of stimulus spending.

And now, ABC would have us believe that spending $64 is the panacea to America’s chronic unemployment problem, and one that will help manufacturers stay in business.

When will we ever learn?

Such news reports only serve to divert attention from the real problems that need addressing: our atrociously unfavorable trade policies, the highest corporate taxes in the world, and the complete lack of an energy policy.  By understanding these problems, we could begin to stave off the total loss of manufacturing.  And here’s a newsflash: no nation has ever prospered, let alone survived, without a healthy manufacturing base. Without that, it’s lights out, and that’s not conjecture, but mathematical certainty.

So what to do? 

-Trade policies need to be wiped clean and re-written from scratch, with one overarching element above all else: America’s interests come first. Period. China looks out for its own interests, as it should.  We need to do the same.  At some point, we may not have that leverage to call the shots, but we do now.  So let’s do it.

-An immutable law of economics is that if you want less of something, tax it --- a concept lost on most elected officials. Hopefully that will change with a new Congress that will incentivize companies to keep jobs --- and revenue --- stateside by slashing the corporate income tax.  It’s easy to paint the CEO who moves operations to more favorable tax environments overseas as greedy, but when faced with the highest tax rates in the world, combined with shrinking profit margins, it becomes a sound business decision. Given the choice, most would rather stay in the U.S., but the government has taken that choice away from many.

-By far, the most effective solution to give manufacturing a permanent rebirth and a competitive edge is simple and easy. It’s energy independence. But it seems that drilling for oil and natural gas, mining clean coal and expanding nuclear power is just too politically incorrect for ABC’s focus. 

America will never compete with the lowest labor costs in the world. So the only way to offset that is to have the lowest energy costs in the world.  And more than any nation on Earth, America can do that, because it possesses the greatest concentration of energy resources on the planet.

Lower fuel costs give manufacturing companies an edge, and that means greater commerce and more jobs. Businesses can take the billions in savings that cheap energy offers, and reinvest it so that operations are expanded, more workers are hired, and new manufacturing doors in America are opened.  

And when all of the ancillary benefits are realized, the economy goes into overdrive --- homes are bought, restaurants thrive, small businesses no longer face closure, and untold new ventures spring to life.  All of which leads to higher tax revenue.

Incomprehensibly, too many major media outlets and the majority of politicians in both Parties do not recognize these root causes of America’s economic crisis.  And you can’t solve a problem if you don’t know what it is.

Connect the dots, and America thrives again.  Keep the same policies in place, and we go the way of Europe.

 And what a story that would be.

Chris Freind is an independent columnist, television/radio commentator, and investigative reporter who operates his own news bureau, www.FreindlyFireZone.com  His self-syndicated model has earned him the largest cumulative media voice in Pennsylvania. He can be reached at CF@FreindlyFireZone.com

GOP: The Party Of No?

The nation’s largest, most influential gathering of conservatives --- the Conservative Political Action Conference (CPAC) --- was recently held in Washington.  Based on the sheer number of attendees (over 11,000, up from just over 100 when CPAC started in 1973) and the level of palpable energy exuding from the ranks, the conference was a huge success.

Speakers ranged from media pundits to elected officials, including most of the Republicans mentioned as Presidential candidates.

The attendees had every right to feel proud: their side had just re-taken control of the U.S. House, made significant gains in the Senate, and added numerous governorships and state legislatures to the “R” column.

Several themes were common throughout the conference: repeal Obamacare, reign in spending, and reduce the size and scope of government.  But sometimes, the most noteworthy thing is not what is said, but what isn’t.

Not heard nearly as often was what the Party was for.

If that perception becomes commonplace among the electorate, and the GOP becomes the “Party of No,” their recent gains will shrink, jeopardizing the nation’s recovery in the process.

They can certainly be against the liberal agenda, but that will only get them so far.  Ultimately, they have to articulate their vision for America by advocating real solutions to float the sinking economy. 

By far, the two areas where effective communication is needed most, but is noticeably absent, are health care and energy.

Health Care

It’s no secret that the majority of Americans oppose the health care plan passed by Obama and the Democratic Congress last year. But an even greater number agree on something else --- the system before Obamacare didn’t come close to cutting it.  The message is simple: reform is absolutely essential, but national health care isn’t the answer. Pushing to repeal Obamacare, but not articulating a solution to replace it, is a recipe for disaster. 

And like everything else, it’s not what you say, but how you say it.

For example, if Republicans argue for “tort” reform, it will result in a mad dash to find out what’s wrong with our nation’s desserts.  Instead, a spokesman needs to explain, in everyday language, that health care costs are skyrocketing because doctors routinely order five or six tests when one or two would suffice. That practice of “defensive medicine” stems from the fear of frivolous lawsuits initiated by trial lawyers, who, not coincidentally, are one of the Democratic Party’s largest donors. Illustrating such unchecked greed would make winning the legal reform battle infinitely easier, but it’s rarely done.

Likewise, the GOP needs to question why one can buy auto insurance from any company in any state, but it remains illegal to purchase health insurance across state lines.  Communicating why that system must be dismantled --- one which allows the big boys to push out their smaller competitors, thus dominating the market and holding citizens and businesses hostage --- is a winning issue.

Advocating these common sense solutions in a populist manner takes the stigma out of discussing the complexities of health care.  If positioned properly, a few of these reforms would solve the bulk of the nation’s health care problems.

Yet that did not occur when George W. Bush occupied the White House with substantial Republican majorities in Congress.  And despite the GOP’s recent electoral gains, the lesson has not yet been learned.

Cutting Cannot Be The Sole Answer

There are two aspects of cutting which play a vital role in any economic recovery, but by themselves will never be the answer.

Cutting corporate income taxes and excessive regulations are crucial first steps. The United States has the second-highest corporate tax in the world --- 40 percent.  After states tack on their taxes, it becomes clear why companies close their doors, often shipping their operations overseas.

Articulating the results of that policy--- padlocked gates, lost jobs, rising unemployment and welfare rolls, and declining revenue --- cuts down the class warfare tactics of the Left who think taxing companies and their “rich” executives will solve the nation’s problems.  Instead, the average worker, union and non-union alike, would begin to understand why lowering taxes benefits everyone. Closed factories equal lost jobs.  It doesn’t get any simpler than that.

But hearing that explained is rare, because it’s much easier to blame the Chinese for our economic situation. 

Perhaps the point Republicans miss most is that cutting budgets and bureaucracy, while important, will not provide the spark necessary for growth. Just as you cannot tax your way out of a recession, you can’t slash your way into prosperity.

What is needed is a policy that makes growth the centerpiece of any Administration, and nowhere is that goal more obtainable than by instituting energy independence.

Not only will this create millions of sustainable jobs, but it will also significantly decrease the transportation costs of importing goods from across the world.  And common sense tells us reducing U.S. dependence on foreign oil, especially from the increasingly volatile Middle East, will yield positive results.  America has more than enough resources to achieve energy independence, including some of the largest natural gas deposits in the world, but virtually nothing has been done to take advantage of this.

Republicans efforts in this area have only been rhetoric, despite the numerous opportunities afforded them:

There was no action taken after the September 11 attacks, when the President Bush would have faced virtually no opposition in responsibly opening up the oil-rich Arctic National Wildlife Refuge to drilling.  Nor after gasoline spiked to $4.25/gallon and oil to $150/barrel in 2008.  And none after President Obama pushed for offshore drilling and nuclear power in his 2010 State of the Union address --- traditionally Republican concepts adamantly opposed by his biggest constituencies.

*****

Having the best ideas are meaningless if you don’t sell them.  The Republicans have time to heed that message, both in advancing their agenda and choosing a nominee to oppose Obama.  But if they don’t, there will be two losers: the Party and the nation.

Chris Freind is an independent columnist, television commentator, and investigative

reporter who operates his own news bureau, www.FreindlyFireZone.com

Readers of his column, “Freindly Fire,” hail from six continents, thirty countries

and all fifty states. His work has been referenced in numerous publications including

The Wall Street Journal, National Review Online, foreign newspapers, and in Dick

Morris' recent bestseller "Catastrophe."

Freind, whose column appears regularly in Philadelphia Magazine and nationally in

Newsmax, also serves as a frequent guest commentator on talk radio and state/national

television, most notably on FOX Philadelphia.  He can be reached at CF@FreindlyFireZone.com