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View Diary: Bleed, you sinners! (128 comments)

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  •  Germans... (3+ / 0-)
    Recommended by:
    roadbear, PrahaPartizan, alizard

    ...are probably well-enough educated to know that German firms would instantly take a hit in terms of the very things they're known for -- quality, precision, longevity, etc. -- by moving manufacturing to China.

    I'm surprised enough that they let us hillbillies make BMWs in South Carolina.

    Does German law require publicly-owned firms to do whatever is necessary to improve the stock price, regardless of other factors, such as moral ones, as in the U.S.?

    -5.38 -4.72 T. Atlas shrugged. Jesus wept.

    by trevzb on Thu Sep 22, 2011 at 01:18:21 PM PDT

    [ Parent ]

    •  Well, the "hillbillies" (13+ / 0-)

      don't actually make the engines; those are made in Germany and shipped through Charleston to Spartanburg.  The "hillbillies" just put the thing together.

      Shipped through Charleston, you say?  Didn't I recently hear something about DeMint, Graham and Nikki Haley begging for Federal money to dredge said port so that those BMW engines (and Boeing components) could come ashore there, you say?  Why yes, yes you did.  Damn socialists, those three.

      That "hillbilly" labor is second-world labor to the Germans.  They don't want to pay the first-world labor costs to have cars made completely in Germany that they are going to ship to the US anyway, but as you say they don't want to take the quality risk of outsourcing the thing to a third-world nation.  They get a tolerably educated but still cheap labor workforce by doing it in the US (more accurately, the non-union South).  The precision stuff they REALLY care about still gets made by their own labor force before shipping it out for installation here.

      The US, and in particular the non-union states, have become what countries like Argentina, Uruguay or Taiwan once were to us--a place with a reasonably well educated workforce to do the non-precision stuff, but not organized enough to have living-wage labor costs--or labor costs at all comparable to what we used to have here.

      There is a lot of angst here about the descent into a third-world nation status (some of it justified), but the real issue is that we are already a second-world nation in large parts of the country...and smarter countries are taking advantage of that much as we once did to others.

      I like lemurs -6.50, -4.82

      by roadbear on Thu Sep 22, 2011 at 02:05:20 PM PDT

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