tag:blogger.com,1999:blog-582368152716771238.post6547370781449138757..comments2024-03-29T07:18:14.271-05:00Comments on The Grumpy Economist: Carrier CommentaryJohn H. Cochranehttp://www.blogger.com/profile/04842601651429471525noreply@blogger.comBlogger17125tag:blogger.com,1999:blog-582368152716771238.post-83014706319966060392017-02-16T09:44:44.296-06:002017-02-16T09:44:44.296-06:00https://www.youtube.com/channel/UCRJyGf7XvML1Z07nZ...https://www.youtube.com/channel/UCRJyGf7XvML1Z07nZPUucqwpakdramashttps://www.blogger.com/profile/16955769670665083119noreply@blogger.comtag:blogger.com,1999:blog-582368152716771238.post-78906765143463229012016-12-07T22:40:16.566-06:002016-12-07T22:40:16.566-06:00I recall this argument happening in the UK in the ...I recall this argument happening in the UK in the early 1970's. At university we (engineering students) were required to read, and extract economics ideas from, a treatise by, I don't recall exactly who, but some chap like the chairman of the board of ICI. He made much of the fact that the government was habitually giving incentives for companies to site factories in this place or that. His principal comment was that after much time consumed by wrangling between companies, local government, and central government, with miscellaneous tax breaks and subsidies, the factories would end up getting placed exactly where they would have been placed if there had been none of the time wasting wranglings and incentivisings.<br /><br />So the thought occurs that in this Carrier affair the only real outcomes of the Trump et al intervention are these....<br />1. Trump gets some extra publicity (that he does not need)<br />2. Carrier et al get a subsidy (that they do not need)<br />3. Everybody else, in order to fund that subsidy, get a higher tax bill (that they do not need)<br /><br />--E5<br />Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-582368152716771238.post-2737436177013136602016-12-06T22:10:33.492-06:002016-12-06T22:10:33.492-06:00""the sentiment becomes, "But there...""the sentiment becomes, "But there is nothing we can do about it." ""<br />Well, there is a major obstacle to doing anything about it. There exist employers who lobby persuasively to have nothing effective done about it because they like having a cheap compliant labor force.<br />--E5Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-582368152716771238.post-90156152893766092692016-12-06T11:13:50.176-06:002016-12-06T11:13:50.176-06:00It seems to me people should be able to travel any...It seems to me people should be able to travel anywhere as long as they harm no one. David Seltzernoreply@blogger.comtag:blogger.com,1999:blog-582368152716771238.post-35148367688362477332016-12-06T01:37:50.894-06:002016-12-06T01:37:50.894-06:00"We're supposed to live under a republic ..."We're supposed to live under a republic of the rule of law. Not the rule of man."<br /><br />Wonderful sentiments.<br /><br />How come when the topic is illegal immigration, the sentiment becomes, "But there is nothing we can do about it." <br /><br /><br /><br />Benjamin Colehttps://www.blogger.com/profile/14001038338873263877noreply@blogger.comtag:blogger.com,1999:blog-582368152716771238.post-40030744692435682992016-12-05T17:51:31.996-06:002016-12-05T17:51:31.996-06:00It really becomes apparent when one looks at the r...It really becomes apparent when one looks at the real numbers that the State of Indiana giving Carrier a 7 million 10 year credit in return for those 1000 jobs in my limited math prowess seems a pretty good deal. Those 1000 jobs over ten years equate with wages, benefits and employment costs and payroll taxes to about $750 million with probably about at least another $250 million in income taxes state and federal, local and national materials and services spending, living expenses, local and regional private spending, borrowings, etc., etc. So I see 1 billion dollars in economy being preserved locally and nationally for a $7 million expense. I call that a great return on investment alone. As a good business man I would make that deal all day long!<br />Also those who get on their high horse and call this agreement as only domestic protectionism I say think about yourself being that loyal 10,20, 25 year employee and having to come to reality of losing your future, your home and the ability to support and protect your family and children and your children's future or existing higher education along with the destruction of your retirement possibility! Then think about agreeing to a severance package where you must agree to train your out of country replacement! Someone should shot the high horse you're sitting on!Ray B.noreply@blogger.comtag:blogger.com,1999:blog-582368152716771238.post-35336254032061363382016-12-05T17:09:35.284-06:002016-12-05T17:09:35.284-06:00Carrier and auto bailout are comparable. Obama abr...Carrier and auto bailout are comparable. Obama abrogated contracts with GM bond holders and Trump muscled Carrier. The point, both of them inserted themselves with force or the threat of force. What's next from capricious elected officials. David Seltzernoreply@blogger.comtag:blogger.com,1999:blog-582368152716771238.post-47472397671610364552016-12-05T14:03:30.933-06:002016-12-05T14:03:30.933-06:00Curious timing or not, it's at least rather se...Curious timing or not, it's at least rather selective in its targets. So the aside is perfectly appropriate.Cokerhttps://www.blogger.com/profile/02631288439451432057noreply@blogger.comtag:blogger.com,1999:blog-582368152716771238.post-66092537507485144772016-12-04T16:53:39.221-06:002016-12-04T16:53:39.221-06:00Cochrane writes, "Summers' essay is ... a...Cochrane writes, "Summers' essay is ... a beautifully written but curiously timed discovery of threats to the rule of law in the US regulatory state."<br /><br />This aside is off the mark. Summers' essay is a warning of future threats to the rule of law by a Trump administration, not of defects in the status quo under recent administrations.<br /><br />In fact, by reminding how the existing regulatory system is integrated with the rule of law, his essay is also a beautifully written rejoinder to Cochrane's recent appeals for laissez faire, in which he has obfuscated how regulation is authorized by law.<br /><br />Finally, Summers' timing is not a bit curious, given the outcome on Nov. 8.<br /><br /><br />JZhttps://www.blogger.com/profile/12994372644670111315noreply@blogger.comtag:blogger.com,1999:blog-582368152716771238.post-60194079601418628612016-12-04T16:31:06.946-06:002016-12-04T16:31:06.946-06:00Did we just enter some type of time warp?
The las...Did we just enter some type of time warp?<br /><br />The last time I checked, Donald Trump doesn't become President until Friday, January 20.FRestlyhttps://www.blogger.com/profile/09440916887619001941noreply@blogger.comtag:blogger.com,1999:blog-582368152716771238.post-24904950265930180152016-12-04T15:19:59.317-06:002016-12-04T15:19:59.317-06:00Interesting blog! But no surprise that Peggy Noona...Interesting blog! But no surprise that Peggy Noonan likes the deal. Me thinks she has always wanted a fascist strongman type.Anonymoushttps://www.blogger.com/profile/16257833104220557670noreply@blogger.comtag:blogger.com,1999:blog-582368152716771238.post-12560455810541211252016-12-04T12:10:14.656-06:002016-12-04T12:10:14.656-06:00I've talked to a few people that praise what T...I've talked to a few people that praise what Trump did because they don't like to see jobs disappear, and I have a hard time explaining the bigger picture and its implications. They're frustration creates bias that shadows bad decisions like these.Andrew N. Gilberthttps://www.blogger.com/profile/09448403581218293385noreply@blogger.comtag:blogger.com,1999:blog-582368152716771238.post-92111524602676506382016-12-04T08:45:18.396-06:002016-12-04T08:45:18.396-06:00I don't really think the auto bailout and Carr...I don't really think the auto bailout and Carrier situation are comparable. The size alone makes it qualitatively different, as does the timing in the economic crisis. I do agree with criticism of the Carrier deal, whatever the details of it might turn out to be.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-582368152716771238.post-17133744297053398222016-12-03T23:21:28.199-06:002016-12-03T23:21:28.199-06:00Way too much generalisation in this column. And wa...Way too much generalisation in this column. And way too much association of the boondogles of crony capitalism with the left. <br /><br />Whether you agree or disagree with the rescue of the car industry, those doing it were motivated by systemic macro considerations. Carrier is a drop in the ocean. That's not true of GM, particularly in the relevant region.<br /><br />It's also true that occasionally prices and wages can be jawboned down together - though it's rare and takes luck, statesmanship and a coordinated and integrated macro-effort - not just a few deals. The Hawke Government in Australia did it in the mid 1980s. Nicholas Gruenhttps://www.blogger.com/profile/08979019731787830666noreply@blogger.comtag:blogger.com,1999:blog-582368152716771238.post-23427121703903296182016-12-03T21:48:53.203-06:002016-12-03T21:48:53.203-06:00Another interesting perceptive along Shields defen...Another interesting perceptive along Shields defense is this post by scott adams<br />http://blog.dilbert.com/post/153905823756/the-new-ceos-first-moves-and-trump<br />Sacherhttps://www.blogger.com/profile/02821839203116220459noreply@blogger.comtag:blogger.com,1999:blog-582368152716771238.post-91871235706564816572016-12-03T19:39:58.447-06:002016-12-03T19:39:58.447-06:00Reuters Business News: Thu Sep 29, 2016 “The Feder...Reuters Business News: Thu Sep 29, 2016 “The Federal Reserve might be able to help the U.S. economy in a future downturn if it could buy stocks and corporate bonds, Fed Chair Janet Yellen said on Thursday."<br /><br />WTO Panel Finds “Prohibited Subsidies” in US-EU Boeing Case: 1 December 2016 “WTO dispute panel circulated its ruling in an EU-US row over aircraft subsidies on Monday, finding that the US state of Washington provides an illegal, “prohibited” subsidy to American aerospace giant Boeing.”<br /><br />I would argue separation of private/business and public/governmental issues in the United States is becoming an illusion. This is not a Donald Trump phenomena and it appears to be happening worldwide.<br /><br />A new era of mercantilism?<br />Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-582368152716771238.post-85968933874782245842016-12-03T19:25:50.978-06:002016-12-03T19:25:50.978-06:00In an Analog editorial at the time, John W. Campbe...In an Analog editorial at the time, John W. Campbell said that was a matter of the US government possessing steel companies similar to demonic possession.Josephhttps://www.blogger.com/profile/04720409839023747889noreply@blogger.com