Click button above to go to DEMOCRACY NOW!

Saturday, February 04, 2012

BLAST FROM THE PAST-Letter to the Editor 10.10.09

'Efficient' system not always the best In response to the flag-waving chest-thumpers attacking Michael Moore for his movie "Capitalism: A Love Story," here's a bit of shocking news: 1. Capitalism is not a pure system or 2. Socialism is not devoid of enterprise. Americans who paid attention during the debate over auto bailout/loans from Congress should have picked up on a major point that American manufacturers made about their competitive disadvantage: European and Japanese socialism. The social safety net and health-care system provided through taxpayers in Europe and Japan effectively moves the unemployment insurance and health care cost "off the books" and away from the price of labor. America insists on financing those costs through an employer-based system, which pushes up commodity pricing. Since health care insurance costs are now almost 30 percent of labor pricing, the sacrifice comes out of wages. All that "efficiency" that politicians like to brag about? That is a result of more production with lower labor cost. Based on that theory of labor productivity, the cotton industry in the South before the Civil War was highly efficient. -- Elstun W. Lauesen Anchorage Read more here:

No comments: