Let's Not Forget: A Stronger Economy Will Also Destroy Jobs, but It’s Necessary; Better Jobs are Created

[XenaLee]

What good is all that productivity if people are unemployed and can't afford to buy it?

American industry needs to take a look back at Henry Ford.

Manufacturing employment fell during the Reagan years, but the "Service Economy" grew.

(I recall looking at a friend and saying "We aren't going to get rich scrubbing each others toilets".) Wealth must be created, but at the same time, in order to convert it into something other than a warehousing expense, others have to be able to purchase those value-added products.

And not just that (to be able to purchase products)....  but folks have to be willing to purchase products.  The uncertainty that the Obama administration and the Democrats have brought to America over the past decade has curtailed and hampered folks' willingness to purchase items they wanted but didn't necessarily need to live. 

Many folks (including myself) have held onto their money (what little there was) over the past eight years vs. spending it... due to the fear and worry that that money would be needed later for necessities. 

If nothing else, hopefully Trump's presidency will eliminate much, if not most, of that fear and uncertainty the Democrats caused.  A positive outlook is required in order for business and America to prosper.  The malaise that Obama created is lifting, albeit slowly.  I just hope the Democrats don't manage to sabotage that recovery....the only 'real' recovery we will have seen in the past decade.  You can bet they're working on that effort as we speak.... tirelessly.

[Free Vulcan]

You all are assuming the globalists want you around in a completely automated world. They won't need you at that point. Only the very best and brightest will be allowed to survive.

In other words, they expect you to die Mr. Bond.

[geronl]

Which means that instead of 100K people who can afford the product, Ford only employs 6K people who can, there. No matter how productive you are, you have to have customers. If everyone rids themselves of 94% of their workforce, who is going to buy that stuff?

If the only people who can afford your product is your employees, you won't stay in business very long

[Smokin Joe]

As an employer I don't want to hire druggies or people with criminal past or convicted of sex crimes.   My wife has a business that dispenses legal drugs/r/x  and she does the pre hire drug test.

I have an company that has client financial and health history and I do credit checks, background/drug etc. on new hires

Darn if I will get sued by some employee who decides to smoke a joint for breakfast and wrecks the company truck into a crowd of little kids at the bus stop and my company gets sued into oblivion.

I also own a apartment complex and do extensive credit and background checks.The other tenants love it especially the older and female tenants because they know some guy with prior sexual assaults won't be living next door to them.


@Smokin Joe

As is your right as an employer. Between background checks and drug tests, a guy can pretty much get an idea of how his employee lives. It may not be the same as showing up on their doorstep, but it can tell almost as much.

[Smokin Joe]

If the only people who can afford your product is your employees, you won't stay in business very long

If your employees aren't employed, who is spending the money that keeps other employees employed? Sooner or later, the interchange breaks down.
Wealth is created by extracting raw materials, refining them, converting them to a usable form, and selling them. People make money along the way performing those acts, others make money providing services to the ones who do the extraction, etc.

If wealth is created without anyone making money, or very few, then those who can afford services will be few, those who can afford the products will be few, and the economy won't grow, it will contract.

The old example in the patch is the oil company that got rid of stripper wells, just too expensive for the amount of production. Then they got rid of all those wells only making 50 bbls of oil a day, because they were the most expensive. Then they got rid of the 100 bbl/day wells, just not cost effective enough, etc. until they achieved the ultimate savings.
But they no longer produced oil.

There is a point where cutting workforce cuts the economy's throat.

[Smokin Joe]

If the only people who can afford your product is your employees, you won't stay in business very long

If everyone rids themselves of 94% of their workforce, who is going to buy their stuff.

Look at how many people are 'not in the workforce', which doesn't mean they are that way willingly, it just means they have no unemployment benefits to draw and haven't gone for SSDI.

The Obama Administration has waged war on entire industries, while promoting expensive boondoggles with our tax money. The results? A lot of people have lost their jobs, and not many have been created outside of government (taxpayer) funded positions.