[TriLUG] OT: Outsourcing Grandma to Mumbai

[Mike M]

On Tue, Mar 30, 2004 at 07:51:17PM -0500, Sinner from the Prairy wrote:
> On Tue March 30 2004 16:4116pm, Mike M wrote:
> > 2) We are the American consumer.  We run the frigging economy.
> 
> Agreed.
> 
> This also means that if many pretty good paying jobs (middle class) 
> cease to exist in the US, there will be almost nobody left with enough 
> money to buy all this "made in china/india/taiwan/korea/you name it" 
> stuff.  

Or will.  You can't trust anyone but Americans to buy more stuff
than they need and keep an economy running.
> 
> So , IMHO, getting rid of middle class will just kill the profits from 
> corporations.

And at the same time raise productivity (there is some creeping doubt
this is due more to creative accounting than actual bona-fide increase
in efficiency) and increase supply of production means.

Then prices would be lowered to make up sales.  And then people would
figure out that prices drop regularly and they would suspend purchases
until they thought the price dropped far enough. That would be Deflation.

That's what we should be seeing in the economy, but we don't because
somebody turned on the money printing machine. You should see inflation
then.  For 2 1/2 years we've had notta inflation (inflation - delation
= 0).  Finally we're getting some inflation (like that's a good thing
for people looking for work at lower wages) to the relief of the
economists.

Now, what if the plan (and I don't know who's in charge of these
things) is to scale back the G7 middle class to circa 1955 status
(one car per family, one paycheck per family) and create a
larger middle class including India, China, Russia, etc?  What if
something went wrong and we ended up with a 1855 middle class?
> 
> Of course, all what I know about economy is that money doesn't exists. 
> But tell that to the local BMW vendor when you try to get a brand-new 
> BMW M5 for just $0.00, as money doesn't really exist.

I'm always disappointed when I try to talk philosophy with a car
salesperson too.
-- 
Mike