1 THE UNITED STATES Is The Largest Consumer Market in the World Was The Largest Creditor Nation in the World Is Now The Largest Debtor Nation in the World 542016 2 Trade Agreements There have been approximately 20 free trade agreements since the late 1980s All have promised open m ID: 806770
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Slide1
The Global Market
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1
Slide2THE UNITED STATES ….
Is The Largest Consumer Market in the World
Was The Largest Creditor Nation in the World
Is Now The Largest Debtor Nation in the World
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2
Slide3Trade Agreements
There have been approximately 20 free trade agreements since the late 1980s. All have promised open markets and creation of good paying jobs.
75 Countries with trade relations.
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Slide4Sam Walton once said
“We cannot remain a solvent nation as long as we pursue this current accelerating direction.”He was referring to the trade deficit.
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Slide5U.S. Trade Deficit 1980- 2010
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Slide63/14/16
6
JOBS…JOBS…JOBS
In 1968 there were 18 American owned TV manufactures. By 1989 that number dropped to just one. There were none until several years ago. One TV company now assembles certain sizes in USA.
The Microwave oven was invented in the USA. The majority sold here today are made overseas.
Baseball is the national pastime. Those baseballs aren’t made in the USA.
In 1980 Americans bought 31% of their clothes made from overseas.
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JOBS…JOBS…JOBS (Continued
)
Try to buy an American made watch.
What electronic items do you think are made here?
TV, Radio, CD player, Computer,
Camera
and appliances.
93% of our generic drugs are made overseas.
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What have we lost besides Jobs
What have we lost besides the jobs?
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Tax
Tax Revenue
Slide10Tax Revenue
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Slide11Tax Revenue
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Slide125/4/2016
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Payroll
236.9State Payroll Taxes 8.4 FICA Payments paid by plant 18.0
Toledo City Payroll Tax 4.8 Unemployment Tax Paid
State 4.1
Federal .6
Workers Compensation 13.6
State and Local Property Taxes 3.2
Utilities: Ohio Edison 10.6
Natural Gas 4.6
Water and Sewer 0.9
1993
Toledo Jeep
Plant
Financial
Data
Slide13LOCAL IMPACT
This is a good reminder that 30 industries paid nearly one-half of all real estate and property taxes in Allen County. As of November 1974, Herb McElwain, the county auditor, reported the following information:
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1
Ford Motor Company
$2,085,603
16
Buckeye Pipe Line Co.
$105,305
2
Standard Oil Company
1,462,880
17
Lima Mall, Inc.
94,444
3
Vistron
1,055,450
18
Penn Central R.R.
78,150
4
Ohio Power Company
765,649
19
Norfolk & Western R. R.
72,043
5
United Telephone Company
537,096
20
National Standard Corp.
63,584
6
Clark Equipment Company
367,217
21
Federated Department Stores
62,578
7
West Ohio Gas Company
255,941
22
Shell Oil Company
61,765
8
Fruehauf Corporation
251,366
23
Warner & Swasey
61,480
9
Teledyne Ohio Steel
228,478
24
Essex International
53,543
10
Westinghouse Electric Corp.
216,055
25
Triplett Corporation
53,176
11
Sheller – Globe Corporation
208,202
26
Lennox Industries
52,765
12
Proctor & Gamble Mfg.
176,235
27
Artex Corporation
48,030
13
Scot Lad Foods
150,286
28
Randall Bearings, Inc.
47,174
14
Dana Corporation
133,680
29
Baltimore & Ohio R.R.
45,569
15
Ex-Cell-O Corporation
128,562
30
Wolfe Industries
42,536
Slide14How many zeros in one trillion?
000,000,000,000
{ 12 }
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Slide15Does Anyone Know The National Debt?
19,113,900,996,457
How Long Would It Take To Pay Off The Debt If We Reduce IT By $1 Million Per Day
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Slide16The Answer is
52,366 yrs.
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Slide175/4/2016
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THE NATIONAL DEBT
Interest increases $15,164 each second
Interest Increases $478,217,992,436 per year
Debt per citizen $59,460
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Trade
Transfer of Wealth
Slide19List of top 10 banks in 2014.
Industrial 7 Commercial Bank of China
HSBC Holdings - UKCredit Agricole Group – FranceBNP Paribas – France
Mitsubishi Financial group – Japan
J. P. Morgan Chase & Co. - U. S. A.China Construction Bank Corp.Duetsche Bank – GermanyAgricultural Bank of ChinaBarclays PLC - UK
Five years ago China didn’t have one in top ten.
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Slide20List of Top 10 Banks 2015
Industrial Commercial Bank of China
China Construction Bank Corp.
Agricultural Bank of China
Bank of ChinaHSBC U.K. J.P. Morgan U.S.BNP- Paribus FranceMitsubishi UFJ Financial Group Japan
Bank of America U.S.Credit Agricole Group France
Top four now Chinese
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Walter Reuther
{ UAW President 1946 – 1970 } said,
“If you don’t raise the standard of living of your competitors, they will drag yours down.”
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Does anyone know
what he meant ?
Slide23LOSS OF U.S. MANUFACTURING BASE
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AUTOMOBILES
ELECTRONICS
TIRES
WRISTWATCHES
TEXTILES
CAMERAS
SHOES
SPORTING GOODS
TELEVISIONS
TOYS
APPLIANCES
ENTERTAINMENT
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Why
Why ?
Slide25Wages in other Countries
Minimum wageBangladesh is $68 a month.
India $2.18 a day/ $689 yearChina $1.19 hr/ $2,472 yearMexico $.61 hr/ $1,511 year
Nepal $.45 hr/ $1,127 year
U.S. $7.25 hr/15,080 year5/4/2016
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Slide26Safety issues
China fatalities.
Mining 5,000 fatalities in 2006.2011 total 79,552 year/ avg. 218 day2015 total over 66,000 a year
Bangladesh
fatality rate 22.733India fatality rare 9.970Mexico
fatality rate 19.372Vietnam fatality rate 24.057U.S.
fatality rate 4.918
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Slide27Child Labor
Nepal-Estimated 1.6 million – 5 to 17 years oldChina
- 5 to 17 years old Indonesia- 3.2 million – 10 to 17 years old
Vietnam
– 6 to 17 years oldBangladesh - 7 to 14 years old
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Slide285/4/2016
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Almost half the people in the World
lives
on less than $
2.50
a day.
Slide29Clothing
90+% of the clothing we purchase in this country is made over seas.
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%
Shoes
90+%
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Toys
Toys
Over 90%
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Canned Food
Slide33MOVING FROM SURPLUS TO DEFICIT
A Study By The Economic Policy Institute Suggests
That
99% Of The U.S. Deficit Results From Spending Money On Products We No Longer Manufacture Here
Economic Policy Institute
33
Slide34Ohio temporary staff services employed
105,412 in 2012 compared to 73,757 in 2009
In June of 2012 the U. S. Department of Labor reported that the nation has 2.7 million temp workers, the highest on record.These jobs provide little or no benefits.
Department of Labor
34
Slide35Workers Wages
In 1980 (38%) of Private and Salary workers
were covered by a Defined Pension.Today it is 1 in 5.
In 1980 (8%) of Private and Salary workers were covered by Defined Contribution Plan
Today it is 31%
Bureau of Labor Statistics, IRS, S.S. Administration
35
Slide362015 American Workers
1 of 4 workers do not get paid holidays.
1 of 3 workers don’t get paid sick leave.Almost 60% don’t get personal days off for death of spouse or child.Half the workers make less than $520 a week, a figure adjusted for inflation, unchanged since 1998.
Avg. pay for 2012 was lower than 2012 for 59 out of 60 levels of pay.
The avg. income for 90% of Americans has fallen to 1966 levels.Bureau of Labor Statistics, IRS, S.S . Administration
36
Slide37Continued
Just 1,361 households received 8 percent of all real increase income Americans reported in 2012 compared with 2003, while the bottom half fell by 18%.
Average young H.S. grad makes $10.40 an hour declining 5.5% from $11.01 in 2000.Avg. wages young college grad (21-24) are 2.5% lower than 15 years ago $17.94 verse $18.41 in 2000.
Bureau of Labor Statistics, IRS, S.S. Administration
37
Slide38How long does a minimum
wage earner have to work to buy.
in 1963 in 2013
25 minutes
Half gallon of milk 3.4 hours Tank of Gas61.9 weeks
Ford Sports Coupe 6.7 years
New [median] Home
What it Costs
$0.86
Movie tickets
$.069
Tide laundry detergent
$0.20
Bread
$0.69
Coffee 1 lb.
$0.88
Pork Chops 1 lb.
21 minutes
8.4 hours
76.6 weeks
16 years
$7.96
$7.54
$1.41
$6.01
$3.53
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Slide39Money spent to create employment.
Money spent on unemployment.
Each year Corporate Welfare
$90 Billion in federal monies.
State incentives and grants, taxabatements and job subsidies.
Unemployment benefitsWelfare benefits $80 billion
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Slide40Fair Trade vs. Free Trade
Most economists agree as trade agreements are implemented American workers wages will go down while their counter-parts wages will go up. As time goes on they will meet in the middle.
They also agree that for every 1 billion in trade deficit costs the U.S. 25,000 jobs.
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Slide41Hat Trick
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Slide42Baseball Hats
Pay workers$12 an hour & benefits
Sell hat for $15.00
Pay stockholders $3 dividends
Made in USA Made in Bangladesh
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Slide43Ceo average pay $12.3 million
in total compensation
Board of directors average pay$251,000 for average 250 hours
Based on S&p 500
CEO AND BOARD OF DIRECTORS PAY
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Slide44AMERICAN WORKER $19.77 HOUR
RANK AND FILE WORKERS AVERAGED JUST $34,645
CEO’S MAKE 354:1 TIMES THE AMOUNT OF RANK AND FILE WORKERS
IN 1982 IT WAS 42:1
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Slide45Great Depression
By 1929 nearly half the business wealth was owned by just 200 corporations and thus controlled by about 2000 persons.
Today the richest 1% has more than 30% of the nations wealth.
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Slide46TRADE AGREEMENT RESULTS
LOST JOBS LOST TAX REVENUE
NATIONAL DEFICIT
STAGNANT WAGE GROWTH REDUCTION OF WORKER BENEFITSDISTRIBUTION OF WEALTH
JOB GROWTH COSTS
TAX ABATEMENTS
STATE GRANT MONEY
FEDERAL MONEY
UNEMPLOYMENT COSTS
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Slide47The Challenge
Education in the RanksEducation in the SchoolsEducation in the public sector
“Genius has its limitations- Stupidity has none.” Albert Einstein
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Slide48The Challenge
EDUCATION! Global Market
Sam Walton Walter Reuther EDUCATION!
Changing demographic
Third world to industrializedEDUCATION! Our Challenge Business, Industry, Labor and education.EDUCATION! Challenge
Woody and Lou
Edison Lincoln Ford Einstein
“ Genius has it limitations - stupidity has none.”
Albert Einstein
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Slide49Speaking Engagements
Master HI 12 Club Presented twice in two years.Lima Lions ClubAllen County Senior Citizens
Ft Jennings High School Various years in gymnasium with combined classes.
St. Johns High SchoolVantage Vocational Presented to all classes in two-day sessions for seven years. One class filmedKalida
High School Presented to classes and had panel to include State Senator and State Rep.Apollo Vocational Presented to all History and Government classes for six years.
Council of Elders-Ford 1219
Council of Elders –Clark Equipment
Westinghouse
Sunstrand
Retirees Chapter
Lima FOPA
Delphos Jefferson High School
Ottoville
High School
Hardin Northern High School
Lima Senior High School Present to panel of teachers for approval before presented to classes.
Lima Central Catholic High School
Elida
High School Presented to assembly of classes.
Elida
Sertoma
Club On three different occasions.
UNICO Club
ARADUS ( Shawnee Methodist Church)
Daughters of the American Revolution, Lima Chapter
Waynesfield Lions Club
Convoy Lions Club
The Lima Shrine Club
Region 2B Conference
Toledo Jeep Plant Media Room. Video taped.
Allen County Women’s Republican Club
Allen County Women’s Democratic Club
Sertoma
Noon Club
Elida
Westside Lima Optimists Club
WIMA Radio Talk show
Allen Lima Leadership Classes from 1997 thru 2007. Make up of community and business leaders in area.
Buckeye Chapter American Business Women
Institute of Management Accountants Presented in 2009.
2014 Region 2b Region Union Label
Conference
We presented these at several different local’s union meetings in a shorter format.
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Slide50Questions/
Comments
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