Saturday, November 3, 2012

Why Obama [Should have] lost: Because 50 million jobs haven't come back (and never will)

It is an abiding mystery why the US, after leading the west to the greatest strategic victory in the history of the nation state in the cold war and the triumph of democracy in most of the world, has been for about 15 years, in public policy terms, an almost unrelievedly stupid country. America’s enemies could scarcely have devised a more suicidal programme than the one that was followed: outsourcing nearly 50m jobs while admitting 20m unskilled aliens ...
Conrad Black, The Financial Times, August 29, 2012.
Chinese sweatshop: Where the jobs went. Source
Whether the US has really outsourced as many as 50 million jobs, I cannot confirm. But certainly the West as a whole must have lost at least that many jobs to outsourcing and offshoring since the 1994 Gatt agreement that opened the West to competition from four billion of the Rest willing to work for pennies an hour. In Spain and Greece officially recognized unemployment exceeds 25%, youth unemployment is over 50%, while in the US, black youth unemployment exceeds 90%. Overall, US unemployment, according to the old U6 measure is still well into double digits and the number of those in the US and Europe who have dropped out of the workforce because of the futility of continuing the search for work runs into the many tens of millions.

US U6 Unemployment: 14.6%, October 2012. Source
The idea that just a bit of Keynsian deficit spending is all that's needed to bring the jobs home again is fantastic nonsense that could only be entertained by a Nobel-Prize-winning tenured economics professor with a guaranteed income for life. The only way that money printing and deficit spending could return jobs from the Rest to the West is if it were to drive the US$ and the Euro down against the Renmimbi and the Rupee by 90 %, while wages remained constant and the cost of living soared.

But even that would not solve the problem of mass Western unemployment. Faced by rising wages at its Chinese slave plantations Foxconn, the manufacturer of the iPhone and many other hot electronic items, proposes to replace workers by the million with robots. What we will have then is a world in which most labor is not worth its hire. Even a starvation wage will be too much.

This was foreseen many decades ago by the geniuses who brought about the cyber revolution. Thus, in 1960, Norbert Wiener, a child prodigy from Columbia, Missouri, and the inventor of cybernetics wrote:
Robotics and the paradox of slavery
A slave is expected to have two qualities: intelligence, and subservience. These two qualities are by no means perfectly compatible. The more intelligent the slave is, the more he will insist on his own way of doing things in opposition to the way of doing things imposed on him by his owner. To this extent he will cease to be a slave. Similarly the machine with a higher-order programming will do things that we many not have foreseen in detail. The result is that in the employment of such a machine we are bound to find sooner or later that the purpose of the machine does not conform to the detailed mode of action which we have chosen for it. ...
Assembly line workers. Source
With a machine of this sort ... where we do not fully understand we shall be under pressure to confirm and to a certain extent the machine rather than ourselves will be the lord of such performance. This imposes upon us new obligations and new responsibilities. The machine will still be literal-minded on the highest level, and will do what we have told it to do rather than what we want it do and what we imagine we have told it to do. Here we dig into the moral problems which earlier generations have faced on the level of magic. WW. Jacob's story The Monkey's Paw, Goethe's poem The Magician's Apprentice, and the Arabian Nights legend of the fisherman and the genie call this matter to our attention. The Monkey's Paw gets its owner a small fortune at the cost of the mangling of his son in the machinery of the factory in which he works. The Magician's Apprentice has learned the words by which the broomstick was made to fetch water but has not yet learned the words to stop it. The genie in the bottle, once it has been released by the fisherman, has a will of its own which is bent on his destruction. These tales of imagination cease to be tales of imagination once we have actually made working agencies which go beyond the complete comprehension of those who have constructed them. There is nothing which will automatically make the automatic factory work for human good, unless we have determined this human good in advance and have so constructed the factory as to contribute to it. If our sole orders to the factory are for an increase in production, without regard to the possible aspects of this new and vast productivity and without regard to the problems of unemployment and the redistribution of human labor, there is no self-working principle of laissez-faire which will make those orders redound to our benefit and even prevent them from contributing to our own destruction. The responsibilities of automation are new, profound and difficult
But the capitalists, the Jobs's, the Gates's the Goldman Sachs's and all the other people who fund US Presidential elections and profit from globalization and the robotic revolution have no concern for those mangled in the machinery. If there is no self-working machinery of laissez-faire that insures that maximization of profits for the owners of capital redounds to the benefit of the people as a whole, who among the owners of capital cares? The attitude is clear: if labor is needed, outsource to the Third World or bring to the West workers from the Third World who are young, fertile, ambitious, energetic, and ready if necessary to work in the underground economy at less than minimum wage.

Politically correct Britain. Source
The Western nations are headed for unavoidable extinction. Betrayed by an elite without a sense of national belonging or loyalty, the fertility of the nations of Western Europe and their New World offshoots has collapsed. Oh, sure, the Western nations will continue in name. But they will be populated by a different people, the indigenous inhabitants of Western Europe and the European population of the Americas are declining and increasing despised remnants, betrayed by leaders increasingly alienated from, and contemptuous of, their native population.

Today's leadership consists in the promotion of a  perversion of liberalism, together with criminalization of the expression of traditional morality, loyalty, responsibility and religious belief. Trouble from the plebs? Just give 'em more rights, women's rights, gay rights, animal rights, the right not to work and other rights they want just as long as they remain distracted and continue the process of self destruction. As Konrad Lorenz remarked:
Historians will have to face the fact that natural selection determined the evolution of cultures in the same manner as it did that of species.
Or as the T.S. Eliot put it:
If you give people what they want, you begin by underestimating them and end by corrupting them.
Britain's migrant baby boom Source
And a system of universal corruption is not a civilization but the end of civilization, and when a civilization ends, the people go with it. The US birthrate is well below the replacement rate— -- even lower than during the Great Depression. In Texas, white births in the minority. Meantime, in England Pakistani, Bangladeshi and Nigerian mothers are doing well, each producing twice as many children as native British women.Over 25% of British births are now to foreign born mothers, and many more to foreign born fathers and the sons and daughters of foreign-born parents. Within a generation, the British will be a rapidly shrinking minority in their own homeland.


  1. When people have nothing, they'll submit to almost anything. I fear if we all have to rely on our food stamp card in order to eat, we'll be forced to comply with orders or else. What will it be? Slavery? Taking the "mark"? Denying our Maker? Killing our neighbor, under orders? What?


  2. Mostly agree EXCEPT:

    "The Western nations are headed for unavoidable extinction."

    Which I read as:

    "The Western nations' ELITES are headed for unavoidable extinction."

    All around us, we see rich soil, water and vigorous Western workers. A new Caesar, Alexander... hell, we''ll settle for a Genghis Khan around now... but anyway a new conquistador will find troops to spare.

    And every acre of ground our new Caesar takes he'll expand a new, non-Rothschild money supply, ne cest pas?

    I mean see the glass as half-empty, sure. But wampum never looked so good and right now some Caesar (Khan?) can just pick up the baton and POINT.

    With the drones on our side, can't miss!