Category: Blogs

Big Digital, also known as Big Tech, has joined Big Oil, Big Tobacco, and Big Pharma in the pantheon of industries capable of exercising vast control over the lives of average people.

However, at present, Big Digital enjoys greater potential for control than do the other biggies. Big Digital, via the growing Internet of Things, is literally everywhere. One can do without a private automobile, refuse to smoke, or try alternative remedies when unwell. But living without some government entity or business requiring on-line interaction for some needed service is becoming increasingly difficult.

Actually, most consumers welcome the Internet of Things. Many cannot imagine living without a baby monitor over their child’s crib or going anywhere without their GPS navigation device. Many welcome the concept of smart cities, where everything and everybody is connected.  Cell phones are always at the ready to post one’s dining experience or one’s successful business endeavor.

Big Digital and Corporate Socialism

The assumption that Internet usage is universal combined with consumers’ love affair with digital gadgets translates into fertile ground for control. As in the case of imaginary worlds such as predicted in 1984 or of real worlds such as the former Soviet Union, the objective of control is ideological enforcement that benefits ruling entities.

Michael Rectenwald, retired New York University liberal studies professor and author, recently published The Google Archipelago, in which he discusses “corporate socialism.” One’s first intuition might be to reject such expression. Isn’t Google a big capitalist corporation, and doesn’t socialism hate capitalism? Not so, says professor Rectenwald.

An article in The Epoch Times, The Endgame of Big Tech Is Corporate Socialism, explains Michael Rectenwald’s view of corporate socialism, and how closely the objectives of monopolies align with the objectives of socialism.

Rectenwald acknowledges that Big Digital leaders genuinely believe in leftist politics. He points out, however, that many aspects of leftism align with practical corporate interests too, at least for companies with monopolistic ambitions.  The Endgame of Big Tech.

Three good examples of alignment:

* Open borders = free flow of labor
* Identity politics = market niches
* globalization = only one set of rules applied to corporations

Hardly a Free Marketplace of Ideas

If we accept the premise that Big Digital benefits from and thus espouses global socialism, then we need to also accept that Big Digital cannot be the free marketplace of ideas it purports to be. It needs to be a place where control maintains dogma. A free marketplace is where all goods, services and ideas are civilly exchanged without fear of banishment. Is that what today’s on-line or social-media experience offers?

Joseph Stalin made the landed Kulaks and other dissidents disappear. Although not by means as drastic as those of Stalin, one can also easily disappear at the hands of Big Digital by simply using the “wrong” pronoun.

A Just Vote No Blog Postscript

It is the prerogative of private companies to run their business as they wish within the legal framework in which they operate.  If a private company wishes to espouse the religious principles of its owner, fine.  If a company wishes to adopt progressive views, fine too.  The challenge for average consumers is the growing power of government-encouraged monopolies to control thought and action.

In the case of Big Tech, as controlling monopolistic growth becomes harder to camouflage, a new strategy is emerging, one that embraces control as beneficial to consumers.  This will be the subject of another Just Vote No Blog post.  Stay tuned.

 

 

In most American cities, the once prosperous middle class has been decimated. In major cities like San Francisco and New York, where living costs are high and lower-wage service jobs dominate a large portion of the economy, the rich thrive and the working poor live off government programs. The middle class is too poor to afford the living costs and too rich to qualify for government subsidies.

The Fixes

The easy fix to the problem of the disappearing middle class is to subsidize people who are above the poverty line. The very hard fix is to increase the availability of higher-paying trade jobs, reform the current misguided education system so it produces workers that are able to fill those jobs, and re-think collective bargaining as we know it today.

Most major cities employ the easy fix, while the federal government is attempting to implement a version of the hard fix. This version, however, relies heavily on mercantilism, focusing on tariffs and other methods of discouraging U.S. imports. Worker skills and challenges posed by today’s globalization-influenced and automation-prone economy are not being addressed as forcefully as trade.

An American Factory

American Factory is a Netflix film by Higher Ground Productions, a partnership between former President Barack Obama, his wife Michelle Obama and Netflix. The 2019 original documentary describes the early days in 2016 of an automotive glass production facility owned by the Chinese company Fuyao Glass located on the site of a shuttered GM plant in Moraine, Ohio.  Film directors Steven Bognar and Julia Reichert filmed the company’s workers and managers for three years, and released American Factory in August 2019.

Residents of Moraine were jubilant at again having jobs available and a thriving town. But reality soon set in. The company brought in Chinese personnel to train and work along-side the local recruits. Pay stayed lower than at the GM former plant. Tasks often proved dangerous.

Union agitation soon followed, in spite of company warnings from the start that this was to be a non-union shop. A 2017 attempt to unionize failed. Several workers were fired.
Whether the company’s talk of automation was prompted by the unionization attempt or was in the plan all along is difficult to say.

The Changing Workplace

The American middle class, once the backbone of the U.S. economy, boasted strongly-unionized assembly workers. American families drove Ford, GM, Chrysler, and AMC automobiles as they enjoyed rising post-WWII prosperity.

But this period was an anomaly, even if wishful thinking sought to enshrine it as an indication of intrinsic American superiority: by the ’70s and ’80s, what was true all along finally became practicable. Markets opened, information began flowing, capital aggregated, and most of all people in other parts of the world proved that they were willing and able to do the work that Americans firmly believed only we could do.  The Obama Film American Factory Backfires, aier.org, August 26, 2019.

By the 1980s The European Common Market succeeded in cementing the fact that globalization was the new way of doing things. So, American leaders and workers alike convinced themselves that the gods of Competitive Advantage had allocated to us in perpetuity the technological niche. We could be OK with Toyota taking over our automobile market because we could make Cray Supercomputers.

However, we neglected a crucial challenge: Things seldom remain static.

A New Reality for Chinese Companies

China, for example, went from being a supplier of our kids’ plastic toys, to a supplier of technology equipment parts, to the manufacturer of the Sunway TaihuLight – the machine that beat the U.S. Cray Supercomputer in 2016. In 2018, China had 206 out of the top 500 fastest supercomputers in the world, while the U.S. had 124.

China’s leaders went from wearing stodgy Mao jackets to wearing dapper business suits. Their negotiating style changed to match their business attires.  China developed a moneyed class engaged in business and trade. Efforts to deal with rural poverty are on their way.

Needless to say, with the rise of a moneyed class, comes a rise in general living standards, and with that comes a rise in the cost and complexity of doing business.

China’s evolving life style brings us back to Fuyao Glass. According to some observers, Chinese companies are locating manufacturing facilities externally because of China’s rising labor costs, taxes, and regulations!  Among those companies is Fuyao Glass.

The American Worker

American Factory presents a picture of what the American marketplace looks like today:  a significant number of American workers employed by U.S.-based foreign companies and facing the turmoil that comes from cultural clashes. The film’s message, however, is open to interpretation.

Workers at Fuyao have filed lawsuits against the company for a variety of reasons,  including allegedly illegally punishing workers for trying to unionize. Meanwhile, Fuyao has not been shy in expressing dissatisfaction with the habits of American workers.  The threat of automation lurks in the background, as the company’s chairman, Cao Dewang, seeks what he euphemistically calls a future in technology.

The wearying and expensive battle of wills is not productive or conducive to worker satisfaction. However, is it avoidable? Would the scenario be any different if this glass company were owned and managed by Americans? Today marks the third day of a nation-wide workers’ strike against General Motors.  So, maybe the American worker faces a deeper challenge than Chinese employers.

An Unintended Wake Up Call

The status quo no longer works in today’s rapidly changing globalized automation-prone world. Would it be better to move on to another model?

One idea might be to return to training skilled production workers, which stopped when the college-loan industry figured it would be profitable to promote the paper-shuffling industry, thereby helping to kill American manufacturing in the U.S. The production of goods by American companies located in foreign countries does no good to the American worker.

Another idea, which goes in tandem with the first, is to promote college as a place you go because you want to be there, can handle a high-level level of purely mental work, and cannot be distracted by constant political agitation. Highly trained technicians can help the U.S. keep up with a modern world not at all lacking in first-class universities offering outstanding technical education.

American Factory succeeds as a wake-up call. However, that wake-up call might not be the one intended by the film’s producers. American Factory perhaps serves as a reminder how American workers have been deceived by their legislators, used by their modern-day unions, and left unprepared to compete in today’s market place.