Robert Reich: Trump’s Nutty ‘America First’ Economics – OpEd

Donald Trump gave a speech Friday at South Carolina’s Boeing facility, where the new 787 “Dreamliner” was unveiled. He said the plane was “built right here” in South Carolina, and that “our goal as a nation must be to rely less on imports and more on products made here in the U.S.A.“

That’s pure fantasy. I’ll let you know why in a moment.

He also called for “a very substantial penalty to be paid when they fire their people and move to another country, make the product, and think that they are going to sell it back.” And said he’ll lower taxes and get rid of regulations that send our jobs to those other countries. “We want products made by our workers in our factories stamped by those four magnificent words, ‘Made in the U.S.A.’”

Trump doesn’t seem to know anything about global competition, and what’s really holding back American workers.

In fact, almost a third of Boeing’s Dreamliner comes from abroad.

And not from low-wage countries. In fact, the Dreamliner’s components come from countries with high taxes and high regulations, good wages, strong unions, excellent schools including technical education, and universally-available health care.

For example:

1.The Italian firm Alenia Aeronautica makes the center fuselage.

2. French firm Messier-Dowty makes the aircraft’s landing-gear system.

3. German firm Diehl Luftfahrt Elektronik supplies the main cabin lighting.

4. Swedish firm Saab Aerostructures manufactures the access doors.

5. Japanese company Jamco makes parts for the lavatories, flight deck interiors and galleys.

6. French firm Thales makes its electrical power conversion system.

7. Thales selected GS Yuasa, a Japanese firm, in 2005 to supply it with the system’s lithium-ion batteries.

Oh, and the first delivery of the Dreamliner is scheduled to take place next year – to Singapore Airlines. Currently there are 149 orders for it from worldwide customers including British Airways and Air France.

In other words, contrary to Trump, the Boeing Dreamliner is made all over the world and will be sold all over the world.

Trump’s “America First” economics is pure demagoguery. We get a first-class workforce by investing in Americans’ education, training, infrastructure, and healthcare – and rewarding them with high union wages.

We don’t boost the competitiveness of American workers through xenophobic grandstanding.

Robert Reich

Robert Reich

Robert B. Reich is the Chancellor’s Professor of Public Policy at the University of California, Berkeley, and a senior fellow at the Blum Center for Developing Economies. He served as secretary of labor in the Clinton administration, and Time magazine named him one of the 10 most effective cabinet secretaries of the 20th century. He has written 14 books, including the best-sellers Aftershock, The Work of Nations, Beyond Outrage and, most recently, Saving Capitalism. He is also a founding editor of The American Prospect magazine, chairman of Common Cause, a member of the American Academy of Arts and Sciences and co-creator of the award-winning documentary INEQUALITY FOR ALL.

2 thoughts on “Robert Reich: Trump’s Nutty ‘America First’ Economics – OpEd

  • February 18, 2017 at 2:46 pm
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    Once again, Mr. Reich cherry-picks his “evidence” to “prove” a specious point. There are very very few examples of 30%-made-elsewhere products made in US. Dreamliners after all are not the backbone of the American economy.
    But my big-picture problem with Reich’s endless snarky Trump-slams is his failure to take responsibility for the disaster in which we now find ourselves. He and “liberal” folks like him have been in power for 50 years, and America has 20 trillion in debt and a hollowed out economic landscape. Nice job. Thanks.
    I don’t doubt Mr. Reich’s humanitarian goals, but he’s part of a grand, misplaced approach to move us forward; one that pretty much failed. Rather than fighting reform (from the protected perch of an endowed professor’s chair), Reich should apologize for the crappy future he crafted.

    Reply
  • February 19, 2017 at 7:00 am
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    Troll Robbie seems to have stuck the appropriate key and provoked Gustavo’s plain talk observations.
    Troll boy, you flog a dead horse. Paying union wages and absurdly regulating every thing from stem to gudget got us into the soured economy you espoused and we suffer from. Cheap labor and vapid environmental control overseas had all but sucked the United States dry. Now you have the guts discredit our freshly minted President with the flavor of a bogus excuse for capitalism. I dare say you haven’t the slightest idea of what precisely capitalism is let alone its power when actually exercised. And, yes, our products sell overseas and they will be ever so more profitable if all their components are made here and not simply shells containing a smattering foreign subsystems.
    With American steel transformed into a major pipeline we see before us the beginning of a Great America.
    Trump won, Troll Robbie, live with it!

    Reply

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