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Politics : Mainstream Politics and Economics -- Ignore unavailable to you. Want to Upgrade?


To: koan who wrote (8122)2/4/2012 4:07:40 PM
From: sm1th1 Recommendation  Respond to of 85487
 
Science connects the dots.

Try connecting these dots:

There was unusually high global demand -> caused by the wartime destruction
There was no global competition -> because of the wartime destruction
The US had excess industrial capacity -> due to the wartime build up

The result was 15-20 years of unprecedented and unrepeatable prosperity for America. For a brief period demand for labor was high and unions could bid wages above their intrinsic value. By the 60's Europe and Japan had rebuilt enough to begin to compete again. American manufacturers had to automate, offshore or die.