The Selling of America? The Outsourcing Dilemma - PowerPoint PPT Presentation

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The Selling of America? The Outsourcing Dilemma

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Title: The Selling of America? The Outsourcing Dilemma


1
The Selling of America?The Outsourcing Dilemma
2
Or, Global Society
  • Global Economy
  • Not, a Domestic Economy

3
Adam Smith- land- Labor-
Capital
4
ConversionFree MarketsPrivate Ownership
5
  • The USA merchandise trade deficit reaching an
    all-time record deficit in 2008 of 821 billion.
  • Cumulative trade deficits since 1985 total 8.2
    Trillion
  • These trade deficits are owed to non-Americans -
    - not to ourselves

6
                                    

7
                              
8
                              
9
                                 FOREIGN
RESERVES - USA STAGNATES - - OTHERS GROW
10
USA just 69 billion. Together, China and Japan
own 40 (1.9 trillion) of total World
international reserves (5 trillion). The U.S.
share is just 1. Additionally, the USA has
tremendous international debts exceeding 10
trillion to more than cancel out its mere 69
billion in international reserves, whereas Japan
has zilch international debt. Devaluing the U.S.
dollar's foreign exchange rate will not solve the
problem.
11
Federal Government Debt Report
  • 12 trillion at end of fiscal 2009,
  • or 38,956 per man, woman and child.
  • In FY 2009 federal debt increased 1.7 trillion.

12

The persistence
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                                    MANUFACTURI
NG BASE DECLINE
15
The rapid build-up of federal debt per man, woman
and child is 38,956. This means a family of
four (4) shares 155,824 in federal debt
responsibility
16
              
17
GDP Growth Rates 2008/Trend
  • 1. China 9.6 - 12
  • 2. India 7.4 - 10
  • 3. Vietnam 6.2
  • 4. Russia 5.6
  • 5. Brazil 5.1
  • 6. U.S. 1.1 - 2.5
  • 7. Germany 1.0
  • 8. U.K. .7
  • 9. Canada .4
  • 10. Japan (.7)

18
                                                
                  No higher resolution
available.
19
   Country       GDP (millions of USD)      
  World 60,917,4774
   European Union 18,387,7854
1    United States 14,441,425
2    Japan 4,910,692
3    China 4,327,448h (8.8 trillion Yuan PPP)
4    Germany 3,673,105
5    France 2,866,951
6    United Kingdom 2,680,000
7    Italy 2,313,893
8    Russia 1,676,586
9    Spain 1,601,964
10    Brazil 1,572,839
11    Canada 1,499,551
20
                                    
21
                                   Here's the
personal savings trend.
22
America is living beyond its means - - by
consuming more goods made by others than it
produces to meet the needs of foreigners - -
resulting in exploding debts in favor of
foreigners, in addition to record high domestic
debt ratios of household, business and the
domestic financial sectors. It can be seen
that the pattern since the mid 1970's brings into
focus the basic question above - - America's lack
of competitiveness world-wide - -
23
The Diamond Economy1950 80s
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The Hourglass Economy2000 and on
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31
What is Kaizen?
The Japanese use the term kaizen for continuous
improvement.
Kaizen budgeting is an approach that explicitly
incorporates continuous improvement during the
budget period into the budget numbers
32
Kaizen budgeting is an approach that explicitly
incorporates continuous improvement during the
budget period into the budget numbers
33
Budgeted Hours/Item January March 2004
3.00 April June 2004 2.95 July September
2004 2.90 October December 2004 2.85
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