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In This Great Republic

 

In this great republic of the United States of America, conditions throughout the 20th century have been favorable due to large demand, high wages and good profits, by reason of protective tariffs against imports. The tendency has been for the monies of the world to come here for investment, because of better profits. Foreign labor and skill also came here for the sake of better pay than could be obtained at home. These were but the operations of the same Law of Supply and Demand. For decades, America has been the most remarkable and prosperous country of the world due to the billions of dollars for investment in capital, the growth in new housing starts and the great demand for new products to improve the conditions of life. But the height of this prosperity is passing, and we are now on the downward slope. Nothing can hinder it except it be war or other calamities in the other civilized nations, which would throw the business of the world for a time to the nations at peace. Nothing could be more shortsighted than the protest against further expenditure for military spending in the United States since such expenditures help to keep labor employed. Opposed as Americans are to war, Americans are no less opposed to having people starve for want of employment; and would risk the increased danger of war. Let the debts of the world turn into bonds. Bonds will be just as good as gold and silver in the great time of trouble approaching (that is worthless!). `Ezek. 7:19`; `Zeph. 1:18`

Many can see that global competition is the danger to the U.S.: consequently laws have been passed that, not only stop the immigration of millions, but provided for the expulsion from this country of all who do not become citizens. Many see that under the law of supply and demand labor will soon be on a common level the world over, and they desire to prevent as much as possible, and as long as possible, the degradation of labor in the United States, to levels in China or India. Others are seeking to legislate a remedy-- one such remedy is that manufacturers shall pay large wages and sell their products at a small margin above cost. They forget that Capital will go elsewhere to build, employ and manufacture--where conditions are favorable, where wages are lower or prices more profitable. But the outlook for the immediate future under present conditions appears yet darker, when we take a still wider view of the subject. The Law of Supply and Demand governs Capital as well as Labor. Capital is as alert as Labor to seek profitable employment. But Capital and Labor follow opposite routes and are governed by opposite conditions. Skilled Labor seeks the localities where wages are highest; Capital seeks the regions where wages are lowest, that thus it may secure the larger profits. Machinery and technology has served Capital graciously, and still serves faithfully; but as Capital increases and machinery multiplies "overproduction" follows; that is, more is produced than can be sold at a profit; and competition, lower prices and smaller profits follow. This naturally leads to committees for maintaining prices and profits, called Trusts; but it is doubtful if these can long be maintained except in connection with patented articles, or commodities whose supply is very limited, or fostered by legislation which sooner or later will be corrected.

But just at this juncture a new field for enterprise and Capital, but not for Labor, opens up. China and India are awakening to Western civilization from a sleep of centuries --to an appreciation of capitalism. We should remember that China's population is almost five times that of the United States. Let us remember, too, that many of these people are not uneducated, but people who generally can read and write their own language; and that their civilization, although different, is far older than that of Europe--that they were civilized, manufacturers of china wares and silk goods when a majority of Great Britain's population was still uneducated. We should not be surprised, therefore, to learn that Capital is seeking engagement in China to utilize the skill, energy, low cost labor, patience and submissiveness of those millions accustomed to toil and frugality.

Capital sees large rewards in a land where labor can be had from eleven to fifty-seven cents per hour for each employee-- accepted without a complaint, and with thanks. Considerable capital has already gone to China, and more awaits concession in India. Who cannot see that it will require but the short space of a very few years to bring the whole business world into competition with these millions of already skillful and apt-to-learn peoples? If present wages in Europe are found insufficient; and if because of previous over inflated wages in the United States and the (as compared with Asia) extravagant ideas and habits cultivated here, we consider present wages "starvation wages" (although they are many times what is paid in Asia), what would be the deplorable condition of labor throughout the civilized world after thirty more years; and after all the labor of the world has been brought into close competition with the cheap labor of the far East? It would mean not only fifty-seven cents an hour as pay, but in addition six people for every job at even that pittance. The press years ago noted the removal of labor intensive manufacturing jobs from the US to China and India, and since then other manufacturers have gone there, in order to secure a field of cheaper labor and of consequently larger profits.


According to USA Today, "The decline in manufacturing jobs has swiftly accelerated since the beginning of 2000. Since then, more than 1.9 million factory jobs have been cut — about 10% of the sector's workforce. During the same period, the number of jobs outside manufacturing has risen close to 2%. Many of the factory jobs are being cut as companies respond to a sharp rise in global competition. Unable to raise prices — and often forced to cut them — companies must find any way they can to reduce costs and hang onto profits.

Jobs are increasingly being moved abroad as companies take advantage of lower labor costs and position themselves to sell products to a growing — and promising — market abroad. Economy.com, an economic consulting firm in West Chester, Pa., estimates 1.3 million manufacturing jobs have been moved abroad since the beginning of 1992 — the bulk coming in the last three years. Most of those jobs have gone to Mexico and East Asia. "1

"As the U.S. economy slides inexorably toward recession, China continues to boom. A major reason for this stunning divergence in fortunes is the ongoing transfer of millions of American manufacturing jobs to China."2

"..., Chinese workers remain among the lowest paid in the world. The average total labor compensation for a Chinese manufacturing worker is 57 cents per hour, with many making far less than that, benefits included."3

"An average Chinese wage of $0.57 per hour -- or $104 per month -- is about 3 percent of the average U.S. manufacturing worker's wage, according to data collected by Banister. "Equally as striking, regional competitors in the newly industrialized economies of Asia had, on average, manufacturing labor costs more than 10 times those for China's manufacturing workers, and Mexico and Brazil had manufacturing labor costs about four times those for China's manufacturing employees."3

The average hourly wage for a worker in a rural setting was $0.41 per hour, and migrant workers are making even less than that."3

Many years ago, a German Emperor evidently saw this "commercial war" approaching; he symbolically represented it in the celebrated picture drawn by an artist under his guidance and presented to the Czar of Russia. The picture represents the nations of Europe by female figures clad in armor standing in the light shining from a cross in the sky above them, and at the direction of an angelic figure representing Michael looking to a black cloud arising from China and floating toward them, from which hideous forms and faces are developed by the flashing lightning. Under the picture are the words: "Nations of Europe! Join in the defense of your Faith and your Homes."

The significance of this bringing together of the ends of the earth is that British, American, German and French have as competitors people who were excellent customers; competitors whose superior facilities have not only driven them out of foreign markets, but have invaded their own home markets; competitors who thus take labor out of the hands of their workmen, and deprive them of luxuries, and even take the bread out of their mouths by reason of wage competition. No wonder, in view of this, that the German Emperor pictured the nations of Europe appalled by a specter rising in the Orient and threatening the destruction of civilization.

But it cannot be checked. It is a part of the inevitable, for it operates under the law of Supply and Demand which says, Buy the best you can obtain at the lowest possible price--labor as well as merchandise. The only thing that can and will cut short and stop the pressure now begun, and which must grow more severe so long as the law of selfishness continues, is the remedy which God has provided--the Kingdom of God with its new law and complete reorganization of society on the basis of love and equity.

We see then from man’s perspective the present outlook is dark and gloomy, even hopeless. But mans extremity will be God’s opportunity. He will establish his kingdom upon the ruins of this present world and its failed political, economic and religious systems. In that day; "the desire of all nations shall come." "In the last days it shall come to pass that the mountain of the house of the Lord shall be established in the top of the mountains."

"At that time they shall call Jerusalem The Throne of the Lord; and all the nations shall be gathered unto it, to the name of the Lord, to Jerusalem: neither shall they walk any more after the stubbornness of their evil heart." `Hag. 2:7`; `Micah 4:1,2`; `Jer. 3:17`

The Kingdom of God is to be established, by which all the families of the earth are to be blessed, and a new and permanent and far better order of things set up, instead of the admittedly faulty one of the present and past. If the dread events of the near future are already casting their shadows before them and causing fear and trepidation in the world, those who look from "the secret place of the Most High," see a silver lining to the clouds of trouble which may well cause them to look up and lift up their heads and rejoice that their deliverance draws nigh, and also relief for all bought with the precious blood, when "the Sun of righteousness shall arise with healing in his beams." `Mal. 4:2`

The prophets foresaw God’s kingdom as a kingdom of health, with harmony between man and his fellow. They foresaw a kingdom of peace, with total economic security. Isaiah spoke of all these promises: They shall not hurt nor destroy in all my holy mountain (11:6-9); they shall beat their swords into plowshares (2:4); mine elect shall long enjoy the work of their hands (65:21, 22).

The prophets foresaw a kingdom with harmony between man and animal; natural enemies of the earth will dwell together in complete peace and harmony; and formerly harmful creatures will no longer be hurtful or dangerous.

The wolf also shall dwell with the lamb, and the leopard shall lie down with the kid; and the calf and the young lion and the fatling together; and a little child shall lead them. And the cow and the bear shall feed; their young ones shall lie down together: and the lion shall eat straw like the ox. And the sucking child shall play on the hole of the asp, and the weaned child shall put his hand on the cockatrice’ den. They shall not hurt nor destroy in all my holy mountain: for the earth shall be full of the knowledge of the LORD, as the waters cover the sea (Isa 11:6-9).

They foresaw a kingdom of peace with harmony amongst men and no more war: And he shall judge among the nations, and shall rebuke many people: and they shall beat their swords into plowshares, and their spears into pruning hooks: nation shall not lift up sword against nation, neither shall they learn war any more (Isa 2:4).

They foresaw a kingdom of total economic security; mankind will reap the rewards of their labor and live in security without fear of loss: they shall build houses, and inhabit them; and they shall plant vineyards, and eat the fruit of them.... mine elect shall long enjoy the work of their hands (Isa 65:21-22).

The prophet Micah (Micah 4:1-5) reveals the same truth concerning God’s promised blessings that will come upon mankind after this day of trouble. It will be a day of health and restitution for all men who will walk in the paths that God directs. Under Messiah's Kingdom wars will cease forever. In this blessed day there will be no more landlordism, instead everyone will own there own homes and rejoice to eat of the fruit of their own planting.

The most momentous event of earth’s history is the establishment of God’s Kingdom among men, in the hands of our Lord Jesus and his selected joint-heirs, the overcomers of the Gospel Church. God’s panacea for the sin and misery and dying of the groaning creation is this Kingdom. All who trust implicitly for the fulfillment of the prayer our Lord himself taught us to offer - ’Thy Kingdom come, Thy will be done on earth as it is done in heaven’—must feel the liveliest interest in the fulfillment of their request-- if they prayed from the heart; Thy Kingdom Come.

For more information on this topic. Click here to read The Battle of Armageddon

 

1. U.S. Manufacturing Jobs Fading Away Fast By Barbara Hagenbaugh, USA TODAY December 12, 2002

2. Fix Economy with Manufacturing Jobs By Peter Navarro Detroit Free Press, January 16, 2008

3. Good Luck Competing Against Chinese Labor Costs By Richard McCormack, Manufacturing & Technology News, May 2, 2006, Volume 13, No. 9