Is the U.S. government doing enough to make the american worker competitive - Essay Example

Topic: Is the U.S. government doing enough to make the American worker competitive? Must is impose tariffs to products which can’t be competitively produced within America? While the national economy of United States of America advanced in this millennium, there is however an unceasing internal discourse relating to some major factors influencing the dynamic of its economy. Aside from seriously considering raising its national revenue and budget cuts, US is also reeling with issues on increasing job opportunities for its 14 million out-of-job populace (Gandel, 2011) and of improving its gross national income amid inflation crisis, which reduced most of its peoples purchasing value. The question is however raised if America is doing enough to make its workers competitive? This literature will explore the capability of the human capital of the United States and to ascertain if governments have provided measures to make its labor capital competitive with the global market. It will also delve if it’s necessary to impose more tariffs to goods that cannot be competitively made in America. US Economy President Barack Obama assumed his political seat vowing economic reform and redistribution of wealth. Officials and constituents rigorously discussed the imperative of budget cuts, refocused on social services and in raising capital for investment to generate employment opportunities and for economic bilateral relations with emerging markets. This strategy was essential as home needed to be cared by administrators too after suffering debilitating economic setbacks due to offshore conflict situations and anti-terror drive (Nixon, 2011). True enough, taxation was levied for those within the affluent class of American society, e.g. luxury tax for jet and boat owners and financial analysts restudied how income taxes could add more for national revenue. Obama thereafter made a pronouncement to unleash American business ingenuity and improve its productivity to maximize the American economic dynamism (Agence France-Presse, 2011) by extolling 70 trade agreements sealed for 12 US states. Others viewed this as an east-west movement of monetary values in reference to US $ 45 billion-worth of trade deals with China (AFP, 2011) which allow US to export products for Chinese consumption while the latter will also increase its investments to America. The trade deal hopes to provide manufacturing job opportunities to 235,000 American citizens for agriculture development, gasification, railway construction and production of hybrid buses. Obama also opened business deals in South Korea that will help auger 70,000 American jobs and of the removal of 95% tariffs between this nations, albeit opposition of AFL-CIO, a labor federation, arguing that free trade and removal of tariffs is unprotective of US workers. This measure to improve US macro-economic relations was a positive response after an economic recession that has affected major industries of the country which cost the loss of $13 trillion in 2007 and loss of 208,000 jobs in the trucking industry (US Department of Labor, 2010). Both small and big firms were hit with similar net job losses (US Department of Labor, 2010). In another development, last February 2011, the US government closed doors for H-1B work visas, a 3-year employer sponsored visa for highly skilled foreign worker, following Immigration Services announcement that statutory cap of 85,000. While the agency protects the interest of the country from being burdened of increasing populace of immigrants, this was however criticized by some economist as a policy which discouraged entry of foreign investors e.g. Microsoft opted to avail European market because it can allow to hiring of highly skilled employees from foreign countries (Nowrasteh, 2011). Nowrasteh (2011) proposed government to review and reconsider this opportunity since companies like Intel, Sanmina-SCI, Sun Microsystems, eBay, Yahoo and Google with high-skilled foreign workers made America a leader in technology. Liberalizing its door to foreign skilled workers was perceived necessary to keep intellectuals from other countries to work in favor of US economy. While this argument is valuable and valid, but relying from foreign intellects wouldn’t harness America's labor forces and would downgrade the level of its national's competence. The US Labor Capital America has been noted as a capitalist nation whose image is depicted worldwide as leaders and managers of development. They were looked upon as more advance in knowledge and skills compared to south and eastern labor capitals. But as civilization too have progressed, America, like other nations, is facing problems on its labor force such as increasing statistics of jobless human resources, demotivated youths who'd not risk for professional career and increased preference for white collar jobs or of government jobs. Young labor forces have also embraced strong individualism, hence, culture and practices should be considered as how labor forces interact or deal with market (US Department of Labor, 2010). The professionals constitute teachers, lawyers, doctors, pharmacists, business executives, politicians, researchers, economists, development workers, engineers, pilots, agriculturists and managers of companies (US Department of Labor, 2010). Those who were unable to attain higher education could have engaged into micro-business or entrepreneurial endeavors, construction workers, miners, cook, and the like which contributes to overall production of the country (US Department of Labor, 2010). As technology advanced, a number of workers are currently working outside the domain of factories, school, office, hospital or any formal infrastructures where common businesses are held. Internet and web-based data network encouraged mobility of working conditions, specially those who are into information technology (IT), writing, research, information and social network management (US Department of Labor, 2009). Unfortunately, about 14.6 million of Americans are considered unemployed as of 2010 by the department of labor as an aftermath of economic recession. Figure 1. Labor force flows in the most recent recession. (US Department of Labor, 2011) It’s in such condition that the American government would have wanted to address this problem amid discourse on reducing budget deficit and insuring sound fiscal policy. As such, it is imperative for the department to review and record the statistical distribution of workers based on profession, expertise and skills. Human capital is essential as engine for growth and development. State provides all the necessary conditions to educate them and to provide them ample skills and knowledge to prepare them as holistic person before they’re mainstream ed to the society as participant for national growth. Since human resources are national assets for sustainable development, they should be imbued with competence to enable them to achieve national goals. Their competences are measured by their educational attainment and trainings which made them experts in their respective field; years of experience in the exercise of their profession or skills, supporting certifications of more advancement taken. As potential job opportunities in America necessitate special skills in engineering, construction, design, metallurgy and the like, the department must ensure that these skills will match and are present with needed labor forces. Labor forces’ outlooks, motivations, attitudes, and efficacy should also be duly considered. Such should be complemented with fair wages, benefits, environment of trust, and open communication to ensure that their performances are not compromised. America is a nation with deep understanding on diversity and multiculturalism thus, adjustments, considerations, non-discrimination and better relations amongst workers are valued freely. The country also promote autonomy of management that cares, understand and recognize the worker’s idea and the meaning they employed on information shared, encouraging them to innovate and to make choices in all opportunities presented to them (Deci, Ryan, Gagne, Leone, Usunov & Kornazheva, 2001). They are acculturated with the precepts of liberty, accountability and hard labor provided American government and company’s vision, mission and specific goals are communicated to them with clarity. Their performance will be measured by quality control and by some standard measures to determine the level of satisfaction earmarked by the worker and of the company in the course of accomplishing tasks and responsibilities. While it can’t be conclusively said that satisfaction can be generally derived from workers with varied cultural orientation, but supervisory, management and environmental supports should be afforded to them to ensure that they can competently perform their tasks (Deci et.al., 2001). Their needs should be addressed with sense of autonomy, relatedness and competence. Competence and Globalization Competence is required and is in a complex relation of the phenomenon of globalization. As market is fluid and are rapidly changing to meet all demands and to achieve target goals, knowledge, skills and innovative ability to forecast development and trends are needed here. These are not new phenomenon. With such propensity to access international markets, US labor capital must be imbued with accumulated competence (Plechero & Chaminade, 2010) since it forged plan to engage China, Korea and other markets in a bilateral agreement for global technological collaborative developments. This may include sharing or transfer of knowledge and innovations. This may cover research, venture, and contracts or the like. It is perceived that firms, organization or corporation with the most number of qualified human resources may develop an international linkage for global sourcing and collaboration (Plechero & Chaminade, 2010). This means that these workers are not only skilled labor forces but are also knowledgeable on research and networking as well as of high level of technological competence. Those with capacity to strategically nurture organizational competence are most likely to succeed in global market undertaking. America is a nation possessed with all of these capabilities. There is no doubt that they would be able to gain high propensity and leverage from investments and trade. The history of this country has not shown failure in trade relations because it knows how to position itself with competitive advantage both in the international market and in diplomatic relations. But as it is expanding with Asean countries, it is hope that this will pose peaceful relations to bridge gaps and lessen tension amongst neighboring nations. The country however, must be sensitive to the diverging cultures and values of peoples here. Regional differences are influential in all kinds of agreements and relations (Plechero & Chaminade, 2010). Asia, being a multi-cultural and multi-religious country, needs to be dealt sensitively so that trade mechanism and its impacts would be valued mutually. Thus, much as qualified human resources are wanted, manager must be imbued with such competency too in dealing with the peculiarity of these emerging markets. More Tariffs for Imports? While economic protectionism is necessary in a liberalized market as part of the competition and dynamics of trade, American economists and traders must also review if it is necessary for America to impose more tariffs to products that can’t be competitively made in US. Traders must be able to research the micro-economic conditions of the country it sought for global collaborations before it must decide that more tariffs can be exacted from such trade relations. Tariffs are one of the major sources of revenue of America’s power to tax imported goods. Last year, US was able to gather $ 25,298.0 M tariff, the highest so far since 1792 (Becker & Wells, Jr., 1984). Historically, tariffs are imposed to non-essential and essential goods such as whiskey, cigarettes, sugar and sales of lands. While this raised income for the country, this also caused illegal smuggling of goods through the black market. On the other side, tariffs is also a protectionist measure to ensure that imported goods from foreign markets will not threaten the production and sale of similar products that are domestically but competitively produced. Such help hinder the transfer of American dollars to other foreign markets. However, with the advent of globalization and the formulation of General Agreement on Tariffs and Trade (GATT) since 1947, tariff s are either reduced or removed by nations. As a consequence, many industries collapsed e.g. of textiles, toys, shoes, cars, and including some agricultural products. GATT is further bolstered with the approval of NAFTA. In 2000, United States politically declared tariff for steel, which resulted to the collapse of such industry. Under Obama administration, it is necessary for financial analysts, economists and officials to review all tariff related policies and determine what is justifiable and helpful to its economic plans and targets in 2015. Tariff s may no longer be the main or major source of revenue of US and is considered by economists as best protective measure in liberalized economy, but legal implications and its impacts to its diplomatic relations remain essential (Bauer, Pool, &Lewis, 1972). It is also relevant to determine these products that America considered impossible to produce on its own competitively. Conclusion As Obama administration is working to restore its economic condition, its fiscal policy and monetary concerns should be seriously and strategically framed. As a global power that is interested too on food security and world peace, it must craft plans that will first protect and secure its peoples. Otherwise, the nation would be like a Trojan horse that is weakening inside. 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