It’s laudable that Trump wants to bring factories back to USA. But how about virtual, monetary factories? Moving financial institutions such as banks, insurers, brokerage houses, exchanges, and other institutions brings the most bang for the buck when it comes to revitalizing America’s economy.
The business climate in USA is about to change greatly, pro-business. But let’s not forget that capital is portable, we can bring capital back to USA too- not just factories. Capital has been fleeing USA faster and faster. Let’s stop the leaks and then bring it home. We printed it – it’s our money! – @FXBanker
It’s laudable that Trump wants to bring factories back to USA. But how about virtual, monetary factories? Moving financial institutions such as banks, insurers, brokerage houses, exchanges, and other institutions brings the most bang for the buck when it comes to revitalizing America’s economy.
No doubt, re-building America’s factories, previously the manufacturing base of the world, should be a priority for a number of reasons. Not only does it provide jobs and stimulate the local economy – it’s a security issue. Since when is it ‘politically correct’ to ‘outsource’ military technology development to foreign countries? 60% of the actual activities of the CIA are outsourced, many of them by companies that do not operate in America! For example, the system used by Prisoners to call friends and relatives involves special features such as call tracking, call recording, and other functions for obvious criminal tracking purposes. The company who provides this software to prisons, is based in Israel. Nothing against Israel – but it seems to be a conflict of interest? At least for functions such as finance, the military, security, software encryption, and other critical infrastructure – it shouldn’t be outsourced. Brining an H1B genius to Charlotte, NC from India is one thing, outsourcing development to a firm in Mumbai, is another. The difference is like, the enemy manufacturing the weapons; there’s no telling when guns will ‘misfire’ due to an ‘error.’ While this didn’t happen on a large scale in a glaringly obvious smoking gun fashion as we saw during 9/11 – subtle security breaches are so common it’s become a niche black industry, stealing and selling data on the black market. Well they aren’t stealing it, they have it – it’s just a grey area, how data is ‘lost’ and then ‘found’ by partner companies.
To a large extent, the fact that ‘technology’ has been offshored & outsourced was due to bad planning and cost saving. The majority of Intellectual Property (IP) remains in USA with companies that are heavy outsourcers like Amazon, Google, Apple, and others. They went into China and India at a time when it was the ‘hip’ thing to do, and Steve Jobs knew a lot about India, practically being a Yogi himself (or anyway, a wannabe Yogi). The logistic thought of moving all those machines, which would all need to be retooled, to USA is practically impossible. But if they were once built in China – why can’t they be built in Oklahoma? You know, there’s cheap labor in USA too. I heard recently about someone who writes for a blog that is paid $10 for 200 words, a US Citizen. Oh yes, factory work, the unions, the unions.. But what about California wineries and other fairly large businesses using illegals anyway? The lines of states and countries have become so blurred, especially when ‘American’ companies may have non-US investors, an HQ office in Chicago, factory in Costa Rica, and a European sales force. Of course, all their IP is owned by a Luxembourg based holding company which they pay ‘licensing fees’ to tax free, even though they’ve never been to Luxembourg or even know what it is (a town, right?). Actually, Luxembourg actually participates in the Olympics.
There’s one consideration too that Trump needs to be aware of – if he’s going to court Silicon Valley and get them to ‘bring it home’ he’s going to have to offer them some serious benefits. USA’s biggest taxpayers, “Big Oil” (Chevron, Exxon) pay the top maximum tax every year, billions upon billions of dollars. They don’t use tax loop holes, but they get a huge benefit of working with the government, as their customer. They get the US military protecting their international assets, they get the CIA opening up new markets for them (and squashing the competition, literally). They get direct access to politicians on a number of levels and issues without the need of lobbyists (although, they employ them too). They don’t protest the government like the liberal left coast, they practically own it. It’s another approach toward crony capitalism.
Capital is so portable now, Trump will have to sell the billionaire class which fought against him during the campaign through their Illuminati puppet HRC. There’s literally nothing stopping JP Morgan from moving to Canada in 2 weeks. They don’t even have to get plane tickets, they can purchase 18 wheelers and other transport vehicles and build a small city outside of Toronto. Not a likely scenario just to outline how easy it is for money to flow in and out of an economy in today’s world, without capital controls.
Best example is Forex – billions flowed quickly outside of USA to trade this new and exciting market. A change in the Forex rules could quickly see those billions and more flow back, within a short time period of Dodd-Frank FX rules being deleted, as
explained in this article on Global Intel Hub.
Join the Delete FX Rules in Dodd-Frank Petition today by clicking here.
