Britain “haemorrhaging” manufacturing jobs
I have two very raw ideas about this slowly taking form in my brain.<p>1. Factories produce wealth.
If you look at the nations doing good and the nations doing bad[1], factories, I think, make a difference. USA completely moved their means of production to Asia, thinking they could produce cheap and make huge profits. Works for Apple. Doesn&#x27;t work for the consumer. These jobs are just missing. Nobody can buy. So people borrow. Until the lenders crash, because they can&#x27;t pay back. But the banks have to lend, that&#x27;s their business! And when companies don&#x27;t borrow because they don&#x27;t build factories, then the consumer has to borrow. Needs to, because he doesn&#x27;t get payed well.<p>2. With factories gone, our system doesn&#x27;t work anymore.
Forget Asia. Robots. And someday not even big robots in factories, but a desktop replicator. There is so many jobs that will just cease to exist. Sure, there will be new ones, but some researches claim that already today robots take more jobs than create. Especially combined with the low investments. Corporate profits are at an all time high, savings are at an all time high, money is cheap (negative interest rate!) but still investments are low. Companies aren&#x27;t borrowing. Nations are still playing the ordo-liberal game and cut spending. Consumers are the only ones borrowing.<p>It&#x27;s insane.<p>It&#x27;s like capitalism forgot how capitalism work.
Companies should borrow, invest, earn, pay their workers, and the workers consume.
Now companies save, pull profits, cut wages and replace workers by cheaper means of production and the jobless borrow to consume.<p>Every couple of years this crashes because people can&#x27;t pay their loans. Government takes over the debt to reset the cycle, but because their increased debt they have to cut their spending.<p>[1] I audaciously define good&#x2F;bad in way that it serves my argument.