US Manufacturing Revival: Smoke & Mirrors or Something Real?

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Jacob
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Supply Network Guru
Re: Us and Asian Markets
Jacob   10/24/2014 3:07:23 AM
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"Cheap shale gas may not help US manufacturing if our competitors have access to the cheap gas. If gas prices are the same for both, the advantage would be nullified. In fact there could be a negative impact because shipping costs which are energy related, would reduce for the competitors. Most likely, US will sell cheap gas to others."

Harpat, such overheads also has to be accounted.

Hailey Lynne McKeefry
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Re: Us and Asian Markets
Hailey Lynne McKeefry   10/22/2014 7:00:27 PM
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@harpat949, i'm glad you chimed in. If it's a level playing field, certainly it would be less helpful... you may be right about US selling to others. I hadn't thought of it.

harpat949
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Re: Us and Asian Markets
harpat949   10/22/2014 10:32:39 AM
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Cheap shale gas may not help US manufacturing if our competitors have access to the cheap gas. If gas prices are the same for both, the advantage would be nullified. In fact there could be a negative impact because shipping costs which are energy related, would reduce for the competitors. Most likely, US will sell cheap gas to others.

Jacob
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Supply Network Guru
Us and Asian Markets
Jacob   10/15/2014 1:23:55 AM
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"As The Wall Street Journal reported, heaps of cheap shale gas seemed to promise a boom in US manufacturing might. However, while US manufacturing has picked up steam, and the sector is putting the recessionary blues behind it, European and Asian countries still maintain strong export strategies, thus keeping American products in check in the world market. US factories are losing ground to Asian and European competitors"

Jennifer, I think the first point and last points are contradictory. Even though US have cheap shale gas, which can promote industries; but still they are losing ground to Asian and European competitors. Why it happens like? Is it something due to poor regulation or something else?

apek
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Global Lens
apek   10/14/2014 1:38:52 PM
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In view of Global economy, It has been completely messed up with the central banks around the world printing lot of money to stimulate the economy. The revival of manufacturing in US or for that matter any country which had in past offshored its manufacturing jobs will not happen unless FREE trade is replaced by FAIR trade. This would also solve the problems of Trade deficits. Regarding geo-political instability, It has been created by the years of Globalization based on FREE trade. The revival of global economy needs a strong local economy which boosts the consumer purchasing power and hence it boosts the economic demand. However, The psedo-Keynesian policies followed by central banks are essentially SUPPLY side economics which has repeated failed due to bursting of Economic bubbles. We are in another Bubble right now and this burst would be horrendous. We can move to a stable local and global growth by reforming the monetary policies of central banks. I believe they will not change but the ones who are most affected by such policies ( YOU and Me ) need to do something to change to avoid an economic chaos.



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