Today is election day in the US and hopefully you know who is running for President and the down ballot positions. Ideally everyone knows about Clinton versus Trump and each have their own management style and solutions to the problems. In relationship to the problems, a few years ago Michael Moore wrote the book Downsize This published by HarperPerennial, NY, 1996. In rereading the book, it was odd to see many of the same issues dominate the political landscape. What the solutions are to the problems seem to be night and day and the problems remain. The economy has moved from many companies in the manufacturing business to manufacturing somewhere else and when a plants are closed down they effect the community. The more diversified the local economy the less effect, but many manufacturers originally located near other manufacturers and the effect is overwhelming to those communities. What should the people do? where should they go? In a democracy, it is impossible to tell people to move to another community or state because someone in the support system is making some money and they have investments (homes) in the area. While the old jobs are never coming back, others possibly could for there are millions of dollars in infrastructure that are invested and need to be maintained. Even if the manufacturing plant came back, most of it would be automated which translates to the bulk of the jobs would not come back. It seems the problems will be around for many years to come. What should the government do?
Linking to dividend paying stocks, in some ways dividend buyers are part of the problem and part of the solution. The company originally moves production and blames the shareholders who want to be paid their dividend. Although in reality, the competition for jobs means some states offer way too much not to take advantage of. It is a complicated problem and solution, but it is what it is. Hopefully if you have a vote, you have voted or will vote today for that is how democracy works and whoever wins both sides will find common ground to offer semi-solutions which will not effect dividend payments.
There are more questions than answers, till the next time – to raising questions.