Archive for the ‘Free Trade’ Category

Japan is running out of engineers

Saturday, May 24th, 2008

Japan is running out of engineers.

NYT:  High-Tech Japanese, Running Out of Engineers

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Universities call it “rikei banare,” or “flight from science.” The decline is growing so drastic that industry has begun advertising campaigns intended to make engineering look sexy and cool, and companies are slowly starting to import foreign workers, or sending jobs to where the engineers are, in Vietnam and India.

It was engineering prowess that lifted this nation from postwar defeat to economic superpower. But according to educators, executives and young Japanese themselves, the young here are behaving more like Americans: choosing better-paying fields like finance and medicine, or more purely creative careers, like the arts, rather than following their salaryman fathers into the unglamorous world of manufacturing.

In the meantime, the country has slowly begun to accept more foreign engineers, but nowhere near the number that industry needs.

While ingrained xenophobia is partly to blame, companies say Japan’s language and closed corporate culture also create barriers so high that many foreign engineers simply refuse to come, even when they are recruited.

Nonetheless, labor experts warn Japan may be doing too little, too late. They say the country has already gained a negative reputation as discriminating against foreign employees, with weak job guarantees and glass ceilings. Experts say Indian and other engineers will often opt for more open markets like the United States.

Truvia, the latest sugar alternative

Friday, May 16th, 2008

Cargill, along with Coca-Cola, introduced a new zero-calorie sweetener called Truvia. It’s made from an extract from the leaves of the Stevia plant. Find out about the research behind the rebiana extract.

Pioneer Press: The substance is about 200 times as sweet as sugar, contains no calories and has some advantages to the food industry because it doesn’t degrade when heated or when mixed with other foods. Stevia is commonly used in Japan and parts of South America, but it’s rare in this country outside of health-food circles.

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Cargill, based in Wayzata, MN, is the nation’s second largest private company, employs 158,000 employees worldwide and is involved in all sorts of agricultural operations: including grain, cotton, sugar, petroleum and financial trading; food processing; futures brokering; health and pharmaceutical products; agricultural services such as animal feed and crop protection; and industrial products including biofuels, oils and lubricants, starches, and salt.

The Wikipedia profile includes this note about Cargill’s political end economic views:

Cargill is an active proponent of free trade policies. It lobbied for China’s membership in WTO, as well as for increased trade with Cuba and Brazil. Cargill’s position is based on its strong support of neo-liberal economic principles. First, lesser trade barriers in countries where Cargill does business will lower prices on Cargill’s products, and likely increase their volume of business. Second, the decreases in the cost of food in developing countries theoretically result indirectly in higher income per capita but lower income for local farmers. Cargill benefits from increases in consumer income, because better-paid consumers become inclined to eat a diet higher in wheat, protein, vegetable oil, and processed foods. This improves opportunities for Cargill to sell its products. Cargill’s economists have reasoned that this is true of the lower income countries in particular. As a developing country grows from $1,000 to $6,000 in mean income per capita, Cargill expects the greatest profit growth from its businesses in that country.

Cargill has maintained a 100% rating on the Corporate Equality Index (CEI) released by the Human Rights Campaign since 2003.

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Other random facts:

- It is responsible for 25 percent of all United States grain exports.
- It supplies approximately 22 percent of the United States domestic meat market.
- The company exports more product from Argentina than any other company.
- It is the largest poultry producer in Thailand.
- All of the eggs used in McDonald’s restaurants in the United States pass through Cargill’s plants.

Organic Food Myths Debunked

Monday, May 5th, 2008

Eating Organic might make you fell all warm and fuzzy, but is all the hype true? Don’t fall for these organic myths. Link via the PintPundit. But seriously, Cambridge chemist John Emsley recently concluded, “The greatest catastrophe that the human race could face this century is not global warming but a global conversion to ‘organic farming’–an estimated 2 billion people would perish.”

And, what’s the big deal about “food miles“? A new study from two Carnegie Mellon University researchers says you can counter greenhouse gas emissions and earn some climate change absolution (while continuing to eat out-of-season foods) simply by giving up red meat for one day per week.

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MN News: Cuba, Real ID and Delta-NWA

Friday, April 18th, 2008

Minn. House urges Congress to normalize relations with Cuba (AP)

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MN House members have approved a resolution urging Congress to normalize relations with Cuba. The debate featured pictures and recollections of Cuban trade missions and a greeting from former Minnesota Twins star Tony Oliva, who is from the Caribbean island.

Rep. Al Juhnke, DFL-Willmar, says the lifting of trade and travel restrictions could bring Cuban pineapples and coconuts to Minnesota and open a new market for soybeans, corn and even Spam. Cuba has been under a U.S. embargo since the 1960s.



Why is the state questioning REAL ID?

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Starting in 2009, the federal government will require all states to have a ‘REAL ID’ card. The REAL ID would form a standardized identification card for all 50 states, in an effort to protect against terrorism and fraud.

But Minnesota can choose not to accept the program. However, if the state doesn’t implement the REAL ID program, Minnesotans would not be able to use a state drivers license to board a commercial airliner.

“REAL ID is real in the sense that it’s happening — it’s required by federal law,” explained Gov. Tim Pawlenty.

One of the main problems that the Governor and the legislature are grappling with is the expense of the REAL ID program. It could cost Minnesota $11 billion over five years and U.S. Congress has only approved $40 million to help states pay for it. “We don’t need the federal government telling us that we need to put in place a card that meets their requirements at our people’s expenses,” said state Sen. Mee Moua.

Moua supports a U.S. Senate bill that states Minnesota would refuse to take part unless the federal government pays 95 percent of the cost. The state has until 2009 to decide whether to implement REAL ID.


Delta, Northwest Airlines CEOs try to calm fears that Minnesota will be big loser in merger

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They promise no airport jobs losses and that new, bigger Delta will live up to state commitmentsSteenland, the Northwest chief, said there would be “zero job loss” for Northwest at Minneapolis-St. Paul International Airport as a result of the deal. And for the handful of Delta flights at the Twin Cities airport, the ramp work already is outsourced, said Delta’s Anderson.

Northwest now employs about 11,500 in Minnesota, down more than 8,000 from 2000.

The Delta-Northwest merger still has many obstacles ahead, including an antitrust review by the U.S. Department of Justice, congressional hearings and integration of its pilots unions’ seniority lists.

The biggest issue facing the merging companies? Which brand of soft-drinks to serve – Northwest serves Pepsi, Delta serves Coke. My guess: there’s no way Delta will serve anything but Coke.

Stories via MPR‘s Polinaut blog’s Daily Digest.

Related news: Wired has the scoop on Delta’s new passenger flight safety video and its starlet “Deltalina.”

Deltalina

Plus, Wired comments on a ridiculous, terrible, new, anti-hijacking product: electronic passenger bracelet that will allow the crew to zap would-be hijackers.

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Cuban DVD Player Sales

Tuesday, April 1st, 2008

Follow up on my recent post about Cuba finally lifting their ban of DVD players. This AP article discusses the current Cuban marketplace following Raul’s decision to allow sales of DVD players and many other previously restricted goods. Cheap electric bikes had been banned because the government didn’t think their power grid could handle the strain of charging all the batteries on all those bikes.

The government is also allowing regular citizens to purchase cell phones and stay at nice hotels, which were previously restricted to foreigners and high-up government officials.

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Cubans snapped up DVD players, motorbikes and pressure cookers for the first time Tuesday as Raul Castro’s new government loosened controls on consumer goods and invited private farmers to plant tobacco, coffee and other crops on unused state land.

The change is a sharp contrast to the early days of Cuba’s revolution, when the government forced or encouraged private farmers to turn their land over to the state or form government-controlled collective farms. But without more details, it was difficult to tell the significance of program, which began last year but was announced only this week.

Many of the shoppers filling stores Tuesday lamented the fact that the goods are unaffordable on the government salaries they earn. But that didn’t stop them from lining up to see electronic gadgets previously available only to foreigners and companies.

Cuba’s communist system was founded on promoting social and economic equality, but that doesn’t mean Cubans can’t have DVD players, said Mercedes Orta, who rushed to gawk at the new products.

“Socialism has nothing to do with living comfortably,” she said.

“Very good! DVD players on sale for everybody,” exclaimed Clara, an elderly woman peering at a black JVC console. “Of course nobody has the money to buy them.”

Hopefully Raul will continue implementing this type of free-market reform and realize that legislating social and economic equality only leads to poverty for most.

Which country is the largest importer of rice?

Saturday, March 29th, 2008

I was surprised to find out that The Philippines is the largest importer of rice in the world. However, there is a problem because global supplies of rice are currently shrinking as the governments of some rice exporting countries, such as Egypt, India, Vietnam and Cambodia, have decided it is in the interest of their citizens to ban or restrict the export of the grain to keep the prices lower at home.

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Conversely, many US farm aid programs are in place to keep the prices of crops and related food products, like sugar, high at home to help farmers at the expense of the consumer.

Unfortunately, neither of these types trade incentives is good for the average person. In the US, we overpay for sugar or substitute corn-syrup as an alternative to support corn production over sugar production. Meanwhile Egyptian and Indian rice growers will be hurt by the lower prices of their crops because the demand is domestic-only which in turn causes consumers in rice importing countries, such as the Philippines, to pay much more for rice than they would otherwise.

Fortunately, there are some rice reserves in Vietnam and Thailand.

To a lot of people, the price of rice is a big deal:

Rice prices jumped 30 per cent to an all-time high on Thursday, raising fears of fresh outbreaks of social unrest across Asia where the grain is a staple food for more than 2.5bn people.

These foreign sales restrictions have removed about a third of the rice traded in the international market.

“I have no idea how importing countries will get rice,” said Chookiat Ophaswongse, president of the Thai Rice Exporters Association. He forecast that prices would rise further.

Rice is also a staple in Africa, particularly for small countries such as Cameroon, Burkina Faso and Senegal that have already suffered social unrest because of high food prices.

Thai rice, a global benchmark, was quoted on Thursday at $760 a tonne, up about 30 per cent from the previous daily quote of about $580 a tonne, according to Reuters data. Some traders, however, said the daily jump was not as steep, adding that Thai rice had already traded at about $700 a tonne this week.

Rice prices have doubled since January, when the grain traded at about $380 a tonne, boosted by strong Asian, Middle Eastern and African demand.

Something to think about the next time you have a plate of combination stir-fried rice.

More of this story.

Cuba Ends Ban on DVD Players: A Case Study on Communism

Tuesday, March 18th, 2008

Just in case you think life in a country where the government runs your life is a lot like life in mostly free-market country like the US, think again. Up until now sales of DVD PLAYERS were BANNED in Cuba! And that’s not the only thing you take for granted that is prohibited in Cuba; AIR CONDITIONERS will not be available until NEXT YEAR! Can you imagine life in Cube without the AC?! TOASTERS are on hold until 2010 due to limited power supplies. Communist utopia?… Dream on.

“The country’s priority will be to meet the basic needs of the population, both material and spiritual,” he said as he replaced Fidel Castro, a staunch critic of capitalist consumer society.

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To me, this is outrageous. It also illustrates the dangers of a government with too much power. As you think about which candidates to vote for this year and in the coming years, remember that the USA is the great nation it is today due to the personal and economic freedom we have enjoyed through the years. Sadly, our country has been embracing the same ideals of socialism and communism that have produce these pitiable conditions in Cuba today. Please, for your own good (isn’t that what democracy is all about?), support public officials who embrace the ideas of limited government and free-market capitalism. Unfortunately, most politicians these days don’t.

Think about it this way: Do you like “Politics” or “Politicians”? Probably not, right? Well, most candidates running for office these days support bigger government, more programs, more regulation, etc. etc. Translate that into: more Politics & more Politicians. See where I going? If you say you don’t like Politics and Politicians, why vote for candidates who promise programs and the like that will only result in more Politics and more Politicians. The only way get reduce politics is to reduce the size of government. It’s really that simple. Unfortunately, most people seem happy to vote for candidates who promise them what they want but all they get is a bigger Political mess.

Cubans were delighted with the prospect of being able to buy items such as microwave ovens and air conditioners that were previously only available as stolen goods on the black market.

Many Cubans expect the state to soon allow them to buy cellular telephones. While they will now be able to buy computers, access to the Internet remains controlled by the government.

Read more about anti-capitalist Cuba here.