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The automotive industry in the U.S. is one of the areas that is doing fairly well now that they have re-organized and are making more efficient autos. Even most of the foreign car manufacturers have assembly plants here and provide good NON UNION jobs in communities that had limited opportunities. The repair/service part of it does well also. Anyone who has taken their vehicle in for service lately can tell you that.
My belief is that unions have overstepped causing manufacturing jobs to go elsewhere. You can't pay unskilled workers the kind of wages unions demand and compete in a global market. Think about that while you eat your last Twinkie.
During the last major downturn (1991) I was offered managment of a garment factory on a bet! Since construction had literally stopped, and my pride was involved, I took the job/bet. In 3 months time I had eliminated all but 1 of the 'clerk' positions. They all moved to the production floor. That alone increased production, but waste was also slashed. The sewing machines were still 40 years old, but with a single compaq pressario I had modernized the factory. Orders were getting out faster, less money tied up in surplus stock, the girls (yes they were all women) were making WAY more than they had before.........And at 7 months the factory was so productive it was sold to a company that moved everything to costa rico.
The moral of this story? You tell me! It's been 20 years and I still haven't figured it out!
Nobody seems to pick up on the fact that the repair bills on appliances have made it more practical to buy new. It, if I remember right, it costs you $65.00 for the guy to show up and then the hourly cost, plus parts. To me in most cases would dictate buying new. Not to mention when you can get them to show up, which sounds crazy if their not busy anymore.
If you live in Florida getting anyone to show up, much less on time is no small undertaking. You would think in these times they would be beating a path to your door.
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[BRIEFING.COM] The S&P 500 is off by 0.3% as the index continues its slow climb off opening lows. The Nasdaq also trades with a loss of 0.3% while the Dow is off by 0.2% as the relative strength of Procter & Gamble (PG 81.77, +3.07) contributes to the outperformance of the blue chip average.
Only one other index component, Wal-Mart (WMT 77.18, +0.85), trades with a gain of more than 1.0%.
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