Use the National Guard to Free Up the Supply Chain
by John Lawrence
We are 80,000 truck drivers short. We should use the National Guard on an emergency basis to drive trucks to get the contents of those containers out of port and on their way to consumers. Then there will be room for the waiting container ships to offload their contents. Why not? The National Guard has been used in other emergency situations. Why not this one? Marx theorized that the "industrial reserve army" was a necessary part of capitalism, and was composed of out of work people looking for work. This kept the cost of labor down. Only now the reverse situation is in effect. There are more jobs than people looking for them. Therefore, labor is in the driver's seat. Capital needs to pay labor more in order to get them to work. However, at the present time, although wages have come up somewhat, they have not come up enough to attract the needed truck drivers back into the work force. This will all eventually be ironed out as self-driving trucks which are already on the roads will increase substantially.
While the US has been sitting on its duff investing in the world's biggest military, China has been investing in infrastructure - ports and container ships in particular. According to Wikipedia:
"In 1961 China established a state-run maritime shipping company and subsequently signed shipping agreements with many countries, laying the foundation for developing the country's ocean transport. That organization developed into the present-day China Ocean Shipping (Group) Company (COSCO). The Chinese government also invested heavily in water transport infrastructure, constructing new ports and rebuilding and enlarging older facilities. The number of container units handled by Chinese ports in 2011 reached more than 150 million. The country also manufactures 90% of the world's containers. The throughput of cargo and containers at China's ports has been the largest in the world for the past five years, with an annual growth rate of 35%."
China also manufactures more than 80 percent of the world’s ship-to-shore cranes, and own seven of the ten busiest ports in the world (including Hong Kong). The message is clear. While the US invested in battleships, China invested in container ships. The goods in those container ships are mainly manufactured in China. The US is addicted to them. Foreign demand for Chinese-made products has remained strong — both by companies’ accounts and official data. The customs agency said in the first half of this year, exports to the European Union rose 35.9% from a year ago to $233 billion, while those to the U.S. climbed 42.6% to $252.86 billion. The handwriting (and handwringing) is on the wall. The US can't continue to base its economy on a military-industrial complex while not producing the goods the American consumer economy wants to buy. By default China has sold many of the consumer goods into the ravenous American consumer economy which is 70% of the American economy while the US has invested in nothing but war. Now as the US has withdrawn from forever wars, the military is trying to gin up a Cold War with China. It won't work. Americans depend on China for consumer goods and get very mad when they're not readily available forcing prices up as we've seen from the container ship debacle.
The US has ceded leadership in many areas including ports, shipping and infrastructure while it has conducted its losing wars. Spending $300 million a day in Afghanistan only enriched defense contractors and corrupt politicians. With all that money being spent, today most Afghanis are simply begging for food. If that money had been spent on the Afghani people instead, today Afghani citizens would be enjoying a robust economy and a decent way of life. All that money was poured down a rat hole. Wasted money and time has only let China become the leader in the manufacture and transport of consumer goods. Climate change demands that the US and China cooperate - not compete - with each other. We need adults in the US government, and the only adults in the room are Democrats. Republicans have gone down the rabbit hole of Trumpism.
