Concentrating on the producer will not necessarily produce a bad product, but it will be worse than the one produced by those concentrating on the customer. Case study–GM concentrating on the UAW while Toyota concentrated on car buyers.
In today’s New York Times, a columnist, Thomas L. Friedman, maintains that the recession must be ended by better schooling. Education, Friedman contends, will enable workers, “…to invent smarter ways to do old jobs.”. Two things are wrong with this hypothesis. The first is the truth of the hypothesis. The second is that government schooling will produce these skills.
Entrepreneurs are created by opportunity, not education. To expect government workers to create entrepreneurs is like depending on government enterprises to create automobiles (Trabant, Fiat, Lada), or, more properly, good automobiles which people will purchase. The strangest deal in history was when the USSR bought an assembly line from Fiat (fix it again Tony) and made the Lada, a shining success of government enterprise.
Recessions are the result of easy money policy. It took several centuries for cumulative inflation to reach 100%. Since 1940, inflation has risen 1400%. Thanks are due to the necessary control of money by government agencies. Where would we be without them? Now, someone is suggesting that a government agency (government schooling) will fix the recession problem.
Cheerios and ttfn,
Grant Coulson
