Opinion

The Great Debate

Why Siemens is expanding U.S. manufacturing

In his State of the Union address Tuesday, President Barack Obama talked about the importance of upgrading America’s aging infrastructure. He told the story of how our company, Siemens, recently created hundreds of manufacturing jobs in North Carolina. He quoted our U.S. CEO as saying that if America upgrades its infrastructure, we’ll bring even more jobs.

But there’s another important reason we chose North Carolina, along with more than 100 other manufacturing sites in this country. By manufacturing in the U.S., we get proximity to our largest market; highly skilled workers and crucial software engineers in the Research Triangle, educated at some of the world’s best universities; ready access to ports for export, and cutting-edge innovation that we can link directly to our manufacturing sites. All in a business-friendly atmosphere.

America is poised to lead the next manufacturing renaissance. Sophisticated software is the critical component — and that’s what America produces better than anyone. But smart public policy is also needed. So is a sharp focus on what will make U.S. factories more productive, efficient and sustainable.

When industry insiders talk about America’s improving manufacturing outlook, they usually cite four components of production that have shaped global manufacturing for the past decade. But these elements are now being radically rethought ‑ in a way that plays to U.S. strengths.

First, the idea that the world is “flat” has been supplanted by the idea that speed matters. Innovation speed is now understood to be a competitive advantage. So keeping design and manufacturing half a world apart – manufacturing in China, for example, when your design team is in California – makes less and less sense.

from The Edgy Optimist:

Obama sees the limits of government

President Barack Obama made the middle class the focus of his State of the Union address on Tuesday. He was lauded by some as fighting for jobs and opportunity, and even for launching a “war on inequality” equivalent to President Lyndon B. Johnson’s 1960s War on Poverty. He was assailed by others for showing his true colors as a man of big government and wealth redistribution.

Yet the initiatives Obama proposed are striking not for their sweep but for their limited scope. That reflects both pragmatism and realism: Not only is the age of big government really over, so is the age of government as the transformative force in American society. And that is all for the best.

Wait a minute, you might reasonably object: What about healthcare? What about the proposals for minimum -wage increases, for expanded preschool, for innovation centers, for $50 billion in spending on roads and infrastructure? Surely those are big government and aim, effectively or not, for transformation?

Obama’s aims to reduce nuclear threat

In his State of the Union address on Tuesday, President Barack Obama will reportedly reiterate his interest in reducing the threat of nuclear weapons, though unlikely to announce specifics. The administration is interested in seeking an agreement with Russia, building on the New Strategic Arms Reduction Treaty (START) of 2010 and cutting U.S. strategic nuclear forces by another third in the expectation that Moscow will do the same with its nuclear arsenal.

This would leave each country with roughly 1,000 deployed long-range warheads, plus several thousand more in reserve and in tactical arsenals.

It would be an appropriately modest step toward serious pursuit of Obama’s (and President Ronald Reagan’s) goal of a nuclear-free world. With 1,000 warheads, the U.S. nuclear arsenal would remain more than capable of targeting any reasonable set of military sites abroad. Washington and Moscow would also avoid tempting any medium-size nuclear powers, most notably China, with its 250 or so warheads, to pursue nuclear superpower ranks.

Obama must surprise in State of the Union

President Barack Obama stirred with an unexpectedly powerful inaugural address – a second effort that far surpassed his first. He summoned great themes of American history to argue cogently for his second-term agenda. Now he has a chance to deliver a State of the Union address that improves on those of his first term, too.

The key to success? Presidents still have the power of surprise. Franklin D. Roosevelt once said, “I am like a cat. I make a quick stroke, and then I relax.” As in his inaugural, Obama should surprise us – this time with new policies and sharp specificity. On the budget, democracy reform and immigration, the president stands well positioned.

Forget the Super Bowl, or even the Oscars. For us policy wonks and ex-speechwriters, this is the biggest event – the time to crack open a beer, microwave the Buffalo chicken wings and settle down in front of the TV for a siege of viewing.

Rebuilding our economic backbone

We’re getting beat by Estonia.

Not that there’s anything wrong with the tiny state on the Baltic Sea. But the nation that built the Hoover Dam, pioneered the Interstate Highway System and created the best aviation system in the world, is rapidly sliding toward the bottom of the list when it comes to infrastructure.

Infrastructure is the economic backbone of any modern society. Without a reliable, functioning system, things we take for granted would fall apart: roads and bridges, schools, public and private transportation, the energy grid that powers our lives, the water we drink. But today the United States no longer leads the world in infrastructure competitiveness. Countries like the Netherlands, South Korea and Singapore now rank in the top 10, according to the World Economic Forum, while the United States, once No. 1, has fallen to 14.

If this does not concern you, it should.

Building America’s Future, a national and bipartisan coalition of state and local elected officials that I co-chair with New York Mayor Michael Bloomberg and former California Governor Arnold Schwarzenegger, recently updated Falling Apart and Falling Behind, a comprehensive report on the state of America’s infrastructure.

When Republicans critique Obama, they critique their own policies

To all the vaunted traditions of the absurd partisan charade in Washington, we can now add another: Republicans attacking President Barack Obama for the results of their own policies. Most recently we saw it last Wednesday. No sooner did the Bureau of Economic Analysis (BEA) announce Wednesday morning that our gross domestic product had shrunk by 0.1 percent in the last three months of last year than Republicans began disseminating misleading talking points.

In an instant missive titled “President 0.1%,” the Republican National Committee complained, “Four years and $5.8 trillion later, Obama presides over an anemic economy.” Quoting Reuters, the RNC ominously warned, “The contraction ‘could spur fears of a new recession…” “Anti-growth policies and an anti-business White House produce just that — a lack of growth,” declared Representative Sam Graves, R-Mo., chairman of the House Small Business Committee. “The bottom line is that America’s economy continues to struggle primarily due to President Obama’s penchant for political brinkmanship and the pervasive uncertainty caused by his focus on higher taxes, regulation and Obamacare,” said Representative Kevin Brady, the Texas Republican and incoming chairman of the Joint Economic Committee.

On Friday, we learned that the economy added 157,000 jobs in January, 247,000 jobs in November and 196,000 in December, well above earlier estimates. The GOP was not so eager to discuss that.

Time for a serious deficit plan

 President Barack Obama pledged to cut the deficit in half by the end of his first term. But because he focused on political gimmicks, rather than real reform, we’ve seen trillion-dollar deficits and nearly $6 trillion added to the debt instead. Based on what we heard from the president at a news conference Tuesday, his unserious attitude is likely to continue.

That’s worrying. Unless we can get a handle on Washington’s overspending, and quickly, it will continue to undermine our economy and jeopardize our children’s futures.

Sadly, the White House is not yet serious about doing that. Instead, it has predictably suggested politically driven tax hikes as appropriate offsets for the sequester, including a tax on corporate jets. If that sounds like a poll-tested P.R. gimmick rather than a serious solution, that’s because it is. A permanent tax increase like that would take 10 years just to raise enough money to replace one week’s worth of the sequester.

Seeking consensus on immigration, guns

Two tough issues — immigration reform and gun control. “It won’t be easy,” President Barack Obama said about gun control in December, “but that’s no excuse not to try.”   Tuesday, he said about immigration reform: “The closer we get, the more emotional this debate is going to become.”

Which does he stand a better chance of winning?  Answer: immigration. On immigration, Obama has Democrats strongly behind him. Republicans are divided — and freaked out by the issue. On guns, he’s got Republicans strongly against him. Democrats are divided — and freaked out by the issue.

On both issues, the president has the public solidly behind him. That’s his biggest asset. “There’s already a growing consensus for us to build from,” he said on Dec. 19, five days after the Newtown, Connecticut, massacre. “A majority of Americans support banning the sale of military-style assault weapons.’’ On Jan. 29, when he went to Las Vegas to speak about immigration reform, he said, “A broad consensus is emerging and … a call for action can be heard coming from all across America.”

Dems shouldn’t mess with Texas

 

There has been much ado lately about the Democratic Party’s new project to turn Texas blue. What’s lost on the liberals in D.C., California and Manhattan who will throw money at this futile effort, however, is that the Texas Republican Party is different and far stronger than its counterparts in other states. And it’s not just because the Lone Star State under Republican control has become the envy of the nation in terms of job creation and economic growth.

One reason Democrats think the GOP’s hold over Texas is so precarious is demographics. Latinos make up 38 percent of the state population, a portion that is projected to rise to more than 50 percent by 2030. Since GOP nominee Mitt Romney got a dismal 27 percent of the Latino vote in November, it seems intuitive that a growing Latino population would spell trouble for Republicans. Yet Texas Republicans have done far better with Latinos than Republicans nationally because their approach to immigration has not been the antagonistic sort offered by Republicans in California, Arizona and other states.

In 2001, Governor Rick Perry signed a bill that allows children brought to Texas by immigrant parents to receive in-state tuition if they have lived in Texas for three years, graduated high school and been admitted to a state public university. Romney’s vicious and shortsighted attacks on this law during the GOP primaries are widely credited with hurting him with Latino voters in the general election.

Asserting the Senate’s power

A three-judge panel on the D.C. Circuit Court of Appeals last week unanimously ruled that President Barack Obama violated the Constitution when he made recess appointments to the National Labor Relations Board (NLRB) last year.

The court agreed with the argument outlined in an amicus brief submitted by Senate Majority Leader Mitch McConnell (R-Ky.), myself and 40 of our Republican colleagues. We argued that the Constitution does not empower the president to determine when the Senate is in recess.

The court  ruled that any other interpretation of the Constitution would give “the president free rein to appoint his desired nominees at any time he pleases, whether that time be a weekend, lunch or even when the Senate is in session and he is merely displeased with its inaction.”

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