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What Globalization Is

 

July 16, 2022

The fixers of globalization don't have a clue as to what globalization is. In fact, some of them can't tell the difference between globalization of government and globalization of industry. There are no relationships between them.

Globalization of government is never going to occur. It's the dream of conspiring power mongers; but it is unrealistic. Power mongers need one, homogeneous power structure, so they can pull one string and control all eight billion persons with no complexities to tax their stupidity. The eight billion persons are never going to allow it to happen.

So the only relevant question is globalization of industry. It's why the manufacturers left. And it's the reason why they aren't going to be brought back.

Before globalization, factories in the U.S. sold mostly in the U.S. with a small amount of exporting. Now factories must sell globally to be competitive. That means specializing in smaller components instead of large products and producing a thousand times as many of the small components. And therefore, there must be many times as many factories to produce many times as many small components, particularly since products are getting extremely complex with digital controls.

Now add up the numbers. There needs to be ten to a hundred times as many factories producing each of the small components as before and each selling a hundred to a thousand times as many products on a global scale. That means ten to a hundred times as many workers multiplied times a thousand to produce a complete product.

You can't put six billion workers in Iowa when someone is losing their job in Iowa. In Asia, they don't have parking lots, so they can get billions of works in a smaller amount of space. That's not going to happen in the U.S.

Then there are tertiary effects. That means the mid-level and end product factories need to buy their components from near-by sources which they are familiar with. Sources cannot be strung all over the planet. Not the least reason is because language barriers are impossible to transcend for the details of minutia that are required for product technicalities. Try to buy screws from China when you don't know the language. Try to figure out the specification for transistors when all you see in the manuals is nonsensical lines that don't look like language.

Supply lines evolve near the larger products that they supply. You can't move the trunk of a tree to one country, while the branches are in a different country.

 
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