Sometimes, a state-cajoled, anti-market confidence game unravels quickly, revealing the fraud that it is. Trump’s Carrier deal is one of those occasions.
Three days ago, the news was that Trump’s Carrier deal was worth hundreds fewer jobs than he’d proudly boasted. (See, Trump’s Carrier Deal: Fewer Saved Jobs With Each Passing Day: ““We found out today that more jobs are leaving than what we originally thought,” Bray said. “It seemed like since Thursday, it was 1,100 then it was maybe 900 and then now we’re at 700. So I’m hoping it doesn’t go any lower than that.”)
Now, only half a week later, one learns that of this smaller number of saved jobs, some will be lost through automation:
But that has a big down side for some of the workers in Indianapolis.
Most of that money will be invested in automation said Greg Hayes, CEO of United Technologies, Carrier’s corporate parent. And that automation will replace some of the jobs that were just saved.
“We’re going to…automate to drive the cost down so that we can continue to be competitive,” he said on an interview on CNBC earlier this week. “Is it as cheap as moving to Mexico with lower cost labor? No. But we will make that plant competitive just because we’ll make the capital investments there. But what that ultimately means is there will be fewer jobs.”
For broad economic policy, there’s the prosperity that comes from free markets in capital, labor, and goods, and then there’s…everything else (including targeted breaks underlying exaggerated, misrepresented results).