The middle class was disappearing in the 1990s, its even worse today. We were warned 20 years ago what free trade was going to do to the U.S. economy. What did the people do? They elected bill clinton who did a flip-flp on NAFTA. We should have elected Ross Perot. But the people in their infinite stupidity could not bring themselves to vote for any other party besides the big two.
A guy I used to talk to lost his job in the late 1990s. The company he was working for decided it was cheaper to have the parts made in mexico then in the Texas.
After losing his job, the government paid for the guy to go to college and learn a new trade.
The government loses tax revenue through lost property taxes, lost wages, lost taxes on the wages, lost social security taxes and then the government is going to pay for people to be retrained?
Property taxes are a big loss to the local community. When the school district loses part of its tax base, the lost revenue has to be made up somewhere else. When that factory closes and, the building is demolished, the property taxes might go from lets say $100,000 a year, to just a few hundred a year.
You think the tax office is going to tell the school they have to cut $100,000 from their budget? Nope. The lost tax revenue will be divided between everyone that is paying property and school taxes.
Company B looks at their property and school taxes. the owner of the company says “well, taxes went up again, time to move to china or mexico.
Then that lost tax base has to be divided between the people and companies in the community..