A report in the New York Times today, said that a Chinese company is building much of the new San Francisco – Oakland Bay Bridge. This is probably old news to many since the project has been several years in process already, but it was the first I heard about it.

It always seemed to me there is something distinctly American about building big things. Highways, railroads, skyscrapers, dams, shopping malls and most of all, bridges. Bridges have names  and purposes. Bridges identify cities and excite travelers (“We crossed the GW at night and we could see all the city lights”). Bridges are our gateways and part of our heritage and pride.

Pittsburgh bridge

Between 1849 and 1964 twelve new bridges in the United States extended the world record lengths for suspension bridges from 1,010 ft to 4,259 ft. Americans built all of them. Starting with the Wheeling, WV bridge finished in 1849 and measuring 1,010 ft. and ending with the Verrazano-Narrows bridge, which was the longest suspension bridge until 1981. It measured 4,259 ft. Some of these iconic twelve bridges include the Brooklyn Bridge over Manhattan’s East River, the Ben Franklin connecting Philadelphia and New Jersey over the Delaware River.  the Golden Gate Bridge in San Francisco and the George Washington Bridge spanning the Hudson.

Imagine that! For 132 years, without interruption, we built the longest  most beautiful bridges in the world. But since then…not so much.  The Bay Bridge is not kid stuff. The costs are over 7 billion dollars, its really two bridges a viaduct and a tunnel. It’s big, it’s complicated and it’s here. Why aren’t Americans building all of it?

Well from what I’ve read of the history of the Bay Bridge project there’s a host of reasons. The estimated costs were always too low and a constant moving target. The design spec got input from everyone and everywhere and became a beauty contest, and the politics, as you might expect were the usual snake pit. The one thing that did not seem to be on anyone’s mind was employing American workers to build it. The two American companies  who were the prime contractor dismissed  the capacity of domestic steel industry to fabricate the bridge. This even though the Chinese company had yet to build a bridge or use the technology that was contemplated by the design.

Cost seemed to be the over riding issue for California.  The NYT states that California decided not to apply for federal funds since they would then have had to purchase from US manufacturers. This is a muddy area since other accounts indicate that they could forego that requirement if the foreign bid were more than 25% cheaper than the domestic costs. The NYT also quoted a Chinese steel polisher working on a section of the bridge as saying he is paid $12 per day.

If we could build new bridges for 150 years, why did we stop? Did we forget how? The Chesapeake Bay Bridge-Tunnel was built in less than four years with no federal, state or local governmant money. It’s almost 20 miles long and includes bridges, tunnels and four man made islands. The first two lanes cost less than $200 million and were completed in 1964. Two additional lanes were open in 1999. They cost less than $250 million. No tax dollars were used.

By now we’re use to the fact that manufacturing costs are lower in most of the world. We’re use to buying t-shirts, electronics, kitchen items, shoes, tires, just about any consumer goods from anywhere in the world. But bridges?

I’m not a protectionist. I’ve always been for free trade and against tariffs. They just don’t make sense. But bridges…OUR BRIDGES. And one of the guys building it makes 12 dollars a DAY!

I might have to re-think some of this.

SRBAC

VISIT VISIBLE COUNTRY FOR AMERICAN MADE PRODUCTS

 

 

 

The June 14th headline on the business page on the USA Today said “Obama presses to create 1M jobs.” Sometime ago the President was taking credit for his administration creating or saving 4 million jobs. I still don’t know how you measure “saved jobs”, but that’s another topic. A lot of politicians of both parties like to take credit for creating jobs. Of course they do no such thing. Except for providing GM, AIG and Chrysler with bail out money the Unites States is not in the business of running corporations. The government doesn’t hire and fire in the private sector.

That’s why the President and the Congress need to get out of the habit of promising to address the unemployment problem by creating jobs. They can’t do it, it’s simply not the business of government to create jobs in the private sector. Why not? Because government doesn’t make things, sell things, fix things, grow things, service things….or in any way engage in commerce.

Likewise American voters also need to understand that no matter what politicians say, they can’t create jobs unless they are public sector jobs, of which we already have enough. State and local governments may encourage busineses to locate within their borders, but they do not create private sector jobs because they are governments and are not engaged in private commerce

When I first read of the Presidents Job and Competitive Council, I thought the purpose was to bring business people together to focus on what business could do to to create jobs. From the White House website:

“The President’s Council on Jobs and Competitiveness (Jobs Council) was created to provide non-partisan advice to the President on continuing to strengthen the Nation’s economy and ensure the competitiveness of the United States and on ways to create jobs, opportunity, and prosperity for the American people.”

The response President Obama got back from his Job Council (Jeffrey Immelt, et al.) was pretty funny. All five recommendations by the council involve either the government spending more money or changing the way government does things. Hey guys…I don’t think that’s what he meant. What they offered is:

1. Training workers for new job skills. How many political speeches has that been part of? (maybe divert money from other government programs…good luck to that).
2. Eliminate bureaucracy that bogs down infrastructure projects. Not sure how that can happen since the environmental groups will just take it to court.
3. Streamline visa process so we get more tourists. Doesn’t it seem like The State Department has long resisted all attempts to drag it out of the 19th century?
4. Make the SBA work faster (huh?)
5. Use federal funding to employ laid off construction workers to do “green” projects on commercial buildings.

There’s nothing wrong with any of this stuff, there’s just nothing new. To paraphrase an old Red Smith baseball analogy, telling the government that it should eliminate bureaucracy, streamline processes and work faster is like telling an 8 year old about sex. No matter what you say, the response is “But why?”

SRBAC

VISIT VISIBLE COUNTRY FOR AMERICAN MADE PRODUCTS

 

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