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How about this? [a random event harvested from Google]
Danfoss.com Thermostat production moves to Slovakia(27 May 2005)
Tough competition in the refrigeration and freezing appliances market is forcing Danfoss to move its production of refrigerator and freezer thermostats from Nordborg to Danfoss' factory in Slovakia. The relocation, which is expected to be completed by the end of 2005, will affect around 77 employees. ... Today, Danfoss Appliance Controls is the world's leading manufacturer of thermostats for refrigeration and freezing appliances and has production facilities in Mexico, Brazil, China and Italy, in addition to the factory in Denmark. ... "We will of course do whatever possible to help people find new jobs, and that is why a job office will be established in cooperation with the personnel function (IS-H). The office will be set up shortly after the summer holiday," says Mr Søholm.
...
Today, Danfoss Appliance Controls is the world's leading manufacturer of thermostats for refrigeration and freezing appliances and has production facilities in Mexico, Brazil, China and Italy, in addition to the factory in Denmark.
"We will of course do whatever possible to help people find new jobs, and that is why a job office will be established in cooperation with the personnel function (IS-H). The office will be set up shortly after the summer holiday," says Mr Søholm.
Feels a bit like when I saw the graph with stagnating median incomes the first time.
So, absolute advantage it is. And the only way to do that while avoiding a race to the bottom (by competing with lower taxes or wages) is to have world class education, world class investment climate, world class regulation, world class infrastructure, world class work ethic and world class dead cheap energy.
So industrial policy it is. Peak oil is not an energy crisis. It is a liquid fuel crisis.
By the way, you're conceding that with free movement of capital what matters is absolute advantage, not comparative advantage. Bush is a symptom, not the disease.
And I don't think striving, as a state, to be the best you can be should be considered nationalist, at least as long nationalist has a negative connotation. I'd rather use a more positive word, like patriotic. Working for your country without kicking the shit out of other countries.
And this quest of absolute advantage, aren't corporations doing that all the time? Didn't they do it even before capital started to flow freely? Isn't globalization just another structural change to which we'll successfully adapt, just as we did all those other times?
And from a humanist point of view, if you would like to call it that, doesn't the people in Slovakia and China deserve those high value-added jobs just as much as we do? And won't their wages constantly rise as their productivity rise, hence reducing their competitivness (that is, absolute advantage) and making it easier for us to oppose lower wages at home?
Af course, this would all happen in a dynamic way and in the long run, and in the long run we are all dead. Peak oil is not an energy crisis. It is a liquid fuel crisis.
Personally I have no problem with more European social and economic integration, but most Swedes would disagree with me. Especially those on the left. Peak oil is not an energy crisis. It is a liquid fuel crisis.
The neoliberals are pretty much the way you say, though the number of anti-EU libertarians (or libertarians at all) in Sweden can probably be counted on your fingers and toes. Peak oil is not an energy crisis. It is a liquid fuel crisis.
Under absolute advantage that's not good enough, you have to kick the shit out of your competitors because only being first in absolute terms works. Bush is a symptom, not the disease.
And you don't have to best at everything. Find your niche where you are the best, and keep it. That's what companies do anyway, so maybe this won't be that much of a change. Peak oil is not an energy crisis. It is a liquid fuel crisis.
"Knowledge-based Value" is at the heart of it. "The future is already here -- it's just not very evenly distributed" William Gibson
I'm still no closer to a model of division of labour with unemployment.
?
(Thankyou for this thread BTW, you managed to express very well what I was too incoherent to be able to explain/persuade anyone of in the modeling thread all those months ago.)
Molecules (people) are absorbed and released by the reservoir according to the pressure in the chamber and the size of the reservoir (amount of economic activity and number of unemployed) along with an assumed NAIRU?
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