COLUMBIA - South Carolina has lost more
manufacturing jobs per capita than any state since President Bush
took office, and Democrats running for Bush's job are taking
note.
U.S. Sen. John Edwards, D-N.C., speaking recently at a fish fry
sponsored by his supporters in Orangeburg, quoted U.S. Bureau of
Labor Statistics figures showing that manufacturing employment in
the state has declined by 58,000 since January 2001.
"We want to be exporting American products, not American jobs,"
Edwards said. Speaking of Bush, he said, "He has done an
extraordinary amount of damage."
Last week, U.S. Rep. Dick Gephardt, D-Mo., swept into the state
for an "economic round table" discussion with labor union officials
and laid-off workers at a state job-placement center in
Columbia.
Friday, retired Army Gen. Wesley Clark spoke at an Inman Mills
textile plant in Spartanburg County about manufacturing job losses.
Inman's work force has shrunk from 1,350 employees in 1998 to 500
today.
Even as Clark visited the state, there was more bad news about
jobs. The state Employment Security Commission said Friday the
unemployment rate rose to 7.1 percent in October from 6.4 percent a
month earlier. It was the state's highest rate since March 1994.
The state's employment security director, Roosevelt "Ted" Halley,
said the increase surprised him, and he speculated it may be due, in
part, to people re-entering the job market. Only people actively
looking for work are counted as unemployed; those who get
discouraged and give up are not accounted for in the unemployment
rate.
South Carolina will host one of the nation's earliest
presidential primaries Feb. 3, and most of the nine Democratic
hopefuls are making a major effort in the state.
Jobs, and what can be done to hold on to them, will be a more
important subject in South Carolina than in the Iowa Democratic
caucuses and New Hampshire primary that come before the S.C. vote,
political strategists say.
In Iowa and New Hampshire, as many as half the people who
normally participate in choosing among the Democratic candidates are
college-educated, economically comfortable white liberals. In Iowa,
for example, opposition to the war in Iraq holds center stage.
But the S.C. Democratic constituency is much more lower-income
and racially diverse. African American voters are expected to make
up at least 50 percent of S.C. primary voters.
That gives the jobs issue a great deal of intensity in South
Carolina, said Bill Carrick, an Aiken native who is Gephardt's
national campaign consultant.
"So many of the voters are people who, if they're not suffering
from economic dislocation themselves, they are at least suffering
from enormous economic anxiety," Carrick said.
Economists say, however, that government has only limited
abilities to control either the business cycle fluctuations that
affect employment and unemployment, or the technological and other
long-term changes that have led to the movement of U.S.
manufacturing jobs overseas.
Of the Democratic candidates, Edwards and Gephardt have expended
the most energy appealing to blue-collar voters, emphasizing their
own roots. Edwards grew up in a family of textile workers;
Gephardt's father was a milkman. Both candidates talk about
protecting jobs and standing up for working Americans.
U.S. Rep. Jim Clyburn, one of the most influential Democratic
politicians in South Carolina, said he thinks the jobs issue is
starting to give Gephardt some momentum in the state.
"He has been an opponent of these trade agreements that have cost
us tremendously in jobs," said Clyburn. "I look for him to make it
the centerpiece of his campaign."
In his appearance in Columbia last week, Gephardt faulted the
Bush administration for failing to expand the U.S. economy to create
new jobs while also pointing a finger at his rivals who had
supported trade agreements. He was especially critical of Edwards'
Senate vote in 2000 to establish permanent normal trade relations
with China.
Because the China agreement and others were passed without
requiring other countries to adopt minimum-wage levels for workers,
Gephardt said, "We now see the race to the bottom in full bloom.
That's why we're losing all these good jobs in the U.S."
Each of the nine Democratic candidates has a plan to create jobs.
Meanwhile, Bush, who earlier this month paid a visit to South
Carolina's biggest economic success story, the BMW auto assembly
plant near Spartanburg, says his tax cuts already are doing that
very thing.
But economists say that for all the rhetoric and all the plans,
the American economy is too big, too complex and too tied to the
global economy to be managed by anyone -- even the president of the
United States.
"It's always easy to look at a plant that's closed and come up
with a political solution," said College of Charleston economics
professor Frank Hefner. "But it's a lot harder to see the
ramifications of keeping that plant open through political
management of the economy."
For instance, he said, when a company making computer components
moves to Mexico for cheap labor, that costs jobs. But it also helps
drive down the price of computers in the United States. "That allows
a small business owner in the U.S. to buy an inexpensive computer
and stay in business," Hefner said, "and that keeps a job."
Economists say that the movement of jobs overseas is a historical
process that is very similar to what occurred from the 1870s up to
the post-World War II era, when textile jobs moved out of New
England and came South for cheaper labor.
"We're moving out of a manufacturing economy, just like we moved
out of an agricultural economy," said retired Clemson University
economics professor James Hite, a senior fellow at the school's
Strom Thurmond Institute of Government.
He said that if the United States is successful in making a
transition to something new and prosperous, "It's going to be
high-end services -- information services, financial services,
banking. You've got a prototype there in Charlotte of what we're
looking at."