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Originally Posted by photoLith
I just can't get over how ironic and sad all of this is. It is basically the sad story of American manufacturing and how much this region and ultimately the country has declined.
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Eh, technology, changing business models, and international competition has led to US Steel no longer being a huge employer, but that is all part of the typical life cycle of corporations in mature industries. All that doesn't have to mean anything terrible for the region or country.
The region specifically is better off no longer being so dependent on one particular industry--that is part of the problem here, that we are clinging to a vision of a Pittsburgh that needs US Steel, which it does not. Nor does it need the Penguins, which was part of the problem too.
And the country would be OK if labor's share of corporate income, both directly and indirectly, was not declining. Some people like to blame technology and globalization for that too, and pretend the end result was inevitable. What they conveniently overlook is that related public policies and institutions, rather than being used to offset the predictable effects, manage the necessary transitions, and invest in increasing the future labor share of income, have instead been restructured to make the situation even worse so as to benefit capital's share of income (although this may be short-sighted to the extent it ultimately proves unsustainable, and the Great Recession was a huge warning sign to that effect).
So don't be sad for US Steel's income. Be sad that there is plenty of income being made by many other companies, and yet neither is labor sharing in that income as much as it used to, nor are we doing nearly as much as we could to invest in better conditions for future workers. And in that context it is the sorts of crony capitalism that has led up to this publicly-subsidized underutilization of centrally-located urban land that are the real problem, not US Steel being a relic of its former self.