Buy when we spend money in our communities
Buy American May 15, 2011 Main Points of the Buy American Requirements The Buy American Requirement is a regulation implemented for contracts being funded by the American Recovery and Reinvestment Act. It applies to the construction, maintenance, alteration, or repair of a public building or public work. All of the manufactured goods, steel, and iron used for the project must be purchased in the United States. Certain waiver situations have been outlined, and if an agency determines that one of the circumstances applies it must be published in the Federal Register.The regulations may not apply to construction materials produced in certain “Recovery Act Designated Countries” depending on the value of the contract. Also, countries with trade agreements and least developed countries may be considered “domestic” when the pubic work exceeds $7.
443M. There are three waiver circumstances that can possibly exclude the enforcement of the regulation. The first circumstance is if there is not a large enough quantity of the necessary goods produced in the US or if the quality is not up to par.The second circumstance is if the cost of the project will be increase by more than 25% if the goods are purchased in the US.
We Will Write a Custom Essay Specifically
For You For Only $13.90/page!
The third circumstance is if the interest of the public will be negatively affected if the preference of purchasing the domestic products is followed. Only one of the circumstances has to be followed in order for the exception to be utilized. Opinion of the Buy American Requirements I agree with the Buy American requirement because I feel that it helps build our manufacturing, industrial, and service base.
In my opinion, this will help stimulate the American economy and increase jobs. It is a positive thing when we spend money in our communities and it circulates throughout the community. The reason for the regulation appears to put the control of American’s economic state in the hands of the American people in order to help boost the economy and send domestic spending in a more positive direction.
The money we spend within our country will circulate to help build roads, pay for teachers, and the maintenance of city/state services.It seems that America has been focused on saving other countries, but at a time when or economy is failing I think Buy American allows America to focus on getting itself back to where it needs to be. The American economy is the engine that drives the world and I believe that Buy American is the fuel.
When products are being purchased solely from within the American borders it will increase the need for manpower to create them. This in turn, means more jobs for the American people and an increase in economic flow to help stimulate and keep America strong. The steel and iron industries were suffering and many individuals lost their jobs.It seemed that clients and vendors had vanished. The Buy American regulation will help get these employees back to work and increase the salaries of those that have probably taken a cut. The main reasons I feel buying American is important is because it helps foster American independence, keeps Americans earning a living wage, decreases debt from borrowing from other countries, and promotes the growth of the American economy.
Does Buy American contradict the government’s claim to be a “free market”? Even though I agree with the Buy American policy, I do feel it is contradictory.The reason I believe it to be contradictory is because if America is promoting competition and free market there should not be a policy in place that prohibits the purchase of certain goods outside of the country. In a true free market production is not state controlled and there are no regulations. The only time regulations usually are enforced is if it is in regards to private contracts or taxes. In my opinion, the government cannot claim free market if they are not relying on the natural flow of supply and demand. Are the exceptions in the Buy American Requirements fair and advantageous to our economy?I believe the exceptions outlined in the Buy American requirements to be fair and advantageous. If there is not enough of the steel, iron, or manufactured goods in the US to complete the project then the guidelines allows for purchase from an outside country.
This forces American companies to step up and ensure that products are available and accessible to its American people. The products have to be up to standard and at a price that is reasonable. In my opinion, this is healthy because it promotes spending and the increase in quality standards from companies and their employees.References Buy American, Buy Depression. (2009, February 10).
Investor’s Business Daily. Retrieved May 15, 2011, from http://www. realclearmarkets. com/articles/2009/02/buy_american_buy_depression. html Faiola, A. (2009, January 29). Buy American Rider Sparks Trade Debate.
The Washington Post. Retrieved May 15, 2011, from http://www. washingtonpost. com/wpdyn/content/article/2009/ 01/28/AR2009012804002.
html The Buy American and Buy America Acts. (2009). Canada: Department of Foreign Affairs and International Trade.