Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: SUNDAY, March 15, 1992 TAG: 9203130049
SECTION: BUSINESS PAGE: D-1 EDITION: METRO
SOURCE: John Levin
DATELINE: LENGTH: Long
Not only does it cheapen America's standing among the world's economies, but it's also harmful for long-term world relations. History shows creating scapegoats rather than dealing with economic problems is dangerous.
It is not surprising that Americans would want to buy American-made products. If painting Uncle Sam's image on its showroom windows helps Magic City Ford sell cars in Roanoke, that's OK. And most can accept the subtle guilt that comes with the textile industry's advertising campaign that links buying imported clothing with lost jobs close to home.
And perhaps there's no ulterior motive behind last week's announcement by the BuyAmerican Foundation of Coral Gables, Fla., that it has begun a newsletter helping consumers make "responsible choices."
If the nation of origin is an important factor to consumers, then theory says the marketplace will decide who prevails.
But what is so disturbing about the last two months' jingoism is the notion that Japan's economic success is to blame for America's economic problems.
Simply purchasing homegrown products won't pay the national debt, raise productivity in America's workplaces and create a worldwide clamor for Fords over Hondas.
Japan bashing, said Washington and Lee University politics professor John Handelman, "is a reflection of frustration with the economy at home, a look for external targets."
"When the long-term goal is stability and prosperity, bashing is a temporary way to deal with anxiety." Absent the Soviet Union and Saddam Hussein, Handelman said he's not surprised Americans would "throw eggs at Japan."
But it's dangerous, he noted, when economic patriotism deteriorates into a subtle form of racism. And he warned that the Japanese have long, collective memories. References to lazy Americans by Japanese politicians and America's response with consumer boycotts could produce stilted and strained ties for many years.
The bashing is rhetoric to Robert Maricich, president of American of Martinsville Inc. The furniture executive was one of 18 American CEOs who were part of President Bush's trade mission to Asia in January.
"There is no question that we have problems of trade access," Maricich said. "But we're not going to solve them by calling each other names."
"We are all in the same boat, and we are paddling together," said Yoshimichi Hanabusa, president of Mohawk Rubber Co. That Akron, Ohio-based company operates a tire plant in Salem and is owned by Yokohama Rubber Co. Ltd. of Japan.
Shortly after the political exchanges in January, Hanabusa said, he told managers at Mohawk in Salem that the problems were not unproductive American workers but American managers who have failed to invest in modernizing equipment that allowed for gains and quality.
The friction between the U.S. and Japan must be settled not through emotion but calm discussion, Hanabusa said. Japanese expect the U.S. to continue taking political and economic leadership, he said.
Older Japanese may remember World War II but respect America's help in developing democracy there, Hanabusa said. The younger generation, "are punching keys on IMB computers and traveling by Boeing jetliners. The wives are using Procter & Gamble products at home.
"The much younger people are less conscious of the national origin of products." Hanabusa said. "They like eating McDonalds with Cokes."
"When all the bashing is done, they need us and we need them," said Leslie E. Grayson, professor of international business economics at UVa's Darden graduate business school.
Grayson said he finds it ironic that the U.S. can simultaneously be "the world's largest debtor and act like a creditor. We tell everybody what to do."
Rather, he called for structural economic changes and fundamental shifts in attitude to polish America's tarnished image.
"Japan's government and businesses have plenty of officials who speak English, have lived extensively in the U.S. and understand us," he said. "There are damn few Americans among the White House staff or in corporate suites who speak Japanese, have lived extensively in Japan and understand the Japanese."
While Maricich contends American industrial productivity has risen in the past decade to produce world-class products, there still are many businesses "where we have to clan out house, do things better and change.
"But anybody who says we aren't changing has his eye closed," Maricich said.
Recovery from recession may ease the tensions, but it will not cure America's most fundamental economic problems. Nor will it automatically restore leadership status. As Europe's nations this year meld into the world's largest consumer marketplace and Mexico and Malaysia emerge as major industrial players, America's bully image will show itself as a sham.
"Will the Japanese begin producing poor quality cars so we'll all switch back to Chrysler?" Grayson asked. "It's not likely to happen, nor is that in our own best interest.
"If we're unable to raise productivity over what it's been for the past 15 years," Grayson warned, "we'll be taken to the cleaners."
John Levin is executive business editor of the Roanoke Times & World-News.
by CNB