Home |
Search |
Today's Posts |
#11
![]() |
|||
|
|||
![]() "Joe" wrote in message ... I said we can debate the intentions of the *proposal* all you want, and I will post the exact language for just that. Ok, here is the exact text from the report from page 73-74 as referenced in your CBS link. (link to full report http://www.gpoaccess.gov/eop/index.html ) You tell me were it recommends that fast food jobs should be classified as manufacturing jobs. Box 2-2: What Is Manufacturing? The value of the output of the U.S. manufacturing sector as defined in official U.S. statistics is larger than the economies of all but a handful of other countries. The definition of a manufactured product, however, is not straightforward. When a fast-food restaurant sells a hamburger, for example, is it providing a "service" or is it combining inputs to "manufacture" a product? The official definition of manufacturing comes from the Census Bureau’s North American Industry Classification System, or NAICS. NAICS classifies all business establishments in the United States into categories based on how their output is produced. One such category is "manufacturing." NAICS classifies an establishment as in the manufacturing sector if it is "engaged in the mechanical, physical, or chemical transformation of materials, substances, or components into new products." This definition is somewhat unspecific, as the Census Bureau has recognized: "The boundaries of manufacturing and other sectors… can be somewhat blurry." Some (perhaps surprising) examples of manufacturers listed by the Bureau of Labor Statistics a bakeries, candy stores, custom tailors, milk bottling and pasteurizing, fresh fish packaging (oyster shucking, fish filleting), and tire retreading. Sometimes, seemingly subtle differences can determine whether an industry is classified as manufacturing. For example, mixing water and concentrate to produce soft drinks is classified as manufacturing. However, if that activity is performed at a snack bar, it is considered a service. The distinction between non-manufacturing and manufacturing industries may seem somewhat arbitrary but it can play an important role in developing policy and assessing its effects. Suppose it was decided to offer tax relief to manufacturing firms. Because the manufacturing category is not well defined, firms would have an incentive to characterize themselves as in manufacturing. Administering the tax relief could be difficult, and the tax relief may not extend to the firms for which it was enacted. For policy makers, the blurriness of the definition of manufacturing means that policy aimed at manufacturing may inadvertently distort production and have unintended and harmful results. Whenever possible, policy making should not be based upon this type of arbitrary statistical delineation. |
Thread Tools | Search this Thread |
Display Modes | |
|
|
![]() |
||||
Thread | Forum | |||
Bushites "Manipulate" News from Iraq | General | |||
Gotta fit this boat in garage, 3" to spare in width. Doable as a practical matter? | General |