Friday, 8 April 2005

MG Rover

A Chinese car company has terminated support of the MG Rover plant in the West Midlands, which threatens the livelihoods of six thousands workers.

"The Tories say government red tape has hit UK manufacturing, while the Lib Dems accuse Labour of acting too late".

The Tories should realise that UK manufacturing had feen failing under the Thatcher/Major governments.

I don't really understand the views of people (often leftists) who decry the decline of Britain's manufacturing base. Such a claim isn't even limited to the United Kingdom. Even some Americans lament on the fall of manufacturing in their own country.

Really no sector of industry (be it primary, secondary or tertiary) is inherently special or of more worth. An advanced capitalist economy would generally have a large service sector. This is due to people being relatively wealthy and possessing more money to spend on services.

You can probably guess that I'm not a fan of government subsidies and I don't believe Rover should be saved. The market should determine whether business are fit enough to survive or not.