The China Wave
September 1, 2010
Even before Lansing Mayor Virg Bernero secured the Democratic nomination for governor, he and his party started replaying the “shipped jobs to China” mantra against Republican nominee and business executive Rick Snyder. That rhetoric worked to help to defeat the Republican candidate for governor in 2006, so repeating the tactic was hardly a surprise.
In 2010 more than ever, we need less political rhetoric and more solid plans to get Michigan working again. China bashing is not a plan.
Michigan needs a governor who will stop playing Peking “duck” with the second largest economy in the world. We simply cannot afford to have another governor who claims he or she will “go anywhere and do anything for jobs” and then avoid China — the fastest growing large economy on the planet — for political reasons.
As you read this, I will be returning to China promoting “Pure Michigan” as a great place for tourism, education and investment. During the multiple trips I have taken there over the past two decades (particularly the past two years) to meet with top government, business and academic officials, I have never heard them suggest they would slow down the pace of change in their country because of troubles in America or Michigan.
While we complain, they are marching forward.
I am not predicting the demise of Michigan or America. We can thrive with the right leadership. That’s why I have been and will remain a modern-day Paul Revere, warning that “China is coming, China is coming.” We must find ways to assure that their continued economic rise does not come at the expense of our workers and our economy. Investment in education and skill development will be our salvation.
While we may have little chance or desire to stop China’s rise (imagine the chaos if one-fifth of the world’s population stumbled), we should be focused on preventing our own downfall. There is no need for the American/Michigan boat to sink because of the China tide.
In a recent Economist magazine article it was suggested that the continued rise of the Chinese economy and increased pay for Chinese workers is likely to benefit the world economy: “A 20-percent rise in Chinese consumption might well lead to an extra $25 billion of American exports. That could create 200,000 American jobs.” This would be good news indeed. There is much in Michigan, from agricultural products to autos, that the rising Chinese middle class wants and needs.
As a nation and state we must stop behaving like the frog sitting in a pan of water, unaware of the rising temperature that will boil us to death if we don’t take action.
If China threatened us militarily, there would be a call to arms. But this equally serious economic threat is methodically building through that country’s investments in education, R&D, technology and infrastructure, and its trade policies and fresh investments in innovative “green” energy initiatives.
China is investing in its future while we are not doing enough to invest in ours. A Michigan policy of whining about China while disinvesting in our people is a recipe for disaster.
Michigan is great for many reasons, but especially because we have always worked hard to invest in the potential of our people. But there exists no divine right that America or any of her states stay on top. We have been witnessing the economic slide of Michigan for some time.
Michigan has been slicing its state budget like a veg-o-matic much of the past “lost decade,” disinvesting in education from pre-K-12 on up to our community colleges and universities.
The money that does make it to the schools only props up unsustainable pensions and health care plans that exceed what is available in the private sector. Further, America has rung up an alarming national deficit.
According to The Washington Post, in the 2010 fiscal year the federal government is projected to collect $2.2 trillion in taxes and spend $3.6 trillion.
Too much of our dwindling tax resources are invested in propping up the past rather than investing in the future. To invest in education, training and technological advances without significantly raising taxes will require eliminating some of the status quo in favor of investing in programs with long-term paybacks.
The father of power politics, Niccolo Machiavelli, captured the essence of the battle to upset the status quo when he wrote in 1532, “There is nothing more difficult to take in hand, more perilous to conduct, or more uncertain in its success, than to take the lead in the introduction of a new order of things.”
But “a new order of things” is exactly what this state and nation need.
The best predictor of a state’s wealth is the proportion of adults with a four-year degree. Of the top 10 states in college education attainment, nine are in the top 12 in per capita income.
Michigan has fallen from 18th in per capita income in 2000 to 37th in 2008 and has not improved its position the last two years.
A quarter of Michigan’s high school students don’t graduate in four years, and many who do graduate are not prepared for the rigors of higher education.
Talent and education matter. A major challenge for Michigan to overcome in our economic struggle is our 34th-place ranking in terms of four-year degree attainment.
The educational pipeline is equally troubling. What is transpiring in Detroit, Michigan’s largest city and school district, should be considered educational genocide. If the dropout rate were considered a public health issue, it would be branded an epidemic, and its test scores are the worst in the nation.
Clearly the needle is moving in the wrong direction if, as a state, we wish to regain our economic health. In a global, knowledge economy, a state or nation that is uneducated is destined to be poor.
The economy we once had, one that enabled someone to drop out of school, walk onto the factory floor and into the middle class, is gone, never to return. While this is not what battered Michigan workers, whether blue or white collar, want to hear, no job in Michigan is safe from competition from around the globe.
This is true regardless of whether the Angry Democrat or the Tough Nerd Republican becomes our next governor. Technology and a globally connected economy are here to stay. Our hope and opportunity rest in how we, as individuals, and our political/government leaders adjust to this shifting reality.
During Mao’s days leading the Red Army against the Nationalist Troops of Chiang Kai-shek, he was fond of saying: “You fight your battle, I’ll fight mine.“
Those close to Mao knew this to mean he would not fight a reactive battle but would construct his own strategy to make the enemy suffer. He would maximize his smaller numbers through surprise in order to fight against the larger and seemingly superior enemy.
We could certainly learn from Mao’s strategy.
With strategic thinking and strong leadership, the opportunity exists for the U.S. to turn Mao’s philosophy to our advantage. While we may never be able to compete on an even footing against China’s sheer billions of people, our advantage has been and always will be our freedom to imagine, innovate and create. This country’s entrepreneurial spirit has allowed us to out-work and out-invest our competitors using education and R&D.
America can once again rise as the brain bank of the world — a place for others to deposit and withdraw intellectual capital.
We are slipping and need to regain our traction in these endeavors if we wish to remain on top of the world’s economic mountain and not be knocked too far off the peak.
I am proud to be an American, but also am cognizant of our historical and contemporary mistakes. So, too, on many occasions I have written about the challenges that China faces: treatment of Falun Gong members and Tibetan and Uyghur minorities; the lack of an open, honest and free press; pollution; corruption; the lack of fair and open trade; theft of intellectual property — just to name a few.
The Chinese are sensitive to any criticism they feel interferes with their internal affairs, core interests or sovereignty. While dramatically improved since my first visit to China in 1989, critical inquiry and free reporting remain a foreign concept for China when it comes to sensitive subjects like the Falun Gong movement, Tibet, the 1989 Tiananmen Square uprising, the South China Sea, Uyghur, Taiwan, and other topics perceived to impact the “harmonious society” — open discussion of which can quickly land you in a Chinese prison, or worse.
Yet, on many other issues, China is progressing while we are stuck. Consider:
- China is on course to overtake the United States as the world’s largest economy around 2025, according to the World Bank.
- The Chinese economy, the fastest growing large economy in the world, has been growing at double digits for more than two decades.
- China invests hundreds of billions in modern infrastructure — everything from high-speed rail to roads, dams, sea and air ports, utilities and power plants.
- They are investing heavily in green energy technology — solar, wind and battery, and seem intent on winning the “green race.”
- China is not content to be “factory of the world” and is investing in higher education and knowledge workers to become the “innovation nation.”
- The Chinese are underwriting the huge U.S. national debt our leaders have been ringing up for the past decade, a debt on steroids today.
In the July 29 issue of Fortune magazine, Geoff Colvin, senior editor-at-large, wrote: “Americans should be alarmed, not because we have to beat the Chinese on every statistic, but because those facts [numbers of engineers and other knowledge workers in China] threaten the heart of our great economic story.
Ouch!
Colvin continues, “For America’s great economic story to continue, we need to reverse the downward spiral now, before it picks up speed. That means changing our culture.”
We must sound the alarm that we are competing in an unpredictable, disruptive, transformative world where others want a slice of the American pie we have grown accustomed to keeping for ourselves.
China and other countries are turning up the heat. If we do nothing we will be poached, if not boiled alive.
We know what we must do: invest in education and support innovation and creativity, ingenuity and hard work. The problem is we are not doing this.
Our challenge is to invest in the American people and our collective future, not cling to past glory. Our relative prosperity over the years has led to pomposity and complacency that, if not addressed, will lead to our continued decline.
The time to act is now. Waiting much longer will certainly assure we come in second in the economic war of the 21st century. We know what coming in second means — it makes us a first loser.
Our day of reckoning has arrived — time to sink or swim!
Tom Watkins is an education and business consultant in the U.S. and China and served as Michigan’s state superintendent of schools from 2001-2005.
(Also see Dome’s September 2009 feature “China Bridge” by Watkins for a detailed focus on China.)
54 responses so far ↓
1 Gerry Morris // Sep 3, 2010 at 7:04 am
Tom, as always, I agree with you wholeheartly. As an instructor for dual enrolled students and an adjunct instructor at Spring Arbor University, I am concerned with the lack of creative thinking that our current students possess. Whether it is the concern for State tests or the culture of I don’t get paid for this!”, something has to change. I graduated from Cody High School, in Detroit, in 1964. As recently as 9 months ago Arne Duncan, sat down with Cody High freshman and asked them about the number of new freshmen still in school. Over 50% had dropped out, when asked why they dropped out, the answers ranged from, “they are in jail”, to “they dropped out to join gangs.”. We must mesh the education system and the justice system, while increasing the rigor of our current curriculum, to alleviate the lack of creative thinking in our schools, and creatively bring those dropouts back into the education system.
2 Jim Farley // Sep 3, 2010 at 7:28 am
When is Michigan going to wake up and realize the world has changed and passed us by?
Our schools and government are run ( note I did not say led) by folks with their heads in the sand.
Education is our salvation and the globalization genie and China are not going to be stuffed back in the bottle!
Hopefully a change in leadership in Lansing will help facilitate necessary change.
3 jon todd // Sep 3, 2010 at 8:08 am
Good article Tom. Hopefully the new leadership will be more interested in moving us all forward instead of protecting there parties interest. I am getting tired of one party saying just cut taxes with no other solutions and the other is stuck in neutral because they don’t want to offend their supporters.
4 Ken Beedle // Sep 3, 2010 at 8:12 am
While I agree with you that we must act now I fear that the time for action has long past us by and the spiral has begun. United we stand and divided we fall. Sadly America is too divided. All we do is squabble about the who is right or wrong. China used to be called the sleeping giant…no more. America has taken its place maybe for ever more.
5 Mark Bertler // Sep 3, 2010 at 8:22 am
One area of opportunity missing from this discussion is social entreprenuership and social infrastructure. In my limited interactions with China I have found their representives to be more and more interested in social programs in the US.
Imagine my surprise last year when representatives from the chinese ministry of health wanted to visit my Womens Infants and Childrens, (WIC), program in Los Angeles. Imagine my embarassment in not having any of my business promotional materials available in Chinese and not having anyone who could speak Chinese in my headquarters office. Imagine my feeling of relief when I found that my WIC program had both materials in Chinese and staff who spoke Chinese, (the delegations interpreter was even more pleased that he could a much needed break). The delegation was suprised that there were poor people in America and interested in our programs to assist the less fortunate as one feature of their growing economy is a growing awareness of a social responsibility. I encourage us to take Tom’s points to heart and understand that by improving the lot of each and everyone of our citizens we become a model for China and others and perhaps find unexpected opportunities to benefit each other.
6 Tom Stokes // Sep 3, 2010 at 8:34 am
I do agree with what Tom has stated, but we need to stop talking from the “we all see it, somebody do something” mentality. Our first step must be to defang the Dems in Washington, they have become so brazen, they openly offer bribes for votes on programs they know the general public does not want. They believe they have control and maintain control, so what “we” want in immaterial. Let them retain control through this election and we see cap and trade and worse! We must break the cycle or the point of no return will be upon us. As to a business association with China, why is it that Wal Mart is credited with raising the standard of living for Americans, when the are China incorporated? Many companies that have partnerships with China have grown and employed more people then ever here in the USA. Why don’t we hear these stories? They have no political poison value! The best tactic we can employ is “throw the bums out” there is no other way They will get the message, they are responsible to us not rulers. I could go on and on, but the bottom line is, if we don’t take back political control, nothing else favorable to and for the people will happen.
7 Elizabeth Wu // Sep 3, 2010 at 8:38 am
This quote from the essay above says it all:
Michigan needs a governor who will stop playing Peking “duck” with the second largest economy in the world. We simply cannot afford to have another governor who claims he or she will “go anywhere and do anything for jobs” and then avoid China — the fastest growing large economy on the planet — for political reasons.”
Politics in this state and country are so ugly that we can even help ourselves for fear the \other side\ may get credit for something actually going right.
There can be a win-win– if we stop the foolishness and look for solutions as opposed to \gottcha’s\
8 Bruce Zellers // Sep 3, 2010 at 9:48 am
The rise of China (and the relative decline of the US) is a fact–like Winter here in Michigan. There’s not much point in arguing about it; it is just around the corner. And it isn’t necessarily a bad thing. But like the coming of a Michigan winter, the growing influence of China and other nations shouldn’t have been surprise. I keep wondering: why was it? Why didn’t we insulate and tune up the furnace? Most of the trends that impact us go back 30-40 years. Why were we all so slow to notice? Why was so little done (by Democrats or Republicans–both held power during this long period) to smooth our transition into this new world? Were we too confident after “winning” the Cold War? Were we simply too dismissive of other nations and their aspirations? Did we misunderstand how market-based economic systems work? Or were we simply seduced by the residue of prosperity–the good times? Were we just comatose at the beach? Whatever the reasons, we now confront a new season–a new world–unprepared. And there is plenty of hurt, financially and psychologically. For many of us declining opportunity is coupled to loss of status. Being “blue collar” doesn’t guarantee comfort or respect–neither does being an American. And these things disorient us–even shock us. This sort of change, of course, has happened before: farmers suffered longterm decline after the Civil War. Fight as they did, they couldn’t reverse the economic trends, the rise of the factory and the blue collar worker, as it happens. Today, farming employs very few Americans. It would be great if we could do better getting from era to era, if the pain of change could be treated. It would be great if our leaders knew what to do–and would do it. It would be great if we as individuals knew what to do. One thing is certain, I think: the process can’t be stopped. We can’t prevent the changing of the seasons.
9 ron j. stefanski // Sep 3, 2010 at 10:17 am
While I agree with Tom that China’s rise cannot come at our expense, we need to move beyond our current maelstrom of political discord in order to get things done. The current “blame game” environment both in Washington and Lansing means that no one is addressing the elephant in the room– burgeoning debt; decreased investment in education and infrastructure; and the absence of bipartisan support around key economic drivers– all the underpinnings for tepid and continued economic malaise. Consider the number of buildings, high speed rails (nay, cities) that have been built in China while we are still deciding what to erect on the site of Ground Zero. We know what we need to do– let’s get in a room and figure it out together before they lock us up– and out!
10 David Pierce // Sep 3, 2010 at 11:40 am
Education, talent, skills, training, retraining, life long learning, creativity, innovation are all key— yet, we continue to perpetuate the status quo— why is that?
Seems we know the issues– but are comfortable NOT changing– even when we know the water is boiling.
Good essay—but, I doubt the people that are reading this magazine need to hear it—- but, given the lack of progress, movement and leadership in Lansing— I take that back. They read it, understand it– and never act on what we know– and that is why this state and nation is in the mess we are in.
Let’s hope our democracy and this coming election will produce leaders that will act and not simply postpone tough decisions.
11 Delia Stafford // Sep 3, 2010 at 12:09 pm
These lines are the most significant in the commentary from Tom Watkins.
1) “Our challenge is to invest in the American people and our collective future, not cling to past glory. Our relative prosperity over the years has led to pomposity and complacency that, if not addressed, will lead to our continued decline”.
2)We know what we must do: invest in education and support innovation and creativity, ingenuity and hard work. The problem is we are not doing this.
Long ago, Nero fiddled while Rome burned.
Meaning:To occupy oneself with unimportant matters and neglect priorities during a crisis.
We are in a major crisis! The education of students is/should be a priority!Dr Watkins is saying what many Americans know but do very little to solve the problems. Shall we say, “America is fiddling while America burns?” Clearly, on a national scale, the children and youth are paying the price, while the adult decisions makers “fiddle away.”
Tom Watkins is like a voice crying in the wilderness. He is crying, “wake up America, and stop fiddleing around”!
Delia Stafford,President
Haberman Foundation
12 Carol Kent // Sep 3, 2010 at 12:11 pm
Hi Tom,
Of course I agree with everything you write about China! After spending another amazing summer there, and teaching Chinese English Teachers again, I am aware of the fast-paced progress, and also many problems, that they face. However, it is the state of OUR educational system that concerns me the most. It is not only about funding. We must be careful about stressing “high school graduation” and “drop out rates”. With that pressure on school districts and also on exam scores, we are at risk of graduation without adequate academic and life preparation. Ask college instructors, especially at the community college level, about their students’ qualifications for college level work and ability to think and write. This would be worthy of exploration.
Some relevant questions to ask might be: Where is our investment in early education and early intervention? Where is our family support?
Where is our parent education? What media supports the development of the minds and creativity of our young people? What is the focus on testing doing to the educational experience of our students? ETC.
Wishing you a successful trip to China and the creation of partnerships that will benefit us all!
Regards,
Carol
13 Michael F. Shaughnessy // Sep 3, 2010 at 1:03 pm
The United States needs to be much more proactive in planning for the future and planning for a world in which many of our competitors will be able to speak many different foreign languages. The U.S. needs to have some sort of economic, as well as political plan to engage in business and industry with China, India, Japan, and other rapidly growing and developing nations. Having been to China, the one thing I saw was – Building–they are building everywhere, almost feverishly and are going to be an economic force to be rekoned with in the future
14 sara jones // Sep 3, 2010 at 1:06 pm
Imagine what would have been possible in this state if our leaders (on the left side of the aisle) listened when Tom and others began calling for doing more with China some years ago.. We’d be ahead of the curve instead of mopping up after Ohio, Indiana, California, etc…
shame….
15 Dan Redford // Sep 3, 2010 at 1:06 pm
Tom,
Well said my friend. I’ve said many times in my Dome columns, Live from Shanghai, that our young people need to continue to develop cross-pacific relationships. I find that our strength in America will be found in our business and education communities. We have an amazing opportunity at this juncture in history to use our unique access to Chinese people to our advantage. One thing that China will not be able to develop by the time their economy eclipses ours is a strong education system to satisfy their masses.
Chinese people are continuing to send their children to the United States to be educated. Michigan State University alone has 2,400, and growing! We need to be developing a culture of young people that are citizens of the world, that are excited to make friends with Chinese students, and to start business ventures with them. We can do this, and its amazing the feeling you get when you do!
16 beth stone // Sep 3, 2010 at 1:08 pm
Tom: another four star description of how vital it is we look for ways to put the past aside and building new relatioonships to places like China and India which have growing economies. It is the wave of the future…
17 Stanley Zhou // Sep 3, 2010 at 1:39 pm
Good article.
Hope our new leadershop can put more detailed strategical plan, get win-win situation between Michigan and China, like GM and Shanghai GM.
18 patricia // Sep 3, 2010 at 4:05 pm
We cannot push back the rise of China. America has reaped what it has sown when it began investing in China nearly 2 decades ago.
A country of billions of people with a central government @ the helm, investing in their country’s industry, will not and can not be stopped.
The U.S. is still the leader of the free world — China is not. With all our faults (and yes, we have plenty of them), we nonetheless got to where we are today through true grit, entreprenurial zeal, and one of the finest educational systems in the world.
As Tom says, the time has come for us to look forward, not back. Michigan needs to hire a smart, forward-thinking person for the governor’s office to deal withe the next decade’s challenges.
Let Michigan once again take its historical place as a bellweather state — moving the engine of the U.S. economy forward and educating its citizens for the world of tomorrow.
19 Marla // Sep 3, 2010 at 4:41 pm
As an American adoptive mother to a Chinese daughter and current host mother to a wonderful au pair from China, and having just spent the better part of the summer in China with my children, I must say I agree, I am doing everything I can for my children to ensure their future in the changing global climate. All of my children (adopted and biological) are currently studying Chinese language. I am concerned for their futures if they remain here in Michigan. I feel bilingualism will give them a bit of an edge in our changing world.
Tom, your statement below is extraordinary;
“As a nation and state we must stop behaving like the frog sitting in a pan of water, unaware of the rising temperature that will boil us to death if we don’t take action.”
Thanks for a wonderful post,
Marla
20 Beth Leeson // Sep 3, 2010 at 6:29 pm
I’m once again on Tom’s bandwagon. Most of us can recite a litany of issues and hopefully dozens of potential solutions. But how do we turn talk to action? From a practical standpoint, it’s clearly time to get some of these sticky issues — especially related to education including for our tiniest citizens — onto the campaign circuit. While economic engines for today — this year, next year — are critically important, our investment in any hoped for future rides directly on the education of our kids. Hearing from our guberantorial candidates and insisting on clear answers to clear questions about education reform is one of the solutions we all can push for, and must. I’ll vote for the guy who inspires me to believe that he has a solid belief and willingness to stand up for necessary changes. Tom, help us to make sure these issues are front and center on the tongues of our candidates! Thanks for another compelling and lucid article.
21 KP CHEN // Sep 3, 2010 at 8:36 pm
Tom:
We need examples of success … grounded in real things and genuine spirit, performed by real people, and produce real benefits …
We need a wholesale process; the retail, now, is too slow and too little …
A colllective journey needs to be travelled and a new story to tell and to be told.
A few success stories could form a new paradigm.
The next wave is, as much an art as it is a science.
22 sherry xu // Sep 3, 2010 at 9:54 pm
I agree with Tom: “As a nation and state we must stop behaving like the frog sitting in a pan of water, unaware of the rising temperature that will boil us to death if we don’t take action.”
In China, English is mandatory foreign language to take from 5th grade students. Here, Foreign language may start from middle school, but just spanish. High school students need 2 foreign language credits to graduate, then they can choose German, French, Latin, American Sign Language, Spanish, the last and least is Chinese. Do not even mention that only a few public schools started to offer Chinese program in high schools, which means American students already far behind just in language category.
There is a saying in China. ” To plant trees, it takes about 10 years, to build up a better generation, it takes about a century.”
We should keep it in mind: when you are still, you have been already fallen behind.
23 John Telford // Sep 4, 2010 at 4:22 am
The “Sleeping Giant” finally awakens–with a vengeance. We’d better wake up too, and heed Tom Watkins’ wise warnings .
24 Ruth Ann Hattori // Sep 4, 2010 at 4:35 am
Thanks Tom — lots of good info and thinking. CNN just completed a week of special coverage on “fixing our schools.” One of the featured pieces was on two Wayne State professors who have conducted a Math Camp for the past few summers. Predictably, they are underfunded (or perhaps officially un-funded), but are producing good results with the hundreds of kids who have partticipated. “Fixing” schools is a long term goal…we need more alternatives like Math Camp and we need to fund them!
25 Jerome W. // Sep 4, 2010 at 10:53 am
Couldn’t agree more with this article. We need to wake up here in Michigan and start taking advantage of this window of opportunity with China. Stop the self-serving political gamesmanship.
26 classroom13 // Sep 4, 2010 at 5:39 pm
The sound bite “shipping jobs to China” is old school and the residents of Michigan and the US is tired of it. It’s time our politicians wake up and become visionary and do what’s right for this state and country. Tom has is right, we need China and should find more ways to bridge the economic gap. This is a global economy and Michigan must be a significant player in it. It’s time for a strategic plan, not “China bashing” rhetoric.
27 Greg Olszta // Sep 4, 2010 at 5:55 pm
Tom,
Again, thanks for the insights and the calls to action, and for your efforts to act as a Michigan liaison to China. Of course you’re right, for too long we have focussed on China as a whipping post, blaming it and US business for Michigan’s loss of jobs, income, and reduction in our standard of living. It’s past time to seize the opportunities to make Michigan an exporter of products to China and not jobs.
28 Shirley // Sep 4, 2010 at 7:09 pm
Oh what a mess we are in when as a state and nation we cast blame and find fault outside ourselves and place it on others.
As citizens of Michigan and the US we need to begin to accept responsibility for our station in life and stop blaming immigration, Japan, China or anyone else.
Until and unless we accept reality and responsibility– we will have the wrong prescription to fix our problems. The author is right– it is about education, skill, innovation, creativity— those traits our found within ourselves– and not by blaming others for our predicament.
29 Thomas // Sep 4, 2010 at 7:15 pm
I can only hope with different leadership there will be different outcomes.
Our state cannot limp along like this forever.
30 zulu2 // Sep 5, 2010 at 12:48 pm
Tom, thats about all they have to run-on,but they have a big audience. They used it on De V ose and won so I assume they will try the same agenda again. Ithing with a little tweakingof the CAFTAand offering a a good tax break for businesses big and small, we can more than compete against China . Then again we could send union recruters into China and screw there companies up too. Kindest Regards Zulu2
31 Mary // Sep 6, 2010 at 6:05 am
A new day has arrived in Michigan and the people were not paying attention as they were in their dream land of yesterday when Michigan was a prosperous state. While we were sleeping, believing that we were pre-ordained to have the best standard of life with minimal education forever the world has passed us by>
The author uses China as an excellent metaphor for fear of change. Change is here– ready or not.
no one is going to save Michigan. Education is the key– but we have been talking about education while gutting it!
There is a total disconect iin this state
32 Michael Warren // Sep 6, 2010 at 7:07 am
For over a generation Michigan and the nation has been using an antiquated system of education (based on the industrial, assembly line system) while the global economy had shifted to an Information Age, knowledge based economy. As Tom points out, although others may thrive on cheap labor, for Michigan to succeed we need brain capital – and a system which discards over 25% of its students before graduation day is a travesty. We need students who will be critical thinkers, collaborative and independent learners, with knowledge economy skills. Tom’s clarion call needs to be heard if we are to get on with the work of reforming education and competing successfully in the global economy.
33 Steve Saules // Sep 6, 2010 at 8:41 am
Tom as a banker, your comment on the US as the Brain Bank of the World hit home. Also hitting home are the statistics on Detroit education – almost incomprehensible! As my son starts 11th grade I am going to have to get on him to excel.
34 Isia Durian // Sep 6, 2010 at 10:25 am
The importance of education cannot be over emphasized. Our universities are among the best in the world. If China passes us as world #1 (not just economically) we have no one but ourselves to blame.
35 Bill Cecil // Sep 6, 2010 at 1:07 pm
Mr. Watkins is right on the money with this article. Instead of wasting time trying to scare voters into believing that someone else will send U.S. jobs to China, we should be trying to figure out what they are doing that is helping them to prosper so we can once again prosper in Michigan. Investing in education is crucial for us to have any chance of a bright future again — which is exactly opposite of what has taken place over the last decade. I hope Mr. Watkins will continue to help awaken the citizens of Michigan like Paul Revere did during another crucial time in our history!
36 Tom // Sep 6, 2010 at 1:15 pm
Bill Cecil ( # 35 post above) knows about the importance of quality education– he is the best of the best!
He is the 2003-04 Michigan Teacher of the Year. A great teacher touching our collective future each and ever day!
See his wonderful book: Best Year Ever at: http://www.bestyearever.net
37 Big Volleyballs // Sep 6, 2010 at 1:30 pm
In the 1980s, Michigan’s fear and ignorance shooed away millions and millions of Japanese investment $. Unless we develop a forward-thinking China policy soon, I see a repeat performance.
38 chris lin // Sep 6, 2010 at 2:15 pm
There is an opportunity for business to have a two way exchange in investment. US companies can benefit in the growing China economy and the Chinese can bring their brands here, or buy brands here.
By working together, these entities will develop cooperation and appreciation of each other rather than foster the current environment of fear and distrust. I am optimistic of the US China relationship, because I have seen it work!
39 Ken Lampar // Sep 7, 2010 at 3:39 am
In 1982, Tom Watkins served as the deputy campaign director for Governor James Blanchard’s first gubernatorial campaign. Tom clearly remembers the campaign chant, \Jobs, jobs…and more jobs!\ As I’ve campaigned for state representative in Macomb County since November 2009, the residents of Sterling Heights and Utica have expressed their frustration with the lack of jobs. We need to separate the political rhetoric of \shipped jobs to China\ from the reality of an eroding manufacturing base. This erosion has decimated our state’s budget, decreased our educational funding and destroyed our residents’ faith in maintaining their and their childrens’ middle class lifestyle.
The political rhetoric reflects the frustration of families with educated wage earners unable to secure employment in Michigan at middle-class wages. Young and old, recent college graduates are seeking employment opportunities across the country and the world. Mature engineers seek opportunities to prepare for retirement with dignity, yet are struggling for even a local interview.
I’ve often said on the campaign trail, Macomb County middle-class families don’t expect much…provide us a job to maintain a home for our family, an education for our children, and a dignified retirement and we’ll get up every morning to do a hard day’s work.
I hope to make my first trip to China soon, with the hope that the Chinese will invest in our people and provide job opportunities that are \Pure Michigan\.
40 Matt Friedman // Sep 7, 2010 at 5:33 am
Hopefully, this year’s campaign won’t continue the cliched”Wall Street/Main Street” and “Shipped Jobs To China” finger pointing. Hopefully, it will be about who has the best plan for Michigan. And, as Tom has wisely articulated for the past several years, that plan should include commerce with the world’s largest population of customers.
41 Glenda Price // Sep 7, 2010 at 8:07 am
I believe that our real challenge is to convince our colleagues that we are not entitled to our first place standing in the world, and that we must continue to earn it. We have created the myth that we are better than everyone else, we are smarter, we are the leaders, etc. This belief leads to a complacency and laziness that is causing us to fall behind. I agree that education is the answer, but it will be at least a generation before we are able to right the ship.
42 Dave Ratajik // Sep 7, 2010 at 8:28 am
Hi Tom.
Best to you on your current China travels.
I agree with you….again! The big Q. regarding the resolution of Michigan’s problems is how…………….many of us continue to be “Fat, Dumb and Happy”.
I am a Rotarian, and last month while in Lansing I attended a make up meeting with the Lansing Rotary Club. The guest speaker there was representing Michigan agri business interests, and I was really surprised at the billions of $$ generated by this industry, especially where we live in Stevensville which is located in Berrien County (vinyards, produce,etc). As a matter of fact, Michigan is in the top 2-3 states in the US in fruit and vegetable production.
I think this is a great quid pro quo…………..providing our Michigan agri business expertise in return for Chinese exports or reduction in trade costs. Maybe this is already happening.
Also, what about MASA/MASB/MAISA partnering with the state legislature to initate a program with each and every RESA to host at least one chinese exchange student during a school year? Their student attends here and ours in China. The cost wouldn’t be that much since we could use host families, and we might be able to find parents that would be willing to pay air fare and incidentals for the opportunity to have their children study abroad for one year. In this regard, our Rotary Clubs already have a Youth Exchange Program in place which does this very thing (Our Lakeshore Rotary Club is hosting a young man from the Czech Republic).
43 Nancy // Sep 7, 2010 at 1:38 pm
Tom,
We have got to realize this is a different time in which we live. As you mentioned in your article, those who are being successful are emoving ahead with technology, global economics, rigorous academic programs and innovative thinking. Partnerships around the world that are mutually beneficial have got to be developed and nurtured to stimulate diverse economies.
44 Cliff Worthy // Sep 7, 2010 at 5:46 pm
Tom—-Thanks for being a ” voice crying in the wilderness “. Your message affirms the charge for Education today, Education tomorrow, Education forever. ” Ouch ” and verything that follows is right on.
45 Dan Reattoir // Sep 8, 2010 at 7:13 am
If a job can be done in China and electronically transmitted anywhere, it can also be done in Michigan and transmitted anywhere. The cost factor is the big question. What are we willing to do and for how much? How can we market the Michigan workforce globally?
46 Kimberly Mitchell // Sep 8, 2010 at 1:55 pm
We hear you loud and clear, Mr. Watkins. You are a brilliant mind and continue to articulate the challenges and solutions better than anyone else I know (with one exception … that being Jeb Bush!).
Kimberly Mitchell
City Commissioner
West Palm Beach, FL
47 Dan DeLano // Sep 9, 2010 at 5:49 am
Herbert Hoover and his administration implemented four policies that irrefutably, at the very least, prolonged the Great Depression and some say may have created the worst economic environment this country has ever experienced.
One such policy was implementing draconian trade policies that effectively halted all trade between ourselves and the rest of the world. This policy, along with raising the top marginal tax bracket to 70%-yes, 70%-have been cited as the two that were most influential in creating the Great Depression.
Over the past two years, the economies of our country and the State of Michigan have experienced the greatest stress since the Great Depression. The reality is that this stress could have been much worse if we did NOT have an economy that was supported by international trade. The stress was spread worldwide rather than being confined to only our borders.
Obviously, this is the kind of history the State of Michigan does not want to repeat.
Open minds and open trade benefit all of us.
48 Peter Weidenaar // Sep 9, 2010 at 7:44 am
Hi Tom:
Thanks for another thoughtful, stimulating article. One of many you have written and, hopefully, will continue to write.
Yes, adequate funding and improving/changing educational delivery systems in Michigan (and around the US) is essential. So, too, are improved, more positive, aggressively sought, business and educational relationship(s) with China.
You continue to carefully, diligently, and precisely point out many of the justifications for such actions.
Perhaps its not fair for me to ask or an answer may be more obvious to others than to me, but could you or would you care to opine as to which gubernatorial candidate seems more able and willing to seek the goals/actions you describe.
Two other points: what political candidates decide to emphasize in order to be elected frequently seems to interfere with good governing after an election. And secondly,
poverty continues to be a major factor affecting those whom we claim to want to educate. And the condition of poverty also interferes with any new or improved educational system which our political and educational leaders may design.
49 Sergio Garcia // Sep 9, 2010 at 10:27 pm
Tom,
Again, you have stated the obvious but are the politicians listening? I suspect that they are not as it would interrupt their nice gig and the fruits from it. There are two areas that summarize yoru article and that Americans must look into the results: (1) Bothe countries had stimulous plans and both countries spent about the same, what did America get for theirs? In the , meantime China added more fuel to their growth as speed trains are being added between most cities, harbors expanded, airports build, roads widen, etc. all this has created a boom for a lot of companies and the economy. (2) While America cries for the RMB to get stronger, have we asked ourselves what that will do to the dollar? The dollar will devalue, making dollar assets cheaper, who is the biggest holder of dollars? So, let’s understand, we want them to revalue the RMB so the dollar is weaker and we can sell more and the assets that they geneorusly bought, we want those to devalue. Does this makes sense to anyone? If the dollar devalues too fast, China will start dumping dollare which will further kill the dollar. Wake up! Expect the RMB at 6.5 by the year 2020 and no sooner; China is slowly dumping dollars but it will take 10 years.
Let’s start changing America as Tom suggest and it starts by working together and working with them.
50 Elizabeth Kangas // Sep 10, 2010 at 5:15 am
While I agree with the theme of your article, I take exception to the comment of pensions and health care costs. When you are talking about a state budget, I do not believe it is appropriate to single out a fraction of the problem without identifying the whole system. It is not just school employees who are a part of the state pension and health care costs. Our state lawmakers only have to work six years and they get life time retirement benefits. State lawmakers have no health insurance co-pays. Does that not tax the budget as well? Educators work for 30 some years to get their retirement benefits!
School district are being forced to look outside the box and change. Our school has added a virtual high school to accommodate students who do not do well in a traditional brick and mortar setting. Change is trickling into the educational system.
Will new leadership embrace the changes that are needed to make Michigan a player in the global market? Time will tell.
I do find it interesting that biggest drain on our state budget is the state government itself and yet no one is talking about the economic infrastructure of our state lawmakers.
If we are take any reforms seriously, nothing can be off-limits! It is the only ethical approach!
51 George Moroz // Sep 10, 2010 at 6:38 am
Tom has been singing this same tune for quite some time, but its repetition is the reiteration of important truths. I work for The Henry Ford (Henry Ford Museum, Greenfield Village, et al) and we have recently and formally committed to a strategic initiative consistent with one of those truths. America’s past prosperity, international reputation and envied leadership was largely due to the innovative and entrepreneurial spirits that helped define our people and our collective national persona. For a variety of reasons, including the rise of corporate behemoths and labor models that sapped, rather than spurred individual initiative, we’ve lost some of that competitive advantage to emerging economies, like China’s. Tom has it right. What’s needed in order for America, Michigan and metro Detroit—once, rightly considered the Silcon Valley of its time—to reestablish its world leadership is a fundamental change in current culture. From our perspective here at The Henry Ford, that means a return to those values and motivating characteristics that previously paved the pathway to our prosperity. The Henry Ford has, therefore, strategically committeed to maintaining its status as an internationally recognized—and Michigan’s leading—cultural tourism destination, but also to a more active catalytic role as a force for rekindling and fueling the spirit of American innovation and inspiring a “can-do” culture. Again, consistent with Tom’s insights, we are pursuing that institutional vision through the development of a whole new array of formal and informal educational experiences, onsite and online, designed to inspire and infuse an innovative spirit in learners of all ages and backgrounds. Developing an insatiable thirst for life-long learning is critical to effecting the kind of culture change we need in order to successfuly compete with China’s abundance. You can get a sense of how we are striving toward out vision by checking out one of our newest educational resources, our website http://www.OnInnovation.com, which features in-depth interviews with some of America’s most influential contemporary innovators—people who have and continue to change our world. You’ll hear some echoes of Tom in the insights they share. We’re not just a history museum; we’re a vehicle for reclaiming our heritage and securing our future.
52 Tom // Sep 10, 2010 at 4:38 pm
Ni hao ( Hello) from China
I have been asking around while here in China if the students, business officals, goverenment ( often one and the same) if they were slowing down, holding back because of he problems in Michigan and America? Just as I expected, the answer is a resounding NO!
While we debate, argure and talk — the Chinese are moving forward.
Let’s get past this election and reimagine a new Michigan where we regain our footing as the ias, creators and innovators that lead change. With bold leadership we can get Michigan working again.
53 Henry // Sep 24, 2010 at 8:11 am
Again a thoughtful essay from a guy that is not content to accept the status quo.
However, look where it got him– canned by Granholm who has been a failure as a leader and Gov of this great state.
She has ducked the necessary reforms Michigan must undertake if we are ever to get back on our feet! Change is hard– it is equally necessary and has been avoided for far too long in Michigan
I just hope the new Gov sees this guys talent and value and makes him part of the team to reinvent this state.
54 Shelly // Sep 27, 2010 at 10:21 am
I get it. So do many others— when are we going to have political leaders in this state understand the game has changed?
We continue to act in Michigan as though what once was is going to show back up sometime soon— WRONG!
Let’s hope the new Gov is a leader– and not another talker like we have had for the past 8 years in this state—or we will continue to go down the drain!
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