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Should the US Really Limit Chinese-Government Influenced IT Systems?

coondoggie writes "New federal restrictions now preclude four U.S. agencies from buying information-technology (IT) systems from manufacturers 'owned, directed or subsidized by the People's Republic of China' due to national-security concerns. But is this a smart tactic? It's clear that some in the U.S. government, including the House Intelligence Committee — which issued a scathing report last fall that called Huawei and ZTE a threat to national security — and the Treasury Department's Committee on Foreign Investment in the U.S. are also working in other ways behind the scenes to keep technology made by China-based manufacturers out of U.S. commercial networks as well."

220 comments

  1. Some, anyway by Millennium · · Score: 5, Insightful

    When you know who the foxes are, you keep closer watch over the henhouse. That just makes sense. It can be argued that there's still a role for inclusivity, but it has to be tempered with a dose of common sense.

    1. Re:Some, anyway by Anonymous Coward · · Score: 5, Insightful

      It's wise and good security policy when China does it. If the US does it it's irrational, xenophobic, and probably racist (arguents which you will likely see in today's comments)

    2. Re:Some, anyway by Anonymous Coward · · Score: 3, Informative

      The funny thing is most han Chinese are horribly racist and massively nationalistic. My wife's Chinese from Beijing (and han) and the things I've heard people say who don't realize this laowai speaks Chinese would make the KKK blush.

    3. Re:Some, anyway by Genda · · Score: 3, Funny

      Isn't that an REM song???

    4. Re:Some, anyway by Anonymous Coward · · Score: 0

      It's wise and good security policy when China does it. If the US does it it's irrational, xenophobic, and probably racist (arguents which you will likely see in today's comments)

      Side effect of a melting pot.

      The only thing shocking is you not expecting that behavior, especially since litigation based on being offended in any way is a lucrative business these days.

    5. Re:Some, anyway by viperidaenz · · Score: 1

      Its from Avenue Q, like from the youtube link I also posted.

    6. Re:Some, anyway by ron_ivi · · Score: 2, Insightful
      Considering the US actually did sabotage enemies using software trojans... even resulting in "the most monumental non-nuclear explosion and fire ever seen from space.'" ... it's not surprising people/governments are wary of it.

      Seems to me all critical infrastructure should be based on Open systems -- both Open Source software and firmware, as well as Open hardware designs; so people can have the best chance possible at reviewing and verifying any critical infrastructure components.

      Simply banning stuff from Chinese companies seems silly, though; since for every US company that has a foreign office and/or foreign employees, it's probable that their products have back doors too, from every intel agency in every one of those countries. Heck, I'd go so far as to speculate that most Microsoft security bugs might be such intentional back doors -- after all, if they don't it seems those intel agencies aren't really doing their jobs.

    7. Re:Some, anyway by gweihir · · Score: 2, Insightful

      The only problem is, this is all BS anyways and nobody knows who the foxes are. The label on the box is pretty meaningless. What counts is inside. And when you dig a little deeper, you find that even seemingly very American companies have their firmware written in China.

      I am convinced that this is merely a thinly veiled hostile economic move and has nothing to do with IT security at all.

      --
      Most ACs are not even worth the keystrokes to insult them. Be generically insulted by this and ignored otherwise.
    8. Re:Some, anyway by Austerity+Empowers · · Score: 5, Interesting

      Reminds me of a program manager I dealt with once. I was one foot out the door with offers on the table, having given up on my employer whose name rhymes with hell. I flat out refused to support an ODM design (I actually refused my entire 7 years there, but never was obvious about it). He asked me why, and I said I only support my local businesses. He wanted to bring me to HR for all sorts of racism, xenophobism, protectionism, insubordination, accusing me of trying to unionize, etc.

      Then I asked him (knowing the answer), why we are using this ODM at all, and his response was that the end customer (a large Chinese company) will only purchase through (a large Chinese manufacturer) and they would only support locally designed products. I asked why they can't just take my working, tested, FCC approved design and he said they wanted to change components. I asked "What's wrong with the components on my board, is there a defect?", and he said "They're not made in China".

      The worst part, the part that made me furious, is that he couldn't see my point. He kept spouting off capitalist slogans and telling me to read this inane book about the new global economy.

    9. Re:Some, anyway by Anonymous Coward · · Score: 0

      Considering the US actually did sabotage enemies using software trojans... even resulting in "the most monumental non-nuclear explosion and fire ever seen from space.'" ... it's not surprising people/governments are wary of it.

      Seems you forgot the part where they were STEALING the technology.

    10. Re:Some, anyway by EndlessNameless · · Score: 2

      When employees of American tech companies are issued disposable cell phones and told not to discuss anything sensitive because the phones will be hacked while they're there, it seems like an obvious extension of that stance to restrict the ingress of machines running Chinese code.

      Personally, I don't care if someone in China wants to watch me stream Scrubs on Netflix. But there are things on government and corporate networks that are important or dangerous enough where I would rather take every reasonable precaution.

      --

      ---
      According to the latest ruleset, this post should be modded as Vorpal Flamebait +5.
    11. Re:Some, anyway by Anonymous Coward · · Score: 0

      Seriously?! This made the front page. How much did it cost the "People"'s Republic of China?

    12. Re:Some, anyway by borroff · · Score: 2

      IIRC, in the case you're referring to, the US government booby-trapped code it knew a hostile power was going to steal - that's a long way from putting a backdoor into open market software

    13. Re:Some, anyway by Anonymous Coward · · Score: 0

      whoosh...

    14. Re:Some, anyway by TheCastro1689 · · Score: 3, Insightful

      That's not true. When you know who the foxes are you watch the foxes, when you don't know who the foxes are you watch the hen house.

    15. Re:Some, anyway by cayenne8 · · Score: 1

      I am convinced that this is merely a thinly veiled hostile economic move and has nothing to do with IT security at all.

      Either way..what's the problem with the US doing this? We need to combat the Chinese on the import/export front.

      --
      Light travels faster than sound. This is why some people appear bright until you hear them speak.........
    16. Re:Some, anyway by HappyPsycho · · Score: 1

      A bit late for that IMHO...

    17. Re:Some, anyway by Anonymous Coward · · Score: 0

      Sometimes everything is Wong

    18. Re:Some, anyway by gweihir · · Score: 1

      The problem is the outright lie. Whether protectionism is good or bad (basically all competent economists say it is very bad in the long run as the "protected" industry loses the will to compete and quality drops massively and long-term) is a different question.

      --
      Most ACs are not even worth the keystrokes to insult them. Be generically insulted by this and ignored otherwise.
    19. Re: Some, anyway by Anonymous Coward · · Score: 1

      How very true. My wife has the same tendency.

  2. The answer in a word? by WarSpiteX · · Score: 1

    "Duh".

    --


    I'm a little segfault, short and stout.
  3. Seriously? by saleenS281 · · Score: 5, Insightful

    Is this even a real question? Of course they should. The Chinese government is openly attacking both corporate and government interests throughout the US. Why give them yet another avenue to attacks?

    1. Re:Seriously? by ebno-10db · · Score: 5, Insightful

      And you think the US isn't doing the same thing

      What's your point? Maybe good advice to the Chinese government is not to use US made networking equipment (if there is such a thing anymore). That doesn't mean the US government avoiding Chinese equipment is a bad idea.

    2. Re:Seriously? by Anonymous Coward · · Score: 1

      Exactly. They can argue about what China should and shouldn't purchase over on the Chinese Slashdot.

      ...where they love America and go out of their way to talk shit about China, even when it's offtopic.

    3. Re:Seriously? by moderatorrater · · Score: 1

      hiding it better

      I'm pretty sure word on stuxnet broke well before the Mandiant report showed a clear link to the Chinese government. It's hard to hide something that does physical damage to your enemy's hardware.

    4. Re:Seriously? by msauve · · Score: 1

      Are you sure that wasn't the Israelis?

      --
      "National Security is the chief cause of national insecurity." - Celine's First Law
    5. Re:Seriously? by Genda · · Score: 4, Insightful

      Actually, we should use a substantial amount of Chinese equipment in places that are assured non-security related (who cares if they have current information on our disposition of stray cats and dogs), and then a bunch more attached to honeypots and decoy networks to watch them watching us.

      Most martial arts show us that every attack is an opportunity to use an opponents momentum against them.

    6. Re:Seriously? by coffee-breaks · · Score: 0

      Chinese government? Wow, what crock of BS. A careful research by various anti virus agencies clearly proved BOTH US and Israel link. http://www.codeproject.com/Articles/246545/Stuxnet-Malware-Analysis-Paper. Besides what you say clearly doesn't make ANY sense. Why would China have ANY reason to attack Iran, their trading partner? Bravo /.! You have proven yet again you have become a mouthpiece to USA gov!

    7. Re:Seriously? by sjames · · Score: 1

      And that affects the question at hand how?

    8. Re:Seriously? by msauve · · Score: 1

      I said it did, where?

      --
      "National Security is the chief cause of national insecurity." - Celine's First Law
    9. Re:Seriously? by Anonymous Coward · · Score: 0

      The US government isn't attacking the US government. That's a pretty important difference when you're making decisions for the US government.

    10. Re:Seriously? by sjames · · Score: 1

      OK, I wanna play too!

      CHICKEN!!!

    11. Re:Seriously? by Anonymous Coward · · Score: 0

      Is this even a real question? Of course they should. The Chinese government is openly attacking both corporate and government interests throughout the US. Why give them yet another avenue to attacks?

      Ditto. China funds hackers to attack the U.S.

      Close the borders to China trade.

    12. Re:Seriously? by ThorGod · · Score: 1

      Actually, we should use a substantial amount of Chinese equipment in places that are assured non-security related (who cares if they have current information on our disposition of stray cats and dogs), and then a bunch more attached to honeypots and decoy networks to watch them watching us.

      Most martial arts show us that every attack is an opportunity to use an opponents momentum against them.

      I like that idea. I'm sure it's implemented.

      --
      PS: I don't reply to ACs.
    13. Re:Seriously? by Anonymous Coward · · Score: 0

      China is also a trading partner with the United States, and still they attack us. Dipshit.

    14. Re:Seriously? by Austerity+Empowers · · Score: 1

      And you think the US isn't doing the same thing, but hiding it better?

      All the more reason to not open ourselves up.

    15. Re:Seriously? by The+Grim+Reefer · · Score: 2

      And you think the US isn't doing the same thing, but hiding it better?

      As inept as most US government agencies have become...

      No, I don't.

    16. Re:Seriously? by Anonymous Coward · · Score: 0

      This implies China has something worth stealing.......and what does China steal?

    17. Re:Seriously? by dwye · · Score: 3, Insightful

      China is also a trading partner with the United States, and still they attack us.
      Dipshit.

      France and Germany were each other's biggest trading partner right up until the declarations of war in WWII. I would not be surprised if that were true before WWI, as well. It happens.

  4. Should China Accept US-Gov't Influenced IT Systems by Anonymous Coward · · Score: 0

    China already protects itself from US-influence. This is protectionism, and we should all respond in kind.

  5. They should first by obarthelemy · · Score: 4, Insightful

    limit republican-leaning closed-source and un-auditable voting machines.

    --
    The Cloud - because you don't care if your apps and data are up in the air.
    1. Re:They should first by Anonymous Coward · · Score: 0, Troll

      And perhaps disallow multiple votes by Democrats.

    2. Re:They should first by Anonymous Coward · · Score: 0

      Disallow vote buying.

    3. Re:They should first by girlintraining · · Score: 1

      limit republican-leaning closed-source and un-auditable voting machines.

      What does that have to do with the price of tea in China? /snark

      --
      #fuckbeta #iamslashdot #dicemustdie
    4. Re:They should first by Anonymous Coward · · Score: 0

      What the hell?! Where do you get off making a statement like that? Mod that shit down. It's beyond flamebait, it's outright trolling!

    5. Re:They should first by thestudio_bob · · Score: 2

      Disallow the gingers.

      --
      The real Sig captains the Northwestern. This one captains /.
    6. Re:They should first by Anonymous Coward · · Score: 0

      I don't know, let's have a vote.

    7. Re:They should first by Anonymous Coward · · Score: 1

      Yet you have no objection to multiple Republican votes.

    8. Re:They should first by dugancent · · Score: 0

      No, it's off-topic and should modded accordingly.

      --
      SJWs are the new boogeyman. -Me
    9. Re:They should first by Anonymous Coward · · Score: 1

      I think that at the very minimum voting machines should be held to the same standard as casino machines or even gas pumps.

    10. Re:They should first by viperidaenz · · Score: 1

      Outsource the new voting machines to China.

    11. Re:They should first by ebno-10db · · Score: 1

      No, it's off-topic and should modded accordingly.

      Right, because political snark has never been tolerated on /.

    12. Re:They should first by phantomfive · · Score: 3, Funny

      Of course. Republicans are all wise, upstanding citizens who would never go to war on false premises. They deserve two votes for that alone.

      --
      "First they came for the slanderers and i said nothing."
    13. Re:They should first by Anonymous Coward · · Score: 1

      Yes, but the question is, is it true.
      This post is on topic, on the topic of computers doing things they are most definitely not supposed to be doing, at the whim of the manufacturer.

      Lets ask the Google:
      http://gizmodo.com/5958088/whys-the-gop-changing-voting-machine-software-right-before-the-election
      http://www.salon.com/2012/11/05/ohio_republicans_sneak_risky_software_onto_voting_machines/
      http://www.rawstory.com/rs/2012/11/06/pa-voting-machine-taken-out-of-service-for-flipping-votes-to-romney-report/

      Hell these Romney's Bain capital even bought some of these voting machines on the run to the election:
      http://www.salon.com/2012/10/23/romney_linked_voting_machine_company_to_count_votes_in_ohio/

      Republicans are liars and cheats. They will use any underhanded method to rig the shit in their favor, and then they accuse the other side of doing it. Usually when there is little to no evidence of the other side doing anything, and even if they did two wrongs don't make a right.

      Mark my words, shit is being rigged against you, and I and the rest of the American public. Money will be funneled into corporate welfare programs, companies will pay no income tax, sometimes even receiving a refund. Fuck big business and the party of big business, the republicans.

    14. Re:They should first by dugancent · · Score: 1

      First off, I'm in no way a republican or conservative. Most importantly, though, is that it is of-topic. The comment about voting machines has nothing to do with Chinese IT systems.

      Nothing what-so-ever.

      --
      SJWs are the new boogeyman. -Me
    15. Re:They should first by dwye · · Score: 1

      Except that the voting machines probably have hardware from China.

      Granted, it is a bit of a stretch, but it IS on-topic. Blaming the machines' faults on Republicans, or pointing out that Chicago voters stay active in politics long after their deaths, however, is not.

      Or at least, so say I.

    16. Re:They should first by Tastecicles · · Score: 1

      except the chips that have laser-imprinted on the packages: "MADE IN TAIWAN", no absolutely nothing at all...

      --
      Operation Guillotine is in effect.
    17. Re: They should first by Anonymous Coward · · Score: 0

      Contrary to what the Chinese would like to believe, Taiwan is not a part of China.

    18. Re: They should first by philip.paradis · · Score: 1

      Contrary to what you might like to believe, Chinese influence in Taiwanese companies is rampant and incredibly deep.

      --
      Write failed: Broken pipe
  6. Yes. by Anonymous Coward · · Score: 0

    Enuf said.

  7. Take it further by Nidi62 · · Score: 4, Interesting

    Any government contract should be fulfilled with domestically sourced and manufactured parts whenever possible. If we can make it here, we should. If you want to create/protect jobs, it starts by keeping the money in the country as much as possible.

    --
    The only thing necessary for evil to triumph is for it to be pitted against a slightly greater evil
    1. Re:Take it further by rtb61 · · Score: 5, Insightful

      More importantly by forcing local supply you enable continuity of supply and are never subject to a foreign government dictating levels of supply. Local sourcing of all goods for all national infrastructure projects should be compulsory regardless of cost to ensure all those national infrastructure projects can be maintained without being forced to gain approval from a foreign government to allow that supply. That is a sane logical thing to do by any government and failure to do so when it is readily possible to treasonously betray the citizens of that country to the demands of another country, apparently based purely upon corporate executive greed.

      --
      Chaos - everything, everywhere, everywhen
    2. Re:Take it further by girlintraining · · Score: 1, Insightful

      Any government contract should be fulfilled with domestically sourced and manufactured parts whenever possible. If we can make it here, we should. If you want to create/protect jobs, it starts by keeping the money in the country as much as possible.

      Any government contract should be fulfilled with the best quality product at the agreed-upon price whenever possible. Those are my tax dollars buying those things... I don't want to pay a premium because of your political values. And paying more for a a product or service doesn't create or protect jobs. If I pay $2 for a $1 candybar at the gas station, it doesn't mean the gas station attendant gets paid more; Even if everybody overpays, it still doesn't create new jobs. Jobs are created based on labor needs, which are related, but not causally linked, to price (and by extension, supply and demand).

      And keeping money in the country as much as possible is an equally naive thing to strive for... money is just a financial instrument. It's a tool to enable the trade of goods and services. And any economist will tell you trade creates wealth, by the simple fact that as long as both parties are willing, they're both getting something they want. That means both parties are better off. Restricting international trade means that people in this country now have fewer choices and opportunities for trade... they are less wealthy because of that decision.

      The United States became an economic superpower because it has steadfastly refused to take up the ideology you're preaching: The restriction of international trade, closing of our borders, and producing everything internally. This is what Japan tried to do up until WWI, and thanks to us kicking in the door on their isolationist policies, they went from a feudalistic agricultural society to a modern economic power in the scant space of fifty years.

      Opening your economy to international trade provides enormous benefit to the domestic population -- provided that it is done with respect to maximizing trade for all citizens, not just the few and the wealthy.

      --
      #fuckbeta #iamslashdot #dicemustdie
    3. Re:Take it further by demonlapin · · Score: 4, Insightful

      No, no, no. No. This is a terrible idea.

      There is a very good argument to be made that all remotely sensitive government IT projects should use domestically designed and built products, because electronics can do sneaky things that are almost completely undetectable (cf. Stuxnet). When you're talking about steel for bridges, not so much. Forced local supply (especially for raw materials) ends up being just another opportunity for regulatory capture.

    4. Re:Take it further by ebno-10db · · Score: 2

      And any economist will tell you trade creates wealth

      What they'll actually do is cite a simplistic theory that claims that. Empirical verification is another story. But even the simplistic theory only holds under a very restrictive set of assumptions, like balanced trade. We haven't had balanced trade in 30 years.

      The United States became an economic superpower because it has steadfastly refused to take up the ideology you're preaching

      You're joking, right? Throughout most of its history the US was famous for its high tariff barriers, including the period when we became the world's foremost industrial power. Turns out Al Hamilton was a pretty smart guy.

    5. Re:Take it further by girlintraining · · Score: 1

      More importantly by forcing local supply you enable continuity of supply and are never subject to a foreign government dictating levels of supply.

      There is not a single thing in economic theory or practice where you can get something for nothing. There is always a tradeoff, and you're ignoring it here. By closing off international trade you jack up the cost of goods and services within your country and slow down your rate of economic growth because there's fewer trade opportunities. As a result, other countries which have a more open economic policy prosper while your own country stagnates.

      That is a sane logical thing to do by any government and failure to do so when it is readily possible to treasonously betray the citizens of that country to the demands of another country, apparently based purely upon corporate executive greed.

      Whoa there cowboy. Ease up on the rhetoric; you're making Kim Jong look good. There's nothing sane or logical about telling your citizens they have to pay more for something just to satisfy an emotional need. This is fear-mongering; not fact-based argumentation -- as evidenced by you using weasel-words like "treason", "greed", and some very black and white thinking if I do say so myself.

      Now how about we start over and you can tell me how the restriction of international trade benefits a country's economy. If you can, step up and collect your nobel prize in Economics.

      --
      #fuckbeta #iamslashdot #dicemustdie
    6. Re:Take it further by ThosLives · · Score: 1

      And any economist will tell you trade creates wealth, by the simple fact that as long as both parties are willing, they're both getting something they want.

      Not any economist I know!

      Wealth is exactly constant during a trade. Now, value may increase (if it's a good trade), but wealth is constant. Wealth is only created by manufacturing and agriculture. Wealth is destroyed by consumption and decay (or active destructive activity like demolition, or disaters).

      More trade may encourage the creation of new wealth, but it most definitely does not create it directly.

      --
      "There are a dozen opinions on a matter until you know the truth. Then there is only one." - CS Lewis (paraprhase)
    7. Re:Take it further by girlintraining · · Score: 1

      What they'll actually do is cite a simplistic theory that claims that. Empirical verification is another story. But even the simplistic theory only holds under a very restrictive set of assumptions, like balanced trade. We haven't had balanced trade in 30 years.

      There is only one restriction: It must be voluntary. If you accept that "restriction", then Trade creates wealth. It's always beneficial, provided it's voluntary. This isn't an assumption, and it doesn't require "balanced trade" (whatever the hell that is). It's simple, common sense.

      ou're joking, right? Throughout most of its history the US was famous for its high tariff barriers, including the period when we became the world's foremost industrial power. Turns out Al Hamilton was a pretty smart guy.

      High tariff barriers is one of the causes of the Great Depression. Economists throughout the country begged and pleaded with Congress not to do it. A few years later... our economy collapsed. Also, Al Hamilton is a canadian hockey player.

      --
      #fuckbeta #iamslashdot #dicemustdie
    8. Re:Take it further by Nidi62 · · Score: 2

      Opening your economy to international trade provides enormous benefit to the domestic population -- provided that it is done with respect to maximizing trade for all citizens, not just the few and the wealthy.

      And this is where it has failed. What have we gained by shipping electronic manufacturing overseas? People can buy a new phone or tablet or laptop every year for about $50-100 cheaper than if it were made here. But what have we given up? Tens of thousands of jobs, if not more that would have been generated by those factories: the construction to build the factories/houses/buildings, the workers to run the factories, the technicians to maintain the electronics and machinery in the factories (and the industries to make that machinery), the transportation(air, rail, and road) needed to move the supplies and the finished product. Require electronics used for government contracts to be made here, and all of this could come back to the country, since in all likelihood to maintain profitability these companies would have to expand into consumer products as well (at least the manufacturing ones would). Would the country not be better off with all these jobs, for the trade-off that you might have to work for an extra month to buy that new laptop, or wait one more year to get a new phone?

      And the US became an economic powerhouse simply because it had the fortune of access to a large amount of natural resources and it avoided playing host to very destructive wars such as WWI and WWII(yes, I know, the Civil War, but the US was far from an economic powerhouse then). The US became the powerhouse because no other state was capable, and we were able to mobilize our workforce to massively increase industry during and after WWII. And remember, the US was largely isolationist during the interwar period.

      --
      The only thing necessary for evil to triumph is for it to be pitted against a slightly greater evil
    9. Re:Take it further by viperidaenz · · Score: 1

      And why drain your own supplies of natural resources when you can drain those of someone else.

    10. Re:Take it further by Genda · · Score: 1

      Apparently you didn't get the memo... A) Government opens contract B) Corporation X with help of lobbyist gets contract C) Corporation X lobbies further to allow it to outsource work to the lowest international bidder ensuring the highest possible profit margin so Corporation X can keep a really impressive stable of lobbyists. D) One more "for sale" representative funds their next campaign war chest.

      Our government hasn't been protecting American Jobs for some time now. As for keeping money in the country... HAHAHAHAHAAHHHAHAAHHAAH... whew, that was really good. You have an awesome future in stand up. The only up side here is that we're wearing a dynamite vest and there's no place China can go that they won't be killed by the economic blast too. Top o the World MA!!! BOOM!!!

    11. Re:Take it further by Anonymous Coward · · Score: 0

      You seem to think that "wealth" is only material things like manufacturing and agriculture. You're a complete fucking idiot.

      No, wealth is not constant. Wealth is predicated on value you fucking moron, whether that value is in material things or valuable services.

      In a town full of fat lazy people who all own widgets, a man who carries people on his back down the street is creating more ~wealth~ than a man who makes widgets.

      You are an idiot.

           

    12. Re:Take it further by epyT-R · · Score: 2

      It doesn't. It can however help protect a country's sovereignty, especially in complex products that are easily perverted into trojan horses: like networking equipment, SCADA control hardware, and crypto chips used in financial and military communications, etc.. Even if the firmware for these is developed state side, it is possible to hide backdoors in the hardware as well. If these products are used as interconnects for critical infrastructure, it gives the manufacturing country strategic leverage. Obviously, it's prudent that we act to protect such infrastructure as much as possible, so ensuring the building blocks are not manufactured in hostile nations should be first-step common sense. Unfortunately, political correctness on the left and greed on the right have shoved this fact down to the bottom of the priority pile.

      The ability to provide the most critical and desired products locally is one of the cornerstones of a successful, free, and secure society. When it does come time to trade, it grants a stronger position, but, in our rush to build this 'global economy', we've undercut a lot of that intrinsic power, and without it, we'll always be someone else's bitch.

    13. Re:Take it further by Genda · · Score: 4, Insightful

      Okay let's give this a whack... so in the long haul, there may be valid arguments for opening borders to trade and flattening the global economy, but over the last 30 years, what has happened is that America has completely lost the ability to do heavy manufacture (robots are just now bringing that work back home, but not to human beings sadly.) Though corporations make out, workers get squished. More and more they begin to resemble the third world workers who have gotten their jobs, until the third world workers rising economically meet our workers on the way down. In 1950-70 the average American paid 20% of their wage to Housing, Interest and Taxes. Through the devaluation of American currency from pumping it by the trillions into the developing world's economies, through corporate interests spacing the American economy, through inflation/QE, through predatory corporate and government practice, the average American now spends 70% of his income on housing, interest and tax.

      I'm not even saying that the unnaturally high standard of living for the average American at the middle of last century didn't come at some high prices with respect to global competitiveness. I'm just saying the last 30 years have been a superating wound on the middle class with no end in site, and our government is about to cut the social safety net completely away leaving the poorest and least able to take care of themselves without means to live. When I see the vanishingly small population of disturbingly wealthy and powerful who have all made out like bandits (bandits being the oprerative phase here), I myself tend to long for the days a somewhat more protectionist American economy. Of course you may be one of those folks who've done well so clearly your mileage may vary

    14. Re:Take it further by ebno-10db · · Score: 1

      There is only one restriction: It must be voluntary. If you accept that "restriction", then Trade creates wealth. It's always beneficial, provided it's voluntary. This isn't an assumption

      No, its an assertion. And the cite you used to back it up is nothing more than a series of assertions, without real argument, theory or evidence. If you say something often enough, does that make it true?

      and it doesn't require "balanced trade" (whatever the hell that is)

      Please tell me you're joking when you claim not to know what balanced trade is, or why it matters. And here's a hint: almost every economist working on trade, from Ricardo on, has in their theories assumed that trade is balanced. Remove that assumption and most of the theories are invalid.

      It's simple, common sense.

      Ah, the last bastion of those without real arguments. It's common sense that the world is flat, it's common sense that heavier objects fall faster, it's common sense that light, being a wave, must travel through a medium like the aether.

      But the great irony is that the main argument for international trade, comparative advantage, violates "common sense", and has long been noted as such. By insisting on "common sense", you destroy the most powerful argument for trade!

      High tariff barriers is one of the causes of the Great Depression. ... A few years [after Smoot-Hawley] ... our economy collapsed.

      Bad history. Our economy collapsed in 1929. Smoot-Hawley was passed in 1930.

      Now Smoot-Hawley probably exacerbated the Great Depression, and was a bad idea. So why don't you tell China to drop its tariff barriers and domestic purchasing requirements, which are much greater than ours.

      You're missing the real story about tariffs and the Great Depression though. Our tariffs prior to Smoot-Hawley were still very high, which prevented European countries from exporting to us and using the revenue to pay off their WWI debts to us. Hence our trade surplus was a major factor in the banking crisis that started in Europe. Hmmm, large creditor country helps to wreck the world economy by insisting, by whatever means necessary, on maintaining a trade surplus. That was America in the 1920's ... and China today.

      Also, Al Hamilton is a canadian hockey player.

      If I gave a rat's ass about Canadian hockey players, I'd complain about him stealing the name of our first Secretary of the Treasury. You know, the one whose policies (including high tariffs) helped make the US the greatest industrial economy in the world for many years, instead of an agricultural backwater.

    15. Re:Take it further by mbkennel · · Score: 1

      "High tariff barriers is one of the causes of the Great Depression [wikipedia.org]. Economists throughout the country begged and pleaded with Congress not to do it."

      The US imposed tariffs against everybody, including say Canada and UK during the Depression. Nobody is proposing that now. Why isn't there a US-UK free trade agreement? And then, capital didn't move entire technological processes to other nations---that is not a win-win, it is a win-lose.

      China has lowered its currency artificially, causing imports to be more expensive and exports less expensive, the same economic result as a tariff. How has that hurt their economy? Where are the Smoot-Hawley theorists on that one.

    16. Re:Take it further by sjames · · Score: 2

      I didn't see him advocate closing off international trade, just making sure there exists a domestic source of critical infrastructure by having government source domestically. We at least want enough domestic manufacturing that the experianced people get a chance to pass their knowledge on before they retire just in case we ever have to ramp up again.

      Nothing in that says anyone else in the U.S. has to buy local.

    17. Re:Take it further by girlintraining · · Score: 1

      Well, keeping the capability on tap I have no problem with. If they want to keep a few research teams going and some small-scale production facilities around, I won't argue with that. But we're talking about some large departments with hundreds of millions a year in IT requirements. Those costs could easily double or triple -- and when we start talking about billions of dollars instead of millions, there's a noticable economic impact.

      We don't need to tie fear-mongering about chinese espionage into this initiative. If that's the reason, it can stand on its own merits, but we need to keep the costs down. That's all I'm interested in as a taxpayer -- don't buy premium when regular will do is all.

      --
      #fuckbeta #iamslashdot #dicemustdie
    18. Re:Take it further by Gadget_Guy · · Score: 1

      Those are my tax dollars buying those things... I don't want to pay a premium because of your political values.

      Actually, it is everyone's tax dollars buying those things, so why should your political values take precedence over anyone else's.

      And paying more for a a product or service doesn't create or protect jobs. If I pay $2 for a $1 candybar at the gas station, it doesn't mean the gas station attendant gets paid more;

      That doesn't sound like a supportable stance. When the economy gets tight the first thing that happens is a round of layoffs to reduce expenditure. This is in direct opposition to your argument.

      In the rush to provide cheaper prices, supermarkets in my area are moving towards self-service checkouts rather than employ extra people. If I want to support the jobs of people in my local community and shop at the only store that hasn't done this, then I have to pay more at the checkout.

      If a local manufacturing business can't afford to continue pay the wages of workers in this country then they will outsource production to cheaper countries (like China). Those businesses will still survive (at least in the short term), but it doesn't do much for protecting local jobs.

      And if the gas station can't charge $2 for a $1 candy bar, just how will the stations afford to pay the same wages to the attendants? You know, back in the day we used to have full service gas stations, rather than just one person stuck behind a counter. How's that job protection going?

      The United States became an economic superpower because it has steadfastly refused to take up the ideology you're preaching: The restriction of international trade, closing of our borders, and producing everything internally

      You become an economic superpower by being wealthy, which means selling more than you buy (although being a political and military superpower helps too). You can increase your exports in the short term by opening trade bilaterally, but eventually you just have the effect of evening the playing field until you no longer have superpower status and countries are more equal. To maintain the illusion of superpower status you have to live beyond your means and rely on credit.

      But I don't want to sound like I am against free trade. It certainly is important, but it is not the final word in economic policy. If you think that you can open your borders to free trade and then tick the box to say that the economy is done then you are being naive. It is more complicated than that, and rigidly sticking to an ideology without looking at real-world exceptions can be detrimental to society. Sometimes you still need to provide subsidies or protection to local businesses to ensure jobs creation, guarantee of supply, manage environmental impact, etc.

    19. Re:Take it further by Anonymous Coward · · Score: 1

      That's why I oppose drilling for oil in Alaska. Use up the foreign oil first. Then, when we have the only oil left, we'll be kings.

    20. Re:Take it further by tqk · · Score: 1

      Forced local supply (especially for raw materials) ends up being just another opportunity for regulatory capture.

      Then, in the case of China's rare Earths supply, they cut off the supply and raise their prices, and you're back wishing you'd never mothballed your own producers for being too expensive compared to the Chinese. It's such a complicated equation.

      --
      "Tongue tied and twisted, just an Earth bound misfit ..." -- Pink Floyd.
    21. Re:Take it further by Cwix · · Score: 1

      we need to keep the costs down. That's all I'm interested in as a taxpayer -- don't buy premium when regular will do is all.

      Horrid, horrid, horrid position to take.
      The only way to get it cheap, is to get it from someone you can't really trust. That is a very bad idea. You need to ask yourself, is it cheap because it's not "premium" or is it cheap to encourage its adoption?
      Remember to beware of Greeks bearing gifts.

      --
      You are entitled to your own opinions, not your own facts.
    22. Re:Take it further by thoth · · Score: 1

      Those are my tax dollars buying those things... I don't want to pay a premium because of your political values.

      Oh really? Well I get stuck paying for bullshit war, wall street bailouts, and corporate welfare - you want to talk about saving serious money instead of buget ROUNDOFF then let's talk about efficient government spending and political values.

      And paying more for a a product or service doesn't create or protect jobs.

      It definitely would with the right stipulations, basically "tech stuff needs to manufactured in the U.S. by citizens". Again, we're talking about the purchases of a few specific agencies, not the entire country and all corporations within it.

      The United States became an economic superpower because it has steadfastly refused to take up the ideology you're preaching

      We become a superpower more due to geography and not getting fucked up as bad as the rest of the world in WW2. Thanks to government spending after it was over, the economy boomed.

      thanks to us kicking in the door on their isolationist policies, they went from a feudalistic agricultural society to a modern economic power in the scant space of fifty years.

      It had a little more than forcing them into trade. We also rebuilt their country, and then stayed and protected them from China as revenge for various atrocities committed. They'd have been annexed by China had we left the region.

    23. Re:Take it further by JBMcB · · Score: 2

      Once the price rises enough, it becomes profitable to mine for the rare earth minerals in the US again. It's in China's best interest to keep supplies up, otherwise competition will start creeping in.

      Besides, Japan just found a ton of rare earth minerals in the seabed off their coast.

      --
      My Other Computer Is A Data General Nova III.
    24. Re:Take it further by khallow · · Score: 2, Informative

      I'm just saying the last 30 years have been a superating wound on the middle class with no end in site, and our government is about to cut the social safety net completely away leaving the poorest and least able to take care of themselves without means to live.

      I have a somewhat bitter solution here. Gut US spending everywhere so that the federal budget isn't a boat anchor on US competitiveness. Second, in addition to that, seriously cut back on anything that makes US workers more expensive. This includes environmental and worker safety regulation as well as some cutting of those "safety nets", particularly Social Security and Medicare/Medicaid (both which greatly harm labor competitiveness in the US).

      The focus here is on cost reduction of employment which means that some regulations may be retained just by changing how the business is required to report things to a less expensive method. But some other regulations should just be cut back or dropped such as weakening threshold limits for chemicals in the workplace.

      In addition, drop minimum wage substantially. I'd favor getting rid of it altogether so that the US isn't spending money at all on that particular regulation. Remember that the actual minimum wage is always $0 per hour. Anything above that is a win for your economy.

      Strip out prepaid medical care and elective medical care as a requirement of health insurance. Reverse Obamacare and get employers out of the health insurance business.

      And finally, I suggest growing up and reducing your expectations. The fundamental problem is that the pool of labor for global business has increased by a factor of several. Most of those people will work for much less than developed world workers do. Similarly, regulations are much less stringent leading to the greatest economic migrations of capital of all time.

      I'm somewhat sympathetic to concerns about the developed world and the US in particular becoming "third world". But keeping expensive systems in place while discouraging the growth of US businesses, is just hastening the US's decline in wealth. I figure a controlled reduction of standard of living is better than the "drowning man" approach of attempting and failing hard to maintain past standards of living. It's not going to be a wonderful place, if government is no longer able to regulate pollution or arrest criminals. You can have the best standards of law and regulation and still be a disaster merely because none of those laws are enforced.

      The US labor market has a particularly hard time because of all the punishments that have been heaped upon the act of employing someone. For example, a number of businesses are restructuring their labor force this year so that they can get under the 50 full time employees mark and save a lot of money (Obamacare charges a fine of $2k per employee past the first 30 employees for businesses that don't provide insurance, it's at least $40k in savings with this trick).

      For example, if you have 100 full time employees now, you can save $140k (which is several employees' salaries) by restructuring as a company that has oh, 40 full time employees and maybe 120 half time employees. That game is going to have nasty consequences for the US labor force down the road.

      I myself tend to long for the days a somewhat more protectionist American economy.

      So what? There are cases where protectionism has worked to build an economic powerhouse. Japan did it twice, once in the late 19th century and once after the Second World War in the "Japanese miracle". Paraguay did something similar in the mid 19th century (before its epic fail in the Paraguayan War). And a number of Far East countries have followed the blueprints of the Japanese miracle.

      So protectionism can work. But what do all of those have in common? An obsessive focus on industry building over labor. Labor always gets short shrift. Protectionism with a focus on labor or the "safety net" i

    25. Re:Take it further by khallow · · Score: 2
      Stop with teh common sense!

      Now how about we start over and you can tell me how the restriction of international trade benefits a country's economy. If you can, step up and collect your nobel prize in Economics.

      Several countries have successfully pulled off this protectionism trick. The idea is that you close your economy usually via high tariff barriers though there is at least one case of near complete banning of trade. And then you obsessive focus on building up your industry and such at the expense of everything else, particularly labor. When your industries are competitive again with the global market, then you can selectively open it back up to trade to bring in more capital for industry building. The problem comes in the end game. Your workers aren't going to want to do this forever. So you either normalize to a healthier less focused economy or do crazy stuff like invade neighbors in order to keep growing your economy.

      So who has done this? Japan did it twice. First, after it was coerced into opening itself for trade in 1853, and second, after the Second World War. Several countries have copied to some degree the strategy of the second time, I know of Taiwan, South Korea, China, Singapore, and Vietnam.

      Another case which is particularly bizarre is Paraguay of the early 19th Century. From 1814 until 1864, Paraguay built up a powerful, industrial police state and then subsequently obliterated it in a massive war with three of its neighbors (Brazil, Argentina, and Uruguay). It's particularly notable because virtually all trade with the outside world was blocked for most of that time.

      Having said that, I note that it appears that the people advocating protectionism are doing so to protect labor benefits rather than hardcore industrial build up. I think that will be disaster at least of the scale of the Smoot Hawley tariff act during the Great Depression.

    26. Re:Take it further by Anonymous Coward · · Score: 0

      While I agree with you, consider what the attack on this will be.

      So you clearly support protectionism, presumably using tariffs, in this case. Do you support protectionism in other industries? Steel? Wheat? Electrical power? Textiles?

      Essentially you are saying you want to do a roll-back of a major part of globalization. Are you suggesting, perhaps, going back to a highly unionized labor-force as well? The two are strongly linked.

      Personally, I think this would be _the_ way to drastically improve your economy as well as the deplorable living standards you currently suffer under. Just about the only things that would have more of an effect would be tax-funded publicly available healthcare and public education through university level.

    27. Re:Take it further by jewens · · Score: 1

      In 1950-70 the average American paid 20% of their wage to Housing, Interest and Taxes... now spends 70% of his income on housing, interest and tax.

      That includes too many variables to derive any meaningful insight.

      Here let me make it worse: In 1950-70 the average American paid 21% of their wage to Housing, Interest, Taxes and Porn... now spends 71% of his income on housing, interest, tax and porn. Clearly we must take action to reverse the unstatainable upward trend in pornography costs.

      --
      That group of bovine standing over there appears quite portentous. That's right it's an ominous cow herd.
    28. Re:Take it further by khallow · · Score: 1

      the main argument for international trade, comparative advantage, violates "common sense"

      It doesn't. One can see it in action in a group of people where one person is much more skilled than the rest (eg, an amateur home improvement job where an unskilled group is directed by someone who knows what they're doing). The experienced person can do all of the jobs better and faster than any of their unskilled companions, but in turn they don't get any of the advantages of having that labor unless those other people do some work. Common sense implying comparative advantage.

      As to the assertion that trade builds wealth, well, voluntary trade is mutually beneficial (unlike externalities), else it wouldn't happen. And that's the condition you need to build wealth via trade.

      Bad history. Our economy collapsed in 1929. Smoot-Hawley was passed in 1930.

      No. Our economy collapsed for the next four years after the stock market crash. Smoot Hawley and the subsequent tariff war was a big part of what made that happen. I think sensible money policy and no tariff war would have resulted in a shorter recession.

    29. Re:Take it further by khallow · · Score: 1

      China has lowered its currency artificially, causing imports to be more expensive and exports less expensive, the same economic result as a tariff. How has that hurt their economy?

      That generates inflation which harms those who save money or lend it.

    30. Re:Take it further by Anonymous Coward · · Score: 1

      Thanks for reciting the failed policies that created the situation described by the commenter before you

    31. Re:Take it further by sjames · · Score: 1

      But we're talking about some large departments with hundreds of millions a year in IT requirements.

      That may sound like a lot, but it really isn't. Remember, that the volume must be large enough to make it worthwhile to set up manufacturing in the U.S. and to make running those production lines profitable. Otherwise, the RFQs will just go unanswered. If it is just barely enough, the unit prices will be higher than if the volume was increased.

    32. Re:Take it further by Anonymous Coward · · Score: 0

      Any government contract should be fulfilled with domestically sourced and manufactured parts whenever possible. If we can make it here, we should. If you want to create/protect jobs, it starts by keeping the money in the country as much as possible.

      Why not just close the borders and end trade for all products that could conceivably be made in America? Then you are guaranteed to keep the money in the country. The same argument applies to states - each state has an interest in keeping the money in that state. So let's end interstate commerce - all of it, except for products that could not conceivably be made in that state. Each county has the same sort of interest, so let us end inter-county trade within states - except for products that could not conceivably be made in that county.

      I bet you think this is a terrible idea, so you are admitting that there is some kind of benefit to trade, even for things that could conceivably be made in your own region. Perhaps you are thinking of the benefits of large-scale production and specialization. Perhaps you are thinking of something else. In any case, whatever benefits you do see in trade, your post did not account for those benefits and it did not say why those benefits does not apply to countries. Now I'm pretty sure they do, but if you want to disagree with me and close the borders anyway, you should at least be aware of why you don't think those benefits matter. Currently it seems pretty clear that you haven't even considered the issue.

    33. Re:Take it further by Anonymous Coward · · Score: 0

      The problem pointed out by the grandparent is that the middle class is getting gutted. Your solution to that is to decrease minimum wage, remove worker protections and so on. That doesn't even compute. Your solution is to make the problem the grandparent complained about worse.

    34. Re:Take it further by drinkypoo · · Score: 2

      Besides, Japan just found a ton of rare earth minerals in the seabed off their coast.

      This is not good news. Japan only cares about their local environment, which is why they are buying up timber as rapidly as they can, and why they consistently lied about the extent of the Fukushima disaster, and why the Japanese are still known for whaling.

      This does not distinguish them from the USA, but it's still not good news.

      --
      "You're right," Fisheye says. "I should have set it on 'whip' or 'chop.'"
    35. Re:Take it further by drinkypoo · · Score: 1

      Okay let's give this a whack... so in the long haul, there may be valid arguments for opening borders to trade and flattening the global economy, but over the last 30 years, what has happened is that America has completely lost the ability to do heavy manufacture (robots are just now bringing that work back home, but not to human beings sadly.)

      This is a lot of cockery. First, the USA is still the world's leader in heavy manufacturing. If you want a big machine made, or a lot of big machines made for that matter, we're still the people to talk to and always have been. Second, it is not sad that humans are not getting work that can be done by robots. What is sad is that your right to exist is tied to your performance as a mercantilist or mercantilist's slave. COLA, anyone?

      --
      "You're right," Fisheye says. "I should have set it on 'whip' or 'chop.'"
    36. Re:Take it further by drinkypoo · · Score: 1

      The United States became an economic superpower because it has steadfastly refused to take up the ideology you're preaching:

      That's a lot of shit. The United States became the world's primary economic superpower due to its behavior in WWII. We sold the Third Reich the materials they needed to make war on the world, then we cut them off quite late in the conflict and jumped in, and then placed economic and other limitations on the competition to ensure that we would end up on top of the world.

      --
      "You're right," Fisheye says. "I should have set it on 'whip' or 'chop.'"
    37. Re:Take it further by Isao · · Score: 1

      Yeah, 40 years of that worked REAL well for India.

    38. Re:Take it further by sFurbo · · Score: 1

      That would also make the contracts much more expensive, meaning that more tax needs to be collected to fulfill them, harming local business. Basically, it is the broken window fallacy.

    39. Re:Take it further by ebno-10db · · Score: 1

      the main argument for international trade, comparative advantage, violates "common sense"

      It doesn't.

      Not everybody has the same "common sense". I never thought comparative advantage terribly counter-intuitive either, but many people do. Hence an appeal to "common sense" in defense of trade is a poor, and ironic, approach.

      Bad history. Our economy collapsed in 1929. Smoot-Hawley was passed in 1930.

      No. Our economy collapsed for the next four years after the stock market crash.

      Agreed, but SH still didn't cause the GD. It would have happened without it.

      Smoot Hawley and the subsequent tariff war was a big part of what made that happen.

      That's been exaggerated. Trade was simply not that much of our economy back then. Even a devout free trader like Milton Friedman concluded that SH was a minor factor.

    40. Re:Take it further by Anonymous Coward · · Score: 0

      It doesn't compute because you're applying Liberal notions. Just like the idiot that called it what caused the situation.

      You seek equality of results, when you should seek equality of opportunity.

      You seek having a nanny state, when you should seek less intervention (Minimum wages do NOT improve conditions- and it's a documented fact... But keep believing the lies you're getting told because they validate what you feel to be the case...).

      Define removing worker protections. If you think the "protections" that they're coming up with now are there for the workers, I've a bridge to sell you. Most of them are there as a drag on the businesses. Moreover, there's things you just simply can't make "safe" regardless of your feelings on the matter.

    41. Re:Take it further by Anonymous Coward · · Score: 0

      Actually, let me inject a bit of reality back into your bullshit...for that's what it is.

      Inflation, increases in taxes (trust me, they've went up everywhere and don't look to be going down anytime soon without quite the pushback...), and the like changed that ratio. That's what the parent post was talking to. You injected an irrelevant staw-man into the mix. It should be of concern that the ratio changed, but that doesn't validate any of your feelings, so you'll play bullshit games like you did to try and change the subject, feeling that you're an "intellectual" while doing it.

    42. Re:Take it further by Anonymous Coward · · Score: 0

      Yes take it further. Say, now I am the king, you are the slave of the king, he who stands at the will of the king (aka, i decide if you live die procreateor or eat or when you can go take a dump). Believe me, it gets down to that, who is the baddest ass in town, Don't talk down wages, religion says you have to bow too the king, or religion is a gonner, after all Is the magic sky being greater then the man standing on your neck with a sword or an axe?
      You talk protectionism. I agree it will work, if we revert to a few robber-barons. Just like the example above. But would Europe, Africa,China, or Japan succeed. They need you/us more then they need themselfs(they need us moore then we need them). They need our production capacity, our ruling class, to feed them, and too educate them. Or They do not progress, until the american system produces an idea that moves them foward. They keep defaulting too honor a tradition, we foster the idea that tradition be damned, lets try this! Sometimes it works. And moves society forward.

    43. Re:Take it further by khallow · · Score: 1

      They have to be implemented first in order to create any situations. People tend to forget that.

    44. Re:Take it further by khallow · · Score: 1

      The problem pointed out by the grandparent is that the middle class is getting gutted. Your solution to that is to decrease minimum wage, remove worker protections and so on. That doesn't even compute. Your solution is to make the problem the grandparent complained about worse.

      The problem here is your perception. No matter what we do, US labor is going to face some degree of gutting. That's because when you add several billion people to the global labor force, labor becomes less valuable and capital more valuable. That's the fundamental dynamic.

      It'll probably take at least 50 years to start getting better just because there's still Africa to go to for cheap labor after the current group of countries's labor costs go up.

      Things like the so-called "safety net" are making this problem worse by driving employers away or encouraging them to hire less people. And that in turn will result in less tax revenue for the "safety net".

      My approach is simply to cut these costs now rather than later when we're in more dire straits. Consider what's happening in Europe right now. A number of countries are failing and going through a painful adjustment at a really bad time to be doing it. The reason "austerity" hurts so much here is because they did nothing until they got into a situation where they left themselves no other choice.

      I believe we'd see immediate benefits in economic growth and more productive work for everyone (there's a considerable portion of the US that isn't working right now, but could be. They're in prisons, schools, on disability, early retirement, etc). In the long run, I think it would slow the decline of the US economy relative to the rest of the world and give us a stronger economic foundation so that we can return to the current standard of living faster than if we continue to struggle in the spider web.

    45. Re:Take it further by khallow · · Score: 1
      There's no kingdom here. So your whole first paragraph is irrelevant.

      ut would Europe, Africa,China, or Japan succeed. They need you/us more then they need themselfs

      Absurd. Trade make some things better, but there's just not that level of "need" out there.

    46. Re:Take it further by Anonymous Coward · · Score: 0

      Why am I seeing visions of "The Jungle" or of those historical company towns I remember hearing about. 16 hour days, cheap and low quality company housing, payment in coupons only redeemable at the company store...

    47. Re:Take it further by thejynxed · · Score: 1

      I take it you'll be the first to work for the ten cents per hour the companies will be willing to pay you if minimum wage is revoked, and you'll keep your complaints to your fucking self about it.

      --
      @Mindless Drivel: 100% of Twitter posts ever Tweeted.
    48. Re:Take it further by Beezlebub33 · · Score: 1

      This only works when the barrier to entry into the market is fairly low. The cost / difficulty in stopping and then re-starting a mine and associated processing pipeline is significant. It is worth a small but long-term supported effort to ensure that the US has the capability to mine and process the materials quickly as necessary. The continued presence of that capability will help keep prices low and supplies flowing. The threat of competition is far more effective when a limited capability exists rather than being a theoretical possibility.

      Other industries can be more or less effected or more or less critical to national interests. For example, we don't need to maintain a domestic production of clothes. They can be produced in many places and production can and does shift rapidly when needed. On the other hand, the cost / difficulty of stopping and re-starting the ability to produce nuclear reactor containment vessels has a huge barrier for entry; I believe that there is only one place (in Japan) that currently has the capability. Fortunately, that isn't a critical national interest.

      --
      The more people I meet, the better I like my dog.
    49. Re:Take it further by sociocapitalist · · Score: 1

      At first I thought you were being ironic. Then somewhat beyond belief I realized that you weren't.

      US (and other developed, educated, industrialized countries) workers should not have to accept a drastic reduction of standard of living and safety of the workplace so that the owners of companies can make more money.

      I'm just saying the last 30 years have been a superating wound on the middle class with no end in site, and our government is about to cut the social safety net completely away leaving the poorest and least able to take care of themselves without means to live.

      I have a somewhat bitter solution here. Gut US spending everywhere so that the federal budget isn't a boat anchor on US competitiveness. Second, in addition to that, seriously cut back on anything that makes US workers more expensive. This includes environmental and worker safety regulation as well as some cutting of those "safety nets", particularly Social Security and Medicare/Medicaid (both which greatly harm labor competitiveness in the US).

      Like public education? Certainly that makes American workers more expensive, this whole education thing. In fact, since we're cutting public education and we're removing health and safety laws we can let children work again say from the age that they can walk or so. Can reduce the cost of unskilled labor right down to south Asian levels in about five years that way right?

      If you're going to cut Medicare/Medicaid you might as well stop paying social security benefits to the old while you're at it, since that system is already more or less bankrupt. Hell with it let's just off all the folks who can't work just like Hitler's Nazi Germany. Save a lot of money that way and we'll be more competitive against cheap ignorant foreign child labor.

      The focus here is on cost reduction of employment which means that some regulations may be retained just by changing how the business is required to report things to a less expensive method. But some other regulations should just be cut back or dropped such as weakening threshold limits for chemicals in the workplace.

      That's a start but you can really cut costs by eliminating all health and safety regulation and after all...that's the focus - to save money for corporations, not to ensure any standard of living for the workers.

      In addition, drop minimum wage substantially. I'd favor getting rid of it altogether so that the US isn't spending money at all on that particular regulation. Remember that the actual minimum wage is always $0 per hour. Anything above that is a win for your economy.

      Yes the economy is certainly more important than having a sub-class of people who cannot afford to live. No doubt we can bring back indentured labor too - oh hell and slavery too because that was GREAT for the economy!!

      Strip out prepaid medical care and elective medical care as a requirement of health insurance. Reverse Obamacare and get employers out of the health insurance business.

      An excellent idea then we can be just like India with no healthcare at all for the poor. The rampant diseases might come back though and keep in mind that your kids will no longer be protected by herd immunity so you'll be putting your own family at risk but hell, that's a small price to pay for the MONEY WE WOULD SAVE!

      And finally, I suggest growing up and reducing your expectations. The fundamental problem is that the pool of labor for global business has increased by a factor of several. Most of those people will work for much less than developed world workers do. Similarly, regulations are much less stringent leading to the greatest economic migrations of capital of all time.

      Yes, why should hard working people have any expectations of earning a decent wage and having some minimum standard of living that includes education and

      --
      blindly antisocialist = antisocial
    50. Re:Take it further by datavirtue · · Score: 1

      For example, if you have 100 full time employees now, you can save $140k (which is several employees' salaries) by restructuring as a company that has oh, 40 full time employees and maybe 120 half time employees. That game is going to have nasty consequences for the US labor force down the road.

      The local community college, which employes many part time people, just initiated phase one of dealing with Obama care. The part-time employees who had 30 - 39 hours all got mandated down to 29.5hours per week, no more. On top of that, a lot of part-time people were adjunct professors who can no longer teach (well, the choice is teach OR work part time) because teaching classes brings them over the 29.5 hours. Some of the adjunct taught a lot of classes which must be reduced due to the week-hours formula.

      --
      I object to power without constructive purpose. --Spock
    51. Re:Take it further by khallow · · Score: 1

      US (and other developed, educated, industrialized countries) workers should not have to accept a drastic reduction of standard of living and safety of the workplace so that the owners of companies can make more money.

      That's ok. Your acceptance isn't required.

      Like public education?

      The US spends more per student adjusted for standard of living (PPP) than all but a handful of countries and it gets a relatively weak educational outcome for that money spent.

      And what's the point of all your other nonsense, if the US doesn't have an economy to support all the stuff you want? My approach keeps and strengthens that economy. Your approach loses that economy and turns the US into another Ottoman empire, no called something like the "sick man of the west" that everyone would be waiting on to croak.

      I for one am for protecting the standard of living that our recent forefathers fought for.

      Then implement my suggestions. That what will work.

    52. Re:Take it further by khallow · · Score: 1

      I take it you'll be the first to work for the ten cents per hour the companies will be willing to pay you if minimum wage is revoked, and you'll keep your complaints to your fucking self about it.

      I will no doubt be earning a bit less. But I'm willing to sacrifice for the future of my society. Are you?

    53. Re:Take it further by khallow · · Score: 1

      Why am I seeing visions

      Brain damage due to ideological indoctrination. That time was then, this is now.

    54. Re:Take it further by demonlapin · · Score: 1

      That has always been my attitude toward our "dependence on foreign oil". Use up the rest of the world's supply while it's cheap and save ours for when it really gets expensive.

    55. Re:Take it further by causality · · Score: 1

      That would also make the contracts much more expensive, meaning that more tax needs to be collected to fulfill them, harming local business. Basically, it is the broken window fallacy.

      Sadly, taxes have had no real relationship to the government's need for revenue (spending, interest on dets) for a very long time now. I don't think that necessarily argues against your idea, but it does complicate it.

      --
      It is a miracle that curiosity survives formal education. - Einstein
    56. Re:Take it further by strikethree · · Score: 1

      I'm not even saying that the unnaturally high standard of living for the average American at the middle of last century didn't come at some high prices with respect to global competitiveness.

      Unnaturally high?! Really? We built stuff for ourselves that gave us electricity, running water, roads, and telephones for our use. If we had not built it, we would not have it. How is it unnatural? Did we raid Mexico, steal their roads, and bring them up to the USA? Did we launch an invasion into India and steal their telephone wires for use back home?

      No. We built all that shit. The only unnatural or stolen part is the excessive wealth that very very few people get to enjoy. As far as roads, electricity, medical care, etc. we built it on our own. It is ours. We did not take from anyone else to build it. There is nothing unnatural about our lifestyle. Get that out of your head now.

      --
      "Someone needs to talk to the tree of liberty about its ghoulish drinking problem." by ohnocitizen
    57. Re:Take it further by sociocapitalist · · Score: 1

      US (and other developed, educated, industrialized countries) workers should not have to accept a drastic reduction of standard of living and safety of the workplace so that the owners of companies can make more money.

      That's ok. Your acceptance isn't required.

      Unfortunately in all probability you are right and people like you will continue to fuck up the American standard of living under the short sighted and narrow minded vastly mistaken belief that corporate profits and the right to carry guns are all that matters.

      Like public education?

      The US spends more per student adjusted for standard of living (PPP) than all but a handful of countries and it gets a relatively weak educational outcome for that money spent.

      When you have a system that is necessary but doesn't work correctly you fix it..you don't just shut it off.

      The US should be looking at the educational (and health) systems that work best and modeling itself after them...but oh wait..that would be socialist and therefore must be bad.

      And what's the point of all your other nonsense, if the US doesn't have an economy to support all the stuff you want? My approach keeps and strengthens that economy. Your approach loses that economy and turns the US into another Ottoman empire, no called something like the "sick man of the west" that everyone would be waiting on to croak.

      You haven't answered the vast majority of my 'nonsense' comments I made on your original post. It seems that you are very good at spouting right wing corporate republican bullshit but not very good at addressing individual points made against it.

      Your approach results in an economy where only the major shareholders of corporations make money and the rest of the population slides into decline, eventually being unable to afford to buy the products and services being sold by the very corporations that you support so blindly.

      You also need to consider the effect of outsourcing manufacturing on the companies that you love so well. Companies that give their designs and technology to competing countries who copy and sell the same product back for lower than what they're charging the original company to start with will eventually be driven out of business.

      What is the long term effect on American companies where the CEOs sell off proprietary technology for great short term profits (resulting in huge bonuses for themselves of course)?

      What is the benefit of increasing the profits of American companies who outsource R&D to India (for example), their manufacturing to China (for example) and their profits to the Bahamas (for example) ?

      I for one am for protecting the standard of living that our recent forefathers fought for.

      Then implement my suggestions. That what will work.

      Your suggestions do not, in the long run, support any standard of living for anyone but the extremely rich. Your suggestions move us backward towards the middle ages with an ignorant working class and a privileged elite.

      America has many problems that need to be fixed but reducing the vast majority of the population to serfs is not going to help anyone but the very small percentage of people at the very top.

      I am a reasonably successful small business owner who was born into a very poor family that relied on the food stamps, welfare and free education that you scorn to enable me to avoid a life of unskilled labor to where I am today - paying taxes and supporting the society that made it possible for me to improve my situation in life and be in a position to argue against people like yourself who can't see further than their next paycheck and the taxes that would be taken out of it.

      --
      blindly antisocialist = antisocial
  8. Betteridge by Anonymous Coward · · Score: 0

    Well, Betteridge's Law of Headlines says "no"...

  9. An exception by Anonymous Coward · · Score: 0

    This is an exception Betteridge's law of headlines, which only applies when the question is not mindbendingly stupid.

  10. Full Retard Mode Activate! by girlintraining · · Score: 0

    New federal restrictions now preclude four U.S. agencies from buying information-technology (IT) systems from manufacturers 'owned, directed or subsidized by the People's Republic of China.'

    Besides violating over a dozen international treaties, and you basically can't buy a computer without having at least some of its parts source, assembled, or otherwise passing through China, there's also the problem that due to a long two hundred plus year history of using this labor-saving device known as chinese people to build our railroads, infrastructure, factories, etc., we don't have much in the way of domestic production capabilities for many of the major components of modern IT systems. Simply put, you've doomed those four agencies to exorbinant costs and auditing control measures to address an unsubstantiated claim that there may be espionage/surveillance capability built into some devices.

    And let me be clear: No government or private agency has come forward with conclusive proof that any product made in China for commercial resale has these capabilities built into it at the direction of the Government. In fact, no such capability has been discovered yet from which to raise this question.

    The economic and political rammifications of this are being glossed over -- this action doesn't just affect our relationship with China, but with any country we do business with, because they signed the same treaties, and now they're looking at our unilateral action and thinking: What makes us think the US won't renege on their deal with us?

    --
    #fuckbeta #iamslashdot #dicemustdie
    1. Re:Full Retard Mode Activate! by Anonymous Coward · · Score: 0
    2. Re:Full Retard Mode Activate! by Anonymous Coward · · Score: 1

      ^^ This post was paid for by the People republic of China

    3. Re:Full Retard Mode Activate! by Anonymous Coward · · Score: 1

      No government or private agency has come forward with conclusive proof that any product made in China for commercial resale has these capabilities built into it at the direction of the Government.

      There's no conclusive proof that voting machines are rigged, ether. Should we guard against both, or one but not the other, or neither?

    4. Re:Full Retard Mode Activate! by Anonymous Coward · · Score: 0

      hahahahaha.
      *pause for breath*
      hahahahaha

      Are you really that naive? They do it to us and we do it to them.

    5. Re:Full Retard Mode Activate! by Improv · · Score: 4, Informative

      Depends on what you mean by conclusive, but there's a motive and there's a capability. For the capability part, see:

      http://www.schneier.com/blog/archives/2012/05/backdoor_found.html

      --
      For every problem, there is at least one solution that is simple, neat, and wrong.
    6. Re:Full Retard Mode Activate! by Anonymous Coward · · Score: 0

      We should definitely guard against ether!

    7. Re:Full Retard Mode Activate! by Anonymous Coward · · Score: 0

      Some of us are old enough to remember the last DRAM tariff war back in the 1998. It wasn't pretty.
      http://www.electronicsweekly.com/articles/05/03/1998/6626/us-tariffs-placed-on-korean-drams.htm

    8. Re:Full Retard Mode Activate! by ebno-10db · · Score: 2

      Besides violating over a dozen international treaties

      Which would be so awful because China always honors its treaty obligations. Oh, except for not having a convertible currency, even years after they were obligated to by treaty, and manipulating their currency, and having illegal tariffs of as much as 35% on car parts (not to mention many other things), and ...

      The first couple of times you don't retaliate you're taking the high road. After that you're just being a chump.

      due to a long two hundred plus year history of using this labor-saving device known as chinese people to build our railroads, infrastructure, factories, etc., we don't have much in the way of domestic production capabilities for many of the major components of modern IT systems

      Wow, talk about confused history. Those Chinese people building our railroads were called immigrants, hence that production was domestic. As incredibly hard working as those people were, I don't think they spent much time building IT equipment. However, many of their descendants did, but they're now getting screwed just like other American citizens.

      And let me be clear: No government or private agency has come forward with conclusive proof that any product made in China for commercial resale has these capabilities built into it at the direction of the Government.

      Good point. Never take precautions. Here in NY we've decided not to prepare for another hurricane because we have no proof that another one will occur.

    9. Re:Full Retard Mode Activate! by Anonymous Coward · · Score: 5, Informative

      you basically can't buy a computer without having at least some of its parts source, assembled, or otherwise passing through China

      For really top secret stuff, you can, they should, and they do. It goes as far as getting the NSA its own chip fabrication facility at ft. meade. Do you want to work there?

    10. Re:Full Retard Mode Activate! by girlintraining · · Score: 2

      Depends on what you mean by conclusive, but there's a motive and there's a capability.

      The motive is specious at best. China's economy is growing at 7.8% annually, and while its slowing down, that's still beating the snot out of our 2.2% rate. And the purchasing power of both the US and China are comparable -- about $12 trillion USD. China's economy depends heavily on international trade, and the major buyer of Chinese goods is the United States, clocking in at 17.1% of it's total export capacity. Screwing up trading with its biggest partner would cause them an unacceptable level of economic crisis, and quite possibly destabilize global markets as well. China may not like the United States, but it's not about to shoot itself and the rest of the world in the head.

      As for capability, as Schneier points out in his own article, the majority of IT systems, commercial, industrial, residential, all have backdoors in them. It shouldn't be a surprise that military IT equipment also has some. And as he later points out, this may have simply been put in to assist in debugging; As so many backdoors are often created with that specific purpose in mind.

      All I'm saying here is that the arguments being made by the intelligence committee are specious. I'm not saying they're meritless, but that they fall well short of conclusive, and barely meet the standard for suspicious.

      --
      #fuckbeta #iamslashdot #dicemustdie
    11. Re:Full Retard Mode Activate! by Tailhook · · Score: 3, Insightful

      Besides violating over a dozen international treaties

      [Citation needed]

      I suspect the treaty situation isn't anywhere near as clear cut as that. Those agreements are riddled with exceptions.

      Besides, every single one of those treaties, like our Constitution, is not a suicide pact. The President has said "national security" and every one of those documents is trumped. If We The People don't like it we can, through our Representatives, impeach, amend the constitution or march on Washington with pitchforks.

      I predict none of those things is going to happen.

      And let me be clear: No government or private agency has come forward with conclusive proof

      Not relevant. We need not wait until we're exploited by Chinese hardware to justify our actions. We have at least two good reasons to anticipate hostile intent. First, we already know we're dealing with a government that is actively attacking our IT systems. Second, we've done the same to others.

      The economic and political rammifications of this are being glossed over -- this action doesn't just affect our relationship with China, but with any country we do business with, because they signed the same treaties, and now they're looking at our unilateral action and thinking: What makes us think the US won't renege on their deal with us?

      You have as your premise some deep respect for all these treaties and agreements. I believe most of these documents, particularly the trade agreements, are products of narrow interests creating special conditions for their exclusive benefit. I believe most of them amount to throwing open the ports and hobbling the port authorities to flood the US with stuff from places with no EPA, OSHA, NLRB, IRS, etc. I do not share your reverence for that crap.

      As for the economic consequences; we've managed to survive and prosper without running our government on Huawei gear. I predict we can continue to afford to do without it.

      --
      Maw! Fire up the karma burner!
    12. Re:Full Retard Mode Activate! by wiredlogic · · Score: 1

      The Chinese were creating backdoored bootleg Cisco gear. I would surmise that violates a few international treaties and is justification for taking protective measures.

      --
      I am becoming gerund, destroyer of verbs.
    13. Re:Full Retard Mode Activate! by Anonymous Coward · · Score: 0

      Sorry, it is substantiated.............decision was not made in a vacuum.

    14. Re:Full Retard Mode Activate! by Anonymous Coward · · Score: 0

      And let me be clear: No government or private agency has come forward with conclusive proof that any product made in China for commercial resale has these capabilities built into it at the direction of the Government. In fact, no such capability has been discovered yet from which to raise this question.

      That's nice.

      Now let me be clear.

      We've gone to war over a hell of a lot less.

    15. Re:Full Retard Mode Activate! by viperidaenz · · Score: 2

      Any backdoors that are hidden and not disclosed to the customer should be treated as malicious.

    16. Re:Full Retard Mode Activate! by Dzimas · · Score: 1

      ... And China's inflation rate is climbing, with food costs up about 6% since last year. Much as it's nice to tout blistering GDP growth, it carries significant inflationary risk. The more important question: "Can or should governments aim for perpetual economic growth?"

    17. Re:Full Retard Mode Activate! by jeff4747 · · Score: 1

      And let me be clear: No government or private agency has come forward with conclusive proof that any product made in China for commercial resale has these capabilities built into it at the direction of the Government

      Because such information would not be classified, right? The US government would immediately run to the media to announce all the classified information that had been stolen by "special features" in Chinese hardware.

    18. Re:Full Retard Mode Activate! by russotto · · Score: 1

      there's also the problem that due to a long two hundred plus year history of using this labor-saving device known as chinese people to build our railroads, infrastructure, factories, etc., we don't have much in the way of domestic production capabilities for many of the major components of modern IT systems.

      Not a problem; we'll just settle our differences with Kim Jong-un and have the computers made in Kaesong, where labor is even cheaper.

    19. Re:Full Retard Mode Activate! by thoth · · Score: 1

      Besides violating over a dozen international treaties

      The economic and political rammifications of this are being glossed over -- this action doesn't just affect our relationship with China, but with any country we do business with, because they signed the same treaties, and now they're looking at our unilateral action and thinking: What makes us think the US won't renege on their deal with us?

      What? Which treaties require 4 particular U.S. agencies to purchase IT systems from the PRC?

    20. Re:Full Retard Mode Activate! by girlintraining · · Score: 1

      I suspect the treaty situation isn't anywhere near as clear cut as that. Those agreements are riddled with exceptions.

      Ask and ye shall receive. "In the event either Contracting Party applies quantitative restrictions to certain products originating in or exported to any third country or region, it shall afford to all like products originating in or exported to the other country treatment which is equitable to that afforded to such third country or region." Seems pretty clear cut to me.

      Besides, every single one of those treaties, like our Constitution, is not a suicide pact. The President has said "national security" and every one of those documents is trumped. If We The People don't like it we can, through our Representatives, impeach, amend the constitution or march on Washington with pitchforks.

      Yes, we can also commit mass suicide too. That doesn't mean we should. The President can say "national security" all he wants, but all I have to reply with is "Impeach" and that problem goes away pretty fast. What's your point in all of this? You're discussing theoreticals. My post was about actualities -- the actual facts are that China-US trade is critical to the stability of the global markets. 17% of China's exports are to the United States. We're their #1 destination. Why would they choose to fuck that up? And if we're going to shoot ourselves in the foot on this, wouldn't it behoove us to have somewhat more conclusive proof than a Fox News scareisode about how the Chinese want to destroy us all with their backdoors of mass destruction?

      You have as your premise some deep respect for all these treaties and agreements. I believe most of these documents, particularly the trade agreements, are products of narrow interests creating special conditions for their exclusive benefit.

      Okay, my turn: "Citation needed" Belief is not a rational basis from which to decide economic policy.

      I believe most of them amount to throwing open the ports and hobbling the port authorities to flood the US with stuff from places with no EPA, OSHA, NLRB, IRS, etc. I do not share your reverence for that crap.

      Again, prove it. They may not have an EPA, an OSHA, and NLRB, an IRS, or a bunch of other three and four letter acronym'd agencies, but none of that matters. Do the products meet specification, or don't they? If they do, let them in. If not, send them back. This is a very simple policy decision to make, and it requires no reverence, or belief.

      --
      #fuckbeta #iamslashdot #dicemustdie
    21. Re:Full Retard Mode Activate! by Camael · · Score: 1

      Besides violating over a dozen international treaties...

      Untrue. There are exceptions to WTO treaty obligations, one of which includes national security.

      ...an unsubstantiated claim that there may be espionage/surveillance capability built into some devices.And let me be clear: No government or private agency has come forward with conclusive proof that any product made in China for commercial resale has these capabilities built into it at the direction of the Government.

      There were many claims from many different parties that the Chinese government engaged in active spying/covert intelligence gathering on New York Times, Google, RSA. And those are just the ones we know. Lets also not forget the Mandiant Report that caused such a reaction online not too long ago. None of this is conclusive proof but it sure is a great cause for concern.

      The economic and political rammifications of this are being glossed over -- this action doesn't just affect our relationship with China, but with any country we do business with, because they signed the same treaties, and now they're looking at our unilateral action and thinking: What makes us think the US won't renege on their deal with us?

      The consequences you paint may well be overblown. There is evidence that the US is not the only country worried about China's activities. Australia, for example, has blocked Huawei from bidding for work on its $38 billion national broadband network, for the same security fears. Germany has sent representatives to the Chinese Government to ask them to stop, unofficially. Even the UK is so worried about the China spying problem that Jonathan Evans, director general of MI5 publicly warned that the West now faces an "astonishing" cyber espionage threat on an "industrial scale" from specific nation states.

      Given that China itself uses national security as a reason for imposing restrictions on foreign commercial activities on its shores, I really don't think there is any basis to complain about the present measures introduced by the US.

    22. Re:Full Retard Mode Activate! by dbIII · · Score: 1

      As distinct for paying far more for legit backdoored Cisco gear. Cisco are corrupt scum these days - they'd sell their own grandmother if they hadn't already done it five years ago.

    23. Re:Full Retard Mode Activate! by dbIII · · Score: 1

      and having illegal tariffs of as much as 35% on car parts

      That sounds just like US steel and sugar cane, and it's bound to backfire on them in the long run exactly the same way. You can't build a competitive industry that way only a lazy one.
      Still, it's quite funny seeing someone from the USA complain about another nations tariffs in such terms. It shows a bit of a gap in school education over there since people appear to be unaware of their countries trade policy.

    24. Re:Full Retard Mode Activate! by penglust · · Score: 1

      This should not be just for the really secret stuff. The Chinese are using cyber attacks for industrial espionage.

      The comments like the original poster and the one you quoted are from the Walmart shoppers looking for that penny deal.

    25. Re:Full Retard Mode Activate! by konekoniku · · Score: 1

      Nothing relating to international law is clear cut. In this case, you forgot Article XXI of GATT, "Security Exceptions."

      "Nothing in this Agreement shall be construed
      (a) to require any contracting party to furnish any information the disclosure of which it considers contrary to its essential security interests; or
      (b) to prevent any contracting party from taking any action which it considers necessary for the protection of its essential security interests
      (i) relating to fissionable materials or the materials from which they are derived;
      (ii) relating to the traffic in arms, ammunition and implements of war and to such traffic in other goods and materials as is carried on directly or indirectly for the purpose of supplying a military establishment;
      (iii) taken in time of war or other emergency in international relations; or
      (c) to prevent any contracting party from taking any action in pursuance of its obligations under the United Nations Charter for the maintenance of international peace and security."

      The great thing about this article is it's self-judging -- in particular, XXI(b)(ii) can be interpreted to apply to almost anything. Cf. http://papers.ssrn.com/sol3/papers.cfm?abstract_id=2079608.

    26. Re:Full Retard Mode Activate! by girlintraining · · Score: 1

      Any backdoors that are hidden and not disclosed to the customer should be treated as malicious.

      Backdoors are common (over 50% of devices have documented ones... undocumented is probably much higher). Backdoors aren't disclosed up front, it's most always after the fact. By your logic, we should all throw away every electronic device we own and hide under the bed. Sorry... I don't subscribe to security puritanicalism -- I'm a realist. Backdoors are present in most of the devices I own, but I can still consider them secure enough for my uses because the odds of someone being able to find a backdoor in every device in the chain and end up with an exploitable condition is still low if everything is configured correctly.

      There is no such thing as perfect security. Nothing is unhackable. So I'd rather live in a world where we test for backdoors in critical systems, document what we do find, and have the infrastructure and knowledge to react quickly to any problems that are found... because frankly, information systems are far, far too complex for your ideology to have any hope of implimentation.

      --
      #fuckbeta #iamslashdot #dicemustdie
    27. Re:Full Retard Mode Activate! by viperidaenz · · Score: 1

      I don't think you replied to what I wrote.

      I said they should be treated as malicious if they're not disclosed to the customer. The customer is the person or company who has told you to build something for them.

      When I said customer, I did not mean Joe Bloggs buying a widget at Walmart.

      If I build you some software and put in my own secret back door to gain remote access to the system without your knowledge, would you simply assume my intent was benign?
      What if I built all the systems you own? How it is not going to be trivial for me to go through all the back doors I built?

  11. Yes, definitely by Anonymous Coward · · Score: 0

    I've seen some odd behavior with ZTE equipment that can't be explained away by bugs. My answer is yes.

    1. Re:Yes, definitely by Gadget_Guy · · Score: 1

      I've seen some odd behavior with ZTE equipment that can't be explained away by bugs.

      Wow, that is so vague, unattributed, based wildly on guesswork and almost impossible to prove that it just must be true!

  12. This will probably be my second shortest ever post by redmid17 · · Score: 5, Interesting

    Yes

  13. Why is this even a question. by Harkin · · Score: 1

    Security aside, lets send our tax dollars to Chinese companies? Sure it saves the government a buck but saving money isn't the governments job. In fact one might argue its primary job is spending our tax dollars in ways that stimulate the development of domestic technology and jobs. The problem is, almost all the money goes to the Chinese anyway because most of the components are manufactured there. In the end both systems subsidize their domestic production, just here Uncle Sam demands something in return.

  14. I would rather they enforce auditability by Omnifarious · · Score: 2

    I would rather they insist that any such equipment bought by the US government be open and fully independently auditable. I think they would do a lot better for everybody if they simply made that a standard requirement of the procurement process.

    Though, I can also well understand the paranoia. The US government has done the exact same thing to security equipment sold to other countries that they are now worried about China doing to us. They should be worried about that.

    1. Re:I would rather they enforce auditability by demonlapin · · Score: 1

      It's hardware. Unless you put every single chip (not just samples) under a microscope, it doesn't matter what the software says. Unconvinced? See Stuxnet for an example of what software alone can do. Also: if I were in the PRC hierarchy, I wouldn't use any US-built stuff for sensitive projects. Of course all governments do this. So what?

    2. Re:I would rather they enforce auditability by Omnifarious · · Score: 1

      *nod* Point taken about it being hardware. You're right.

    3. Re:I would rather they enforce auditability by CBravo · · Score: 1

      So we need FPGA versions of hardware so we can prove other aspects? Only way to verify besides physical inspection.

      --
      nosig today
  15. Re:Should China Accept US-Gov't Influenced IT Syst by ebno-10db · · Score: 1

    China already protects itself from US-influence. This is protectionism, and we should all respond in kind.

    Agreed, but I've been saying that ever since Billy Clinton, at the behest of his Wall St. masters, pushed so hard for premature PNTR and WTO membership for China. Sometimes I feel like I'm giving advice to 5th century Romans about how to keep out the barbarians - a little late.

  16. What would Sun Tzu do? by glrotate · · Score: 0

    'Nuff said.

    1. Re:What would Sun Tzu do? by Anonymous Coward · · Score: 0

      Get to the battle field first, knock out the communications, and obliterate the enemy.

    2. Re:What would Sun Tzu do? by dwye · · Score: 2

      Get to the battle field first, knock out the communications, and obliterate the enemy.

      Obviously AC has never read Sun Tzu. He was not a Chinese Nathan Bedford Forrest. A battle avoided, because the enemy had to retire rather than risk it, was always his best solution.

  17. No. by Anonymous Coward · · Score: 0

    This would be interpreted by some statist *MORONS* that the free market isn't able to filter out this kind of thing. We need to simply let the market do its thing and we will end up in a MUCH better position than if we allowed the government to interfere.

  18. Good luck finding a Chinese free one! by Billly+Gates · · Score: 1

    The bios is manufactored, programmed, designed, and all made in China.

    I would not be surprised if they have a backdoor to spy or be disabled. We know all our cell phones have this and can record everything with a secret code and the US government is in on that one. It has been posted on slashdot before as they are perfect spy devices for any citizen. It makes sense China would want the same.

    Even the new Lenovo assembled PCs in the US are probably made in China. WIth firmware on all our weapons and planes China would love to disable our whole military in a blink of an eye if something like a conflict in Korea ever happened. The power is too incredible to ignore and CEOs to eager to comply to meet shareholder expectations and get their bonus.

    1. Re:Good luck finding a Chinese free one! by dbIII · · Score: 1

      Even the new Lenovo assembled PCs in the US are probably made in China

      Since Lenovo is actually a Chinese company that bought the rights to the IBM stuff that's a pretty safe bet :)

  19. Why stop there? by Anonymous Coward · · Score: 0

    Surely people of Chinese origin are suspect too. Some form of internment camp is required.

  20. Re:Should China Accept US-Gov't Influenced IT Syst by Anonymous Coward · · Score: 0

    You should probably review a little bit of your history before making the following statement, "at the behest of his Wall St. masters."

  21. Re:Should China Accept US-Gov't Influenced IT Syst by ebno-10db · · Score: 1

    You should probably review a little bit of your history before making the following statement, "at the behest of his Wall St. masters."

    Where do you think Bobby Rubin came from (and returned to afterword)?

    If you have a specific rebuttal I'd love to hear it, but vague "you should probably review a little bit of your history" remarks are barely worth it.

  22. The real question is.... by Proudrooster · · Score: 1

    The real question is should our government buy counterfeit military replacement parts from China?

    Until we as a people decide that our national security depends on our manufacturing base and manufacturing capability then what difference does it make? It's all coming from China no matter how you look at it. The subcontractor of my subcontractor of my subcontractor is Chairman Mao. And when you play in a commodity market, the lowest bidding supplier with a stolen formula for capacitors wins as in the case of Dell.

  23. No problem, really.. by Anonymous Coward · · Score: 0

    It's a plot!

  24. pappy always said by Anonymous Coward · · Score: 0

    Pappy always said "never trust Republicans, China-men, or strippers named Starr."

  25. No, they can't. by mbkennel · · Score: 4, Interesting

    Why suddenly has this come to forefront?

    Because there has been classified evidence of compromises built into the hardware via the manufacturing process, which is in China or Taiwan. A shocking and deep threat.

    They can't talk about it in public, but suddenly Sandia labs is upgrading its semiconductor manufacturing plant.

    1. Re:No, they can't. by Anonymous Coward · · Score: 1

      Would this evidence be more, or less, credible than the same mysterious classified evidence that the Iraqis had WMDs?

    2. Re:No, they can't. by Xest · · Score: 2

      If it's classified then how do you know? If you have security clearance then why can you tell us?

      An alternative explanation is simply because since the beginning of the financial crisis, US protectionism has increased considerably.

      The conveniently timed attacks on Toyota in 2009 that turned out to be non-issues, to the more recent attacks on Chinese networking equipment, it's about one thing- trying to reduce confidence in non-US products and increase confidence in US products. It's about trying to bolster consumption of US goods to help ensure growth.

      There's a reason most other countries governments findings into Chinese networking products were the opposite of the US' - they believe that protectionism is not an acceptable solution to the financial crisis, whilst for the US, it's a key policy component in relation to it. It's all somewhat related to the pre-election rhetoric about whether China is a currency manipulator to boot, that is the was US politicians are justifying it to themselves. It's also why Chinese state media recently ran a week or so of attacks against Apple- because that's China's response.

      I'm not defending China per-se, I think they are at least somewhat manipulative of their currency (though also understand their justification of wanting to maintain internal stability) and I do think they use subversive practices to give their companies an artificial advantage in global trade, something which simply isn't defensible as I do not believe on one hand it's fair of them to accept the benefits of globalisation and on the other to try and cheat it, but in this particular case I think the US is just simply doing the exact same thing because it views it as easier and quicker than pursuing the proper path of WTO sanctions, although it part it probably feels these would be ineffective given that China could just point out that the WTO has ruled against the US in a number of cases and the US has just ignored it, despite the US being the driving force historically and to this day between the WTO, but then, that's what happens when you try and push one rule for you, and another set of rules for everyone else - everyone else tries to start doing that to.

      It's all just part of a tit for tat trade war and little more. It's a childish game of name calling when it comes to, one that stems from hypocritical global trade policies.

    3. Re:No, they can't. by joebagodonuts · · Score: 1

      If true, this is a great example of where the classification system fails. Why in hell would something like that need to be classified? Oh right, to save someone's reputation/feelings.

      --
      "Give a woman two glasses of wine and some pad thai, and they'll agree to just about anything." the Sports Guy
    4. Re:No, they can't. by Anonymous Coward · · Score: 1

      Sooo... You think the WTO sanctions do nothing, you think China manipulates its currency, you think China uses subversive practices to give artificial advantage in global trade, but when the US tries to punish them in the most innocuous way (simply not buying their products for important government institutions) it's protectionist and bad.

      Why is that modded up? The author undermines his own argument consistently and offers no rebuttals to his own counterpoints.

    5. Re:No, they can't. by Xest · · Score: 1

      Oh no... one of those people, a binary thinker, the sort of person that assumes if one side of an argument is wrong, the other is inherently right. You don't understand that it's possible for both sides to be wrong.

      China shouldn't do what it does, but that doesn't give the US the right to do so. The reason the WTO will be ineffective is because past US actions on ignoring WTO rulings make it ineffective when it needs it to be effective, so it's a problem of it's own creation. If the US fulfilled it's obligations as a WTO member when rulings against it were made in relation to everything from Brazilian cotton and European steel to Canadian fresh water and lumber, then it would be able to use this sensible and proper route against China, it can't exactly do that and expect China to listen when it ignores it itself.

      What you read as counterpoints in your binary world are merely examples as to why both sides are not exactly knights in shining armour. Come back and re-read the post when you understand the world isn't black and white, and that there are many shades of grey in between where two parties to an argument can both be in the wrong. You'll be able to understand it then.

  26. Also Israel produced parts/services as well by Anonymous Coward · · Score: 0

    Lets not forget Israel sourced parts and services as well. A strong country needs to be able to source its own components and people.

  27. There is a simple answer by Gadget_Guy · · Score: 2

    Surely the best thing to do would be to mandate the inclusion of the source code to the firmware with any government contract, and provide the ability to upload your own firmware image so you can ensure what you see in the code is what you are running.

    Yes, I realise that this comes from a particular ideology that would be against the business interests of the hardware manufacturers. And while this wouldn't necessarily mean the firmware would be provided in an open source format to non-government users, it might make it more likely that they would do it.

    1. Re:There is a simple answer by Anonymous Coward · · Score: 0

      while I am not in favour of what is happening here as I think government purchases should be based on value for money and quality, if they don't have the capabilities to vet infrastructure for critical pieces of hardware then they have far more problems then the risk of a backdoor. the source code means nothing by itself, who is to say there is not something hidden in the chip or the upload process that maintains a backdoor regardless of what firmware you flash it with. The source code provides very little in the way of surety.

    2. Re:There is a simple answer by Anonymous Coward · · Score: 0

      Sure...

      Include a couple firmware chips on the board. One has open source you provide the rubes with "open source" and everything, the other has all the hacks you need to monitor whatever you want. The rubes only ever see the "nice" one.

      The customer isn't going to know unless they strip the resin off the chips and analyze the logic on every microcontroller. By then, who knows how many places that board might be installed.

      Your simple solution is crap and I hope you're not in national security. Sorry.

    3. Re:There is a simple answer by Anonymous Coward · · Score: 0

      Which won't resolve back doors implemented in "silicon".

    4. Re:There is a simple answer by Gadget_Guy · · Score: 1

      Your simple solution is crap and I hope you're not in national security. Sorry.

      Ouch! That was uncalled for. My comment was not ever supposed to be the final say in security. But that said, just getting your devices from somewhere other than China is not going to be enough either. All it takes is for a company to employ a programmer who sympathises or is paid by a foreign power and you still have the untrustworthy devices.

      So perhaps the best solution is to release the source code anyway. Sure it is not 100% reliable, but no solution will be (unless you want the government to design and build all their own electronics from scratch).

  28. With hardware back doors seen in field, Yes it is by curt.wetzel · · Score: 1

    Hardware back doors have already been identified in sensitive equipment as reported in slashdot before. http://it.slashdot.org/story/12/05/28/1454222/backdoor-found-in-china-made-us-military-chip So, yes this is a good idea.

  29. What Proof Neccessary? by interval1066 · · Score: 2

    How much proof do you need that a little attention to national security might be a good thing?

    --
    Python: 'And then suddenly you have a language which says "we're all stuck with whatever the whiniest coder wants".'
    1. Re:What Proof Neccessary? by Anonymous Coward · · Score: 0

      Last I checked, suspicion of a citizen carrying a cupcake was enough grounds for a full cavity search. It would be nice if foreign industry was held to the same level of scrutiny as law-abiding civilians trying to get on a plane.

  30. Better yet... by pigiron · · Score: 1, Insightful

    not only should we keep out the Chinese technology, we need to keep out the goddam Chinese!

  31. Re:Should China Accept US-Gov't Influenced IT Syst by sabri · · Score: 1

    China already protects itself from US-influence.

    On the contrary, Huawei actively copied US code.

    As with everything, this Chinese networking gear is nothing but a cheap copy originating from the world's bigges Xerox machine: China.

    --
    I'm not a complete idiot... Some parts are missing.
  32. Re:This will probably be my second shortest ever p by coma_bug · · Score: 1

    Don't be a tease. What was the shortest?

  33. Crackers In Da Wood(s) by Anonymous Coward · · Score: 0

    Keep big ugly white guys with bad teeth out the the USA citizenship race.

  34. Re:This will probably be my second shortest ever p by tftp · · Score: 1

    How about "No" ?

  35. Not much choice by dbIII · · Score: 1

    Not much choice, and after seeing a few games Cisco plays (dragging somebody out of a courtroom in session - how's that for contempt of the law?) they are probably far more trustworthy than Cisco, and Cisco get their stuff built in China anyway.

  36. Does not information "want to be free"? by mi · · Score: 1

    What better way to break all the secrets out, than to use Chinese-made computers? Short of uploading the stuff directly to them, I can't see a better way to free the oppressed information from the confines of secrecy.

    --
    In Soviet Washington the swamp drains you.
  37. Re:Should China Accept US-Gov't Influenced IT Syst by Austerity+Empowers · · Score: 1

    Huawei stealing secrets? No Way!

  38. Re:This will probably be my second shortest ever p by coma_bug · · Score: 1

    Well it wasn't "Woosh".

  39. Re:Should China Accept US-Gov't Influenced IT Syst by Anonymous Coward · · Score: 0

    FYI, US don't sell IT systems (for example even DELL) to our univ. We have to buy it bypass.

  40. the irony... by Tastecicles · · Score: 1

    ...is that the Federal Government allowed Microsoft to hand over source code for the NT kernel not so long ago...

    http://www.informationweek.com/software/operating-systems/china-gets-a-peek-at-microsoft-source-co/225400063

    ...and look what happened!

    http://www.businessinsider.com/wikileaks-china--microsoft-source-hack-google-2010-12

    Oh dear.

    --
    Operation Guillotine is in effect.
  41. Re:Should China Accept US-Gov't Influenced IT Syst by dwye · · Score: 1

    Bill Clinton had lots of rumors floating about him being a ChiComm stooge, partially because several major supporters were shown to have laundered ChiComm contributions to his campaigns (he DID return the contributions after this was shown, even if always after the elections that the money helped him win).

    .sarc on

    Anyone want to bring up the Clinton Death Lists, now?

    .sarc off

  42. what a ridiculous witch hunt by Anonymous Coward · · Score: 0

    This theme pops up every week everywhere around the world, and in my opinion, it's just plain ridiculous and the exact opposite.
    Chinese vendors nowadays are so under the microscope (and I don't have any particular problem with that), that if they are even going to try and make business in the US and/or Europe, they know they'll have to deliver. Especially in the security field, specifically in the telco space, chinese vendors are always much quicker to respond and implement security features than anyone else. And when I say anyone else I mean Ericsson, NSN, Alcatel-lucent, you name it...
    Not only that, but companies should NOT be relying on good will and vendor capabilities to be secure. If any chinese vendor would be able to snoop or do anything wrong in your infrastructure (apart from a hypothetical bug that would destroy all vendor equipment ONLY deployed in the US/Europe at a given date and time) it's because you did a rubbish job at the designing your own systems and networks and employing good monitoring practices. If, by design any vendor (be it chinese or martian) can snoop on your data and send it home, then you are to blame, not your vendor.

  43. duh by Anonymous Coward · · Score: 0

    Well well isn't it convenient that when it's about China everyone can comfortably justify protectionism and hyperboles. It's okay for both side though because Cisco got a fair return for their lobbying while for Huawei other countries like Britain are still open for business.

    the only thing I'd like to see is concrete evidence made by an independent source that everyone can examine. What's so bad for the US to show them if they have those info?

  44. Tu quoque is not a good defense by MikeRT · · Score: 2

    Just because the US has done this stuff doesn't mean we have any obligation to take the risk that it would be done to us. Or do you also believe that a rapist should be raped in order to punish them for their crime?

    1. Re:Tu quoque is not a good defense by joebagodonuts · · Score: 0

      There is something to be done here, but banning things from China is a simplistic action that is more style than substance. “We can not solve our problems with the same level of thinking that created them”. Of course, I've seen little evidence that solving the problem is the goal here.

      --
      "Give a woman two glasses of wine and some pad thai, and they'll agree to just about anything." the Sports Guy
  45. There's Federal Acquisition Regulations, too! by Anonymous Coward · · Score: 0

    Seriously. China is not a TAA-compliant country (Taiwan is, as of December 2012). Federal law prohibits purchasing from non-TAA countries without SIGNIFICANT penalties. If it's a DoD entity, they're often barred from buying anything not made in the USA or Canada. The FAR and the USC and the Buy American Act all come into play here, dictating that the items MUST be sourced in the US.

    1. Re:There's Federal Acquisition Regulations, too! by Anonymous Coward · · Score: 0

      The Buy American Act will have to be abolished soon anyway, as that is a condition for a free trade treaty with the EU.

    2. Re:There's Federal Acquisition Regulations, too! by WindBourne · · Score: 1

      false. It will NOT abolish it. It will not be used against nations from the EU, but, it allows us to keep using it.

      --
      I prefer the "u" in honour as it seems to be missing these days.
  46. I don't trust either by Anonymous Coward · · Score: 0

    I think it is wise to boycott both Chinese and American communication systems for mission critical applications and applications that handle sensitive or very large amounts of data. Both governments have a very bad history in this regard.

  47. It's funny by gr8_phk · · Score: 2

    Funny how people lose any ability to think when the conclusion is that they're wrong, or even just contradicting themselves.

  48. While the horse is already out of the barn... by gestalt_n_pepper · · Score: 1

    It's still prudent to close the barn door to keep the rest of the livestock in, and the varmints out.

    Chinese components and software are obvious attack vectors. Only a fool would believe they would not be set in place beforehand, or used during any significant conflict.

    --
    Please do not read this sig. Thank you.
  49. Re:This will probably be my second shortest ever p by redmid17 · · Score: 1

    No

  50. It is NOT should the US limit Chinese IT systems by WindBourne · · Score: 1

    It is should the WEST limit it? The answer is yes.

    It is insane to allow a nation that is undergoing the world's largest military build-up ever seen in history, and who is forcing all of the prices to be artificially low, along with massive tariffs, to put their compromised systems into the West.
    Heck, even China is bright enough to say no to Western goods into their systems.

    --
    I prefer the "u" in honour as it seems to be missing these days.
  51. Depends on who you are. by WindBourne · · Score: 1

    If you are ANY nation out there, China will spy on you. If you are aligned with China, the west is going to spy on you. If you are a western nation, we tend to not spy on each other (that is not quite accurate either, but close enough).

    --
    I prefer the "u" in honour as it seems to be missing these days.
  52. In Russia . . . by Anonymous Coward · · Score: 0

    In Communist China, Government Influences large corporations.

    In Amerika, Large Corporations Influence Government.

    Who's wronger?

  53. dont trust them by Anonymous Coward · · Score: 0

    as one who has worked in tech in china for 10 years and who is ethnically chinese, there really isn't a premium on truth and honesty in chinese culture, let alone the chinese government. i would be surprised if there weren't backdoors embedded all throughout chinese developed/manufactured technologies, and the US government would be wise to steer as clear as possible.

  54. Re:Should China Accept US-Gov't Influenced IT Syst by datavirtue · · Score: 1
    --
    I object to power without constructive purpose. --Spock
  55. Spyware by chris.evans · · Score: 1

    I am concerned china can use st software to spy on us , so yes that is a reason to limit Chinese software use.

  56. Practically impossible by Anonymous Coward · · Score: 0

    You move up the supply chains of any computer or electronic good used in the US, consumer, commercial or military, and in just a few a hops you will find Chinese products that can not be manufactured or substituted by a US good.

  57. who else makes this shit by Anonymous Coward · · Score: 0

    seriously though, where can i buy a non chinese motherboard other than super-micro? and how do i know their chips werent manufactured there, and firmware was not installed there?