September 2, 2010

The Different States And Areas That Are Part Of The Rust Belt And How Business Has Gone Up And Down In This Area

The Rust Belt which has also been called the Manufacturing Belt are various states in the Northeast, the Mid-Atlantic and the Upper Midwest. The Fox Valley area is included in this area where a Fox Valley handyman does his Fox Valley bathroom remodeling. This whole region got that name for the various types of manufacturing plants that were scattered particularly in the steel industry. Much of this happened in Illinois, Minnesota, Ohio, Indiana and norhtern sections of New York. The factories are located near lakes in the area. The term, Rust Belt became popular in the 1970's when the industry had trouble and many factories were closed. Rusted gates are the only thing left from these buildings.

This area became the main area for industry and manufacturing because it was close to navigable waters and access to various resources. There was a big population boom that happened bringing many immigrants to these states for work and using the rivers, lakes and the railroad proved to be all good for shipping purposes. Life was good in these states that were part of this manufacturing belt.

Some of the problems started occurring when other countries such as China were able to produce things for a lot less by paying their workers much lower wages . This produced huge competition for the US and we were not able to produce the same things for such a small amount as China could. This started outsourcing where businesses began to pay people in other countries to do the work for less than American workers could. The outsourcing work overseas have caused a loss of jobs for American workers.

Free trade has caused the factories to {struggle financially|have financial difficulties in this area. Companies in industry learned that steel could be produced for a lot less in third world countries than in America so they started to get it from there other than in America. By getting the supplies through free trade from other countries it has completely changed the supply and demand element. With little supply of steel here in America, there is little demand for it either and the cycle continues to where we must rely on different countries for certain products. This too, has caused struggles on this region.

Many people have also been spreading out from the larger metropolitan areas that are in this region like Chicago, Duluth, Philadelphia, Buffalo and Pittsburgh deciding to go out into the suburbs where it is more affordable than in these downtown cities. This has created less work and jobs in the downtowns and more employment in the suburbs that have no relation to industry as it had always been before. This rust belt area has recently seen an increase in jobs since 2008 with some new industries coming in. They are dealing with biotechnology information technology and hydrogen cell development in addition to some other newer businesses. This has been a great boost for this area and the residents here are hopeful that it will prosper again like it did before the 1970's.

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