How the GOP Sold Out Middle America for Corporate America

**Admins Note: This article came out a while ago, but it’s a good one

By PATRICK J. BUCHANAN • January 31, 2014

factoryOut of the Republican retreat on Maryland’s Eastern shore comes word that the House leadership is raising the white flag of surrender on immigration. The GOP will agree to halt the deportation of 12 million illegal aliens, and sign on to a blanket amnesty. It only asks that the 12 million not be put on a path to citizenship. Sorry, but losers do not dictate terms. Rich Trumka of the AFL-CIO says amnesty is no longer enough. Illegal aliens must be put on a path to citizenship and given green cards to work—and join unions.

Rep. Paul Ryan and the Wall Street Journal are for throwing in the towel. Legalize them all and start them on the path to citizenship. A full and final capitulation. Let’s get it over with. To understand why and how the Republican Party lost Middle America, and faces demographic death, we need to go back to Bush I.

At the Cold War’s end, the GOP reached a fork in the road. The determination of Middle Americans to preserve the country they grew up in, suddenly collided with the profit motive of Corporate America. The Fortune 500 wanted to close factories in the USA and ship production abroad—where unions did not exist, regulations were light, taxes were low, and wages were a fraction of what they were here in America. Corporate America was going global and wanted to be rid of its American work force, the best paid on earth, and replace it with cheap foreign labor. While manufacturing sought to move production abroad, hotels, motels, bars, restaurants, farms, and construction companies that could not move abroad also wanted to replace their expensive American workers.

Thanks to the Republican Party, Corporate America got it all.

U.S. factories in the scores of thousands were shut down, shedding their American workers. Foreign-made goods poured in, filling U.S. stores and killing the manufacturers who had stayed behind, loyal to their U.S. workers. The Reagan prosperity was exported to Asia and China by the Bush Republicans. And the Reagan Democrats reciprocated by deserting the Bush Republican Party and going home. But this was not the end of what this writer described in his 1998 book, The Great Betrayal. As those hotels, motels, restaurants, bars, fast-food shops, car washes, groceries, and other service industries also relished the rewards of cheap foreign labor, they got government assistance in replacing their American workers.

Since 1990, some 30 to 40 million immigrants, legal and illegal, have entered the country. This huge increase in the labor force, at the same time the U.S. was shipping factories abroad, brought massive downward pressure on wages. The real wages of Middle Americans have stagnated for decades. What was wildly wonderful for Corporate America was hell on Middle America. But the Republican Party had made its choice. It had sold its soul to the multinationals. And as it went along with NAFTA, GATT, fast track, and mass immigration, to appease Corporate America, it lost Middle America.

The party went with the folks who paid for their campaigns, only to lose the folks who had given them their landslides.

When Republicans accede to the demand for amnesty, and immigration without end, it does not take a political genius to see what is going to happen.

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