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Stories of struggle and recovery in America: Msnbc.com is focusing long-term coverage on the city of Elkhart, Ind. to provide perspective on the national recession. Follow our ongoing coverage on msnbc.com. Want to share your thoughts on the how the recession is playing out in Elkhart or in your community? Comment on any of the blog posts below or become a blog contributor. Learn how

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For Elkhart, past was prologue

Elkhart has been down this rugged patch of road before.

As I mentioned in Tuesday's post ("Why Elkhart?"), the city has weathered previous recessions, accounting for the confidence of some longtime residents this downturn will be a brief interlude on the road to renewed prosperity.

But watching these two gloomy NBC News videos from 1973, when gas prices soared following an OPEC oil embargo and sales of recreational vehicles tanked, you can't help a sense of déjà vu in these tough times. (You can read more about the recession triggered by the gas crisis in this Recession.org piece.)


Even without that stroll down nightmare lane, some readers of this blog and our Elkhart Project reporting have been struck by the parallels between that earlier crisis and the one now unfolding in the city.

Reader Steve Cassity wrote in a response to Wednesday's post about the perils of relying heavily on a single industry that the city missed an opportunity to broaden its economy at that time and is paying the price today. To illustrate his point, he focused on the rotten condition of the city's streets in the early 1970s, just before the gas crisis:

"I grew up in Elkhart … (and) I always remember my parents complaining about the condition of the streets and how hard the potholes, etc. were on their cars. I have been back a number of times over the years - the last time about two years ago - and I would have to say that nothing has changed from then."

Did Elkhart miss the boat (or the motor coach?) by not retooling its economic fundamentals in the 1970s?

We'd like to hear your thoughts, whether or not you've ever set foot in Elkhart or Indiana. What are your memories of the recession of the 1970s — or others — and how did your town change as a result, if at all. An additional question for those of you from Elkhart: Do you recognize any of the people who appear in these archival videos and, if so, do you know how we might contact them?

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{"commentId":6396757,"authorDomain":"steve-115"}

Great videos to remind us that things don't change much, they just keep coming back. The parallels today to 1973 are uncanny.

Steve

{"commentId":6396757,"threadId":"550100","contentId":"2660796","authorDomain":"steve-115"}
  • 3 votes
Reply#1 - Thu Apr 9, 2009 12:26 PM EDT
{"commentId":6480023,"authorDomain":"skrauss"}

While this will be a severe criticism, I believe that Elkhart is a better place than being singled out for this "Project" would indicate. I'd like to start though at a time when Time Magazine ran a cover story about Elkhart, calling it "the city with 40 millionaires under the age of 40." This was when having a million dollars made one independently wealthy, and this was in a city whose population had long stabilized at a publicized 40,000. Do the math.

Parallels to 1973 are not as meaningful to me as the changes that occurred in Elkhart during the 1960's and continued through the1970's. I think, as my late father did, that these changes are more relevant and unfortunately more indicative of changes throughout the country. They center around local government and desire to maintain an industrial tax base, at the expense of losing the real wealth that local workers and management keep in the city.

I grew up in Elkhart, having moved here with my parents at age 2 in 1947. Dad was an electronics engineer from RCA who was in great demand, but he chose Elkhart and C.G. Conn to maintain the balance between small-town lifestyle and work opportunity advantages. He and Mom built their own house by hand and built a comfortable, productive middle class life, dad continuing to acquire patents and fix everything in site. He was the kind of citizen any town would value.

Home to Conn, Selmer, Buescher, Gemeinhardt, Bundy, Lesher, Linton, and a host of others at that time, Elkhart was legitimately known as the "Band Instrument Capital of the World." Even the city's newspaper, the "Truth", began as a company organ of C.G. Conn, called "Conn's Truth". The workers were skilled and the industry was mostly "clean." Other major companies included CTS, Myles Labs, Whitehall, Bock, Skyline, and many others. Elkhart had a clean, diversified industry. "Down town" had Ziesel's and Drake's department stores, three "five and dimes", stationers, sporting goods stores, clothing stores, and the City News agency, back when Elkhart residents read enough to support it. With a great school system boasting state powers in all sports and perhaps the largest bands and orchestras in the country, whose quality earned them perennial invitations to the M.E.N.C. conventions, it was an ideal place to grow up and live.

What changed? I'll let you argue the why's, but essentially, the skilled industries disappeared, the fledgling trailer industry grew to gigantic proportions, and the work base came from out of town, South bend residents, especially with the demise of Studebaker, taking an abnormal share of income back to be spent outside Elkhart. Now there seem to be a majority of labor relatively new to the city from the south and with little knowledge or pride in what Elkhart once was. With this change and lack of corporate regulation has come pollution that infests the ground water of my old home and monumental traffic jams, mostly of vehicles from out of town and not related to any perceived local growth. Quality of life has eroded with the short-term municipal economic gains - hardly the stuff to inspire civic pride.

Crime soared. Murder became commonplace in a town where a single homicide was once so rare as to be talked about for months. Drugs, once unheard of, now seem to have their own section in the Elkhart paper. All of this change has come about with but a modest recent gain in population. Elkhart is far from being the place in which I grew and prospered. It is a crossroads serving mostly out-of-town based owners and workers who may not care much for it. So the state of things is based on decisions not relating toward specialization so much as political and economic expediency for municipal finances. The short run was served, and now the results of that immediate gratification are most apparent, not just in the economic state of things, but in the way people treat each other. I've noticed it; have you? As they aged from young people toward their 90’s, my parents watched the town disintegrate about them, the corporate mentality reflected in its citizens' hard glances and the crime rise that drove them and their church from its old neighborhood and left their own yard marred with refuse from passing “neighbors.”

How can a town, located at the confluence of two beautiful rivers, with beautiful parks (and Island Park is not even shown on your map), on major commercial routes, and within driving distance of great cities become so run down, losing its vibrant center? Well, it is not just what happened during and after the 1970's. The change was occurring before that, and it has continued with local government decisions to encourage a specialized industrial base that takes from the city and gives little back to its citizens. The wealth has been leaving Elkhart with its jobs and culture. Yes, it's happening everywhere, but Elkhart had more to lose, and it appears just gave a lot of it away. I miss you, Elkhart, but perhaps more here than many places, "You cannot go home again."

{"commentId":6480023,"threadId":"550100","contentId":"2660796","authorDomain":"skrauss"}
    #1.1 - Tue Apr 14, 2009 2:57 PM EDT
    Reply
    {"commentId":6397723,"authorDomain":"workeramongworkers"}

    I live in Elkhart and worked in the RV industry after I graduated from high school. I went through the ups and downs for a few years and knew I had to do something else. I was fortunate enough to go to college and get a nursing degree. No industry can survive forever relying on "fun" as one of the industry's leaders ad says.

    {"commentId":6397723,"threadId":"550100","contentId":"2660796","authorDomain":"workeramongworkers"}
      Reply#2 - Thu Apr 9, 2009 1:03 PM EDT
      {"commentId":6397832,"authorDomain":"Skiputz"}

      My company a Precision Machine Shop is located in Elkhart and recently we have been struggling to obtain work for our shop. Most of our customer’s orders have either diminished or vanished. The parts and tooling that we have made so successfully in the past just isn’t here anymore. We do work for most of the local shops and also have National customers but it’s the same story, every customer I go and visit has scaled back.

      We currently have one third of the employees we had a year ago. Some of these people I have known for thirty plus years.

      These men and women are hard working, honest taxpayers who don’t know what’s around the next corner. They don’t want a handout or a bail out, they want to work.

      We are very upset by the bailout plans currently in progress, we fell this money is being thrown away to miss-managed Businesses and Financial concerns. We would much rather see this money go into Manufacturing of products in this country. That would put people to work then they pay taxes and purchase goods. I seriously doubt that the likes of AIG are going to be able to repay these “loans” or even pay any type of taxes.

      The working man pays the bills, pure and simple.

      {"commentId":6397832,"threadId":"550100","contentId":"2660796","authorDomain":"Skiputz"}
      • 3 votes
      Reply#3 - Thu Apr 9, 2009 1:07 PM EDT
      {"commentId":6406665,"authorDomain":"red1653"}

      • You got it right. I have been a Tool and Die Maker for close to thirty years here in Northeast ohio lost my job in 2004 after 22 years with the Co went to China found another job here close and thought I could retired from there. There was a large layoff and we were told we would not be called back . First time they have ever had a lay off. So here Iam at 58 years looking for work and wondering how im going to find another job and pay the bills AND TAXES

      {"commentId":6406665,"threadId":"550100","contentId":"2660796","authorDomain":"red1653"}
        #3.1 - Thu Apr 9, 2009 8:17 PM EDT
        {"commentId":6406683,"authorDomain":"red1653"}

        • You got it right. I have been a Tool and Die Maker for close to thirty years here in Northeast ohio lost my job in 2004 after 22 years with the Co went to China found another job here close and thought I could retired from there. There was a large layoff and we were told we would not be called back . First time they have ever had a lay off. So here Iam at 58 years looking for work and wondering how im going to find another job and pay the bills AND TAXES

        {"commentId":6406683,"threadId":"550100","contentId":"2660796","authorDomain":"red1653"}
          #3.2 - Thu Apr 9, 2009 8:18 PM EDT
          {"commentId":6406697,"authorDomain":"red1653"}

          • You got it right. I have been a Tool and Die Maker for close to thirty years here in Northeast ohio lost my job in 2004 after 22 years with the Co went to China found another job here close and thought I could retired from there. There was a large layoff and we were told we would not be called back . First time they have ever had a lay off. So here Iam at 58 years looking for work and wondering how im going to find another job and pay the bills AND TAXES

          {"commentId":6406697,"threadId":"550100","contentId":"2660796","authorDomain":"red1653"}
            #3.3 - Thu Apr 9, 2009 8:19 PM EDT
            {"commentId":6406860,"authorDomain":"red1653"}

            • You got it right. I have been a Tool and Die Maker for close to thirty years here in Northeast Ohio lost my job in 2004 after 22 years with the Co it went to China found another job after a year and thought I could retired from there. There was a large layoff and we were told we would not be called back . First time they have ever had a lay off. So here I am at 58 years looking for work and wondering how im going to find anotherjob and pay the bills and TAXES
            • PS Maybe if we ever have to go to war with China or some other place that all our jobs are going to we can get them to make our bullets for us.

            {"commentId":6406860,"threadId":"550100","contentId":"2660796","authorDomain":"red1653"}
            • 1 vote
            #3.4 - Thu Apr 9, 2009 8:33 PM EDT
            {"commentId":6408138,"authorDomain":"CCG"}

            You got that right. Let's give the money back to our country and stop giving it to companies who are outsourcing to other countries where when I call a customer service number they can't even understand a word I say. I tell you the working american is totally being smacked down again because funds are being given to the wrong places. We've laid off teachers in schools that are already overcrowded. Stop telling us our kids are underachievers when all you do is provide less and less for them in school and overcrowd the classes. I remember days when we had 25 to a class and now it's 36 or more. We need the money to go back to schools and small businesses and to the working americans who want to WORK!

            {"commentId":6408138,"threadId":"550100","contentId":"2660796","authorDomain":"CCG"}
              #3.5 - Thu Apr 9, 2009 10:09 PM EDT
              {"commentId":6417476,"authorDomain":"educationforindiana"}

              I agree with you about this. Our immediate issue is getting people working, but also the education problems have to be addressed. Our teachers are put under more pressure than ever these days! Classes are overcrowded and the state school board has created the possibility of it getting worse! They have recommended that the student-teacher ratio that has been in place should be eliminated. This opens the possibility of even more crowded classrooms! The state school board (appointed by Gov. Daniels, not elected) is comprised of business people who view education like a business, and it is not! Give our teachers a chance to succeed! If you want education to be effective, create an environment that promotes success.

              {"commentId":6417476,"threadId":"550100","contentId":"2660796","authorDomain":"educationforindiana"}
                #3.6 - Fri Apr 10, 2009 12:56 PM EDT
                Reply
                {"commentId":6397978,"authorDomain":"KH21"}

                First, in 73 Elkhart was much more diversified already, with several medical labs such as Miles and Whitehall, plus numerous band instrument facilities, major bank data centers, plus much more so that the percentage of RV workers relative to the total population was much less. Was it tough on the RV workers? Yes. But the city and county was nowhere near the hardship then as it is now. It is always good to try to attrack different types of companies, and the area did, but we were already diversified.

                Not sure where Steve ended up, but I can assure you that if you live anwhere in the north, everyone has potholes , and yes, we all complain but realize is is just part of living in the north.

                {"commentId":6397978,"threadId":"550100","contentId":"2660796","authorDomain":"KH21"}
                • 2 votes
                Reply#4 - Thu Apr 9, 2009 1:12 PM EDT
                {"commentId":6397988,"authorDomain":"bob-jurgeto"}

                There are no parralells,This city is dying because all of the good times from supplying high priced FEMA trailers to the Katrina fiasco.

                If Obama is so concerned why doesn't he give RV buyers a tax break like he did with GM-His appearance and feigned concern is just part 2 of his BS campaign

                {"commentId":6397988,"threadId":"550100","contentId":"2660796","authorDomain":"bob-jurgeto"}
                • 1 vote
                Reply#5 - Thu Apr 9, 2009 1:12 PM EDT
                {"commentId":6399493,"authorDomain":"Hoyahoo"}

                To "Another Reader" --

                Before you start spewing your politically-motivated hatred, perhaps you ought to get your facts straight. The turth is, RV buyers HAVE been specifically included in the same emergency tax breaks given to car and truck buyers earlier this year. Any consumer that buys an RV this year can deduct from their federal taxes the state sales and excise taxes paid on up to the first $42,000 or so of the purchase price. And the interest on the financing used to purchase the RV can also be deducted from federal taxes as a "second home." Finally, the RV industry has been specifically included in the TARP bailout fund requirements imposed on banks -- this is expected to eventually free up money to assist RV dealers with inventory financing and RV consumers with purchase financing.

                {"commentId":6399493,"threadId":"550100","contentId":"2660796","authorDomain":"Hoyahoo"}
                • 1 vote
                #5.1 - Thu Apr 9, 2009 2:05 PM EDT
                {"commentId":6406618,"authorDomain":"bob-jurgeto"}

                Dear Hoyahoo,

                You are correct,You can according to the tax codededuct as a second home the same as a boat-Now my naive friend, find a bank that will fill out the proper paper work that allows you to secure a loan on a RV or boat as a mortgage

                {"commentId":6406618,"threadId":"550100","contentId":"2660796","authorDomain":"bob-jurgeto"}
                  #5.2 - Thu Apr 9, 2009 8:13 PM EDT
                  {"commentId":6407197,"authorDomain":"dcmorera"}

                  Another Reader:

                  Please show me where in the tax code it states that the loan to pay for the RV must be a mortgage. I can't find it anywhere. It only states that the RV must have sleeping quarters/bathroom facilities and that the RV must be used to secure the loan.

                  {"commentId":6407197,"threadId":"550100","contentId":"2660796","authorDomain":"dcmorera"}
                    #5.3 - Thu Apr 9, 2009 9:03 PM EDT
                    Reply
                    {"commentId":6397991,"authorDomain":"workeramongworkers"}

                    I worked in the RV industry after high school and I saw the up and downs over the years, I knew I had to do something different. I was fortunate enough to go back to college and get a nursing degree. I really don't think an industry can survive for long when it relies on "fun" .

                    {"commentId":6397991,"threadId":"550100","contentId":"2660796","authorDomain":"workeramongworkers"}
                      Reply#6 - Thu Apr 9, 2009 1:12 PM EDT
                      {"commentId":6398296,"authorDomain":"furiya1"}

                      Another example of how business failed to learn from the past. ala GM and Chrysler.

                      {"commentId":6398296,"threadId":"550100","contentId":"2660796","authorDomain":"furiya1"}
                      • 1 vote
                      Reply#7 - Thu Apr 9, 2009 1:23 PM EDT
                      {"commentId":6399772,"authorDomain":"HotCarNut"}

                      In this case though you are talking about a town, not a business. Living in Indiana for the vast majority of my life, I have seen first hand how NAFTA and granting China "Most Favored Nation" status has absolutely destroyed the manufacturing base in this country. Millions of good paying middle class jobs have been lost, as has a generation of technical know-how and expertise. Don't you ever get frustrated with the cheap crap that is on store shelves that doesn't last very long or do what it was originally intended to do? That's what comes from focusing on cost savings without viewing the economy as a whole. I know as a consumer I would rather spend a little bit more for a quality product that I know will get the job done and last for years, whether it's a hammer or an automobile. Sadly, those staple items are disappearing being replaced by cheaper items from Mexico, China, and Indonesia. Now, I can't even find some items that I would like to buy. I also used to take comfort in knowing that my purchase was helping to put food on the table for a middle class family in the US. Now it goes to line the pockets of a Chinese conglomerate paying workers peanuts for shoddy workmanship.

                      {"commentId":6399772,"threadId":"550100","contentId":"2660796","authorDomain":"HotCarNut"}
                      • 2 votes
                      #7.1 - Thu Apr 9, 2009 2:16 PM EDT
                      {"commentId":6406197,"authorDomain":"rrehm4"}

                      Oh, HotCarNut, you are so right! I am endlessly frustrated with the "garbage" that is put on the store shelves for us to purchase. I used to be able to go into a store and pick up a few pair of jeans, pay for them, and leave. Now, they're all made in Mexico. I am a normal, size 10 woman and I usually have to try on 5-10 pair to find one that fits! No two in the same size are alike! I asked the dressing room woman if people are complaining and she said no, but that she was aware of the discrepancies. To add insult to injury, the fabric is so cheap, that they wear out in no time.

                      I'm one of those people who will pay more for quality, but quality items are nowhere to be found. I get so frustrated that I dread going shopping for anything.

                      The problem is that so many people are trying to "live a lifestyle" on limited funds, that they're willing to settle for cheap stuff, just so they can buy everything necessary to keep up. It's ridiculous. When are people going to stand up and refuse to buy this junk? If we stop buying the imported substandard products, maybe someone will start making decent, lead-free, melamine-less, non-toxic, quality items in the U.S. again. (I can only hope.)

                      {"commentId":6406197,"threadId":"550100","contentId":"2660796","authorDomain":"rrehm4"}
                        #7.2 - Thu Apr 9, 2009 7:42 PM EDT
                        {"commentId":6407103,"authorDomain":"dcmorera"}

                        HotCarNut - you are right on, however I would disagree that the "cheap crap", "...comes from focusing on cost savings without viewing the economy as a whole." Perhaps I am becoming cynical over time, but I think part of the intention is to sell shoddy products to ensure they will need to be replaced. After all, these corporations know that we shop out of "want" more than "need" anyway, so having to replace things fits nicely with this country's addiction to acquiring material things.

                        {"commentId":6407103,"threadId":"550100","contentId":"2660796","authorDomain":"dcmorera"}
                        • 2 votes
                        #7.3 - Thu Apr 9, 2009 8:53 PM EDT
                        Reply
                        {"commentId":6398574,"authorDomain":"gosalmonfish"}

                        Folks:

                        Those were the days my friends, we thought they'd never end.....but, now we see we were wrong.

                        The mainstay industries of generations past are going, going, going.....gone, soon enough. The world knows this, you know this....still, we sit and hope and pray that things work out, and like this example, they did for awhile....another 36 years, kind of like the auto industry, same circumstances; same avoidance of clear facts.

                        Where is the preparedness for the obvious that was always just looming around the corner? Was it hiding it's head somewhere; was it having a beer down the street and laughing through the pain; was it still just hoping and praying that everything would be alright until we could get our retirement and get out of here? We can not cheat fate; and we can not cheat the inevitable conclusion that this type of industry is probably gone for good, between the lack of people who may really be able to afford to be involved financially, and the coming escalation of energy costs that will both add greatly to the cost to make these vehicles and more importantly to the cost to operate them.

                        This feels and looks like the downside that has been waiting in the wings for a few decades on this industry and all the other industries that are highly dependant on cheap energy.

                        All of the Elkharts of America: Re-think; Re-tool; Re-train; Re-invent yourselves. Do it yourself, don't wait for the gravy train, it's not stopping at Main Street anytime soon!

                        Good Luck!

                        {"commentId":6398574,"threadId":"550100","contentId":"2660796","authorDomain":"gosalmonfish"}
                        • 1 vote
                        Reply#8 - Thu Apr 9, 2009 1:32 PM EDT
                        {"commentId":6404113,"authorDomain":"kyrenegade"}

                        I disagree with you .. the American People have tried to rethink, retool, re do everything, with no commitment from top management. America is not making anything.. not producing. What happened to everyone wanting to wear the American Clothes, the American Shoes. Big Government gave the special status and shipping our jobs out of the country. Now, even customer service from credit cards to satellite TV are sent to India. All the jobs are leaving and that is killing us Americans. With no jobs, no buy. Add that to the greedy AIG and all those other bankers who saw a buck and took it for fill their pockets without any thought or concern of good business practices or their fiduciary duties. Top management continues to bleed the workers with outrageous salaries, and not guts to reduce their pay to save their employees. STIMULUS plan should stop throwing good money after bad and support the small businesses, those are the ones worth saving. GM, Chrysler, etc, etc... had the chance to fix their problems years ago when the foreign car builders increased their presences.

                        Now we are all stuck in the quicksand ....

                        {"commentId":6404113,"threadId":"550100","contentId":"2660796","authorDomain":"kyrenegade"}
                        • 1 vote
                        #8.1 - Thu Apr 9, 2009 5:38 PM EDT
                        {"commentId":6406294,"authorDomain":"rrehm4"}

                        Yes, Debbie, do you remember Walmart's slogan when they were first starting out, when they put on a face to care about people? Everything was "MADE IN AMERICA"!! Now that they are the only game in town, in alot of respects, we're tied to them, like an addict to his pusher...

                        {"commentId":6406294,"threadId":"550100","contentId":"2660796","authorDomain":"rrehm4"}
                          #8.2 - Thu Apr 9, 2009 7:50 PM EDT
                          {"commentId":6414446,"authorDomain":"gosalmonfish"}

                          debbie968901:

                          Eventually, when it costs a bunch of money to transport everything across oceans and continents, the cost of local goods should equal out due to the cost of energy. At that point the gigantic multi-national corporations will probably need to import their overseas people, (who still know how to make cloth; clothing; shoes; cars; trucks; computers; toys; furniture; everything else), to our country to show us how it works and help us re-establish the industries here, so that their people may come here to work for minimum wage, or so our people are able to work for minimum wage.

                          Check where the money trail is leading if you are interested in why we are not adapting well to the current business environment. The cash probably leads to a big business, someplace off-shore & untaxed in this country; and probably to some extent to lobbyists and politicians. I know it does not lead to the citizens of this United States of America!

                          Good Luck!

                          {"commentId":6414446,"threadId":"550100","contentId":"2660796","authorDomain":"gosalmonfish"}
                          • 1 vote
                          #8.3 - Fri Apr 10, 2009 10:19 AM EDT
                          Reply
                          {"commentId":6398988,"authorDomain":"guitarcoulter"}

                          Elkhart, like the rest of America, chose in the 1970s/1980s to suck the last few drops of blood out of the carcass rather than look ahead to the future beyond the end of their noses.

                          The carcass has been bled dry now and voodoo economics won't save the day this time. It'll take actual, real work and applied intelligence. I remain to be convinced that America will rise to the challenge.

                          {"commentId":6398988,"threadId":"550100","contentId":"2660796","authorDomain":"guitarcoulter"}
                            Reply#9 - Thu Apr 9, 2009 1:47 PM EDT
                            {"commentId":6399197,"authorDomain":"khannon"}

                            I get a little impatient with the line that Elkhart County is too dependent on a single industry. Of the 900+ manufacturers in this county, only 8% make RVs, campers or trailers.

                            Granted, those companies have been the largest employers. Also, about half of the rest of the companies supply the RV industry in some form. Why wouldn't they supply the RV industry? It has been a thriving industry and a great customer base for them. Over the last few years many of the suppliers understood they needed to expand their customer base.

                            Our EDC believes half of the manufacturers are RV-related. It still leaves over 400 manufacturers that are doing something else.

                            Some of those companies are struggling too. THAT is why the country needs to pay attention to Elkhart.

                            It is not a single industry that is hurting us. We are being hurt by forces beyond our control.

                            Fortunately, we are not the kind of people who wait for a handout. We will find a solution. THAT is the other reason the rest of the country needs to pay attention to us.

                            {"commentId":6399197,"threadId":"550100","contentId":"2660796","authorDomain":"khannon"}
                            • 1 vote
                            Reply#10 - Thu Apr 9, 2009 1:53 PM EDT
                            {"commentId":6403161,"authorDomain":"dymon-farrer"}

                            khannon you are right on all of your comments. I also find it amusing all of these people talk about re-tool, re-train and re-invent. Retrain for what? Retool for what? No manufacturing in America? These comments are very easy to toss around when you don't offer solutions with them. Solutions are the hard part and it's not just Elkhart that is having a tough time right now. What they are trying to do is to show American towns that your not alone and that other places are going through this economic crisis also. But, Elkhart will find a solution and hopefully in the process help other towns to find solutions to their issues.

                            {"commentId":6403161,"threadId":"550100","contentId":"2660796","authorDomain":"dymon-farrer"}
                            • 1 vote
                            #10.1 - Thu Apr 9, 2009 4:48 PM EDT
                            {"commentId":6407387,"authorDomain":"gosalmonfish"}

                            ELKHART GUY:

                            You are not alone. Unemployment in the Central Valley of California is also high and we have around 2 million people idled right now. We are asking the same questions.

                            The future is in energy, no matter what anybody thinks or says, so industries related to this will exist in the future. So the investment needs to be in the production of factories and equipment to produce this.

                            Housing will need to change into something less custom site made; something a lot more affordable; something well designed to do more with less. Probably highly designed pre-built homes need a place to be built in this country as it's kind of expensive to import from China, although....?

                            Batteries for vehicles will be big business. Actually all kinds of batteries.

                            Good healthy food is needed. Enough of the factory meat and over polluted produce, it's killing us. Can't get the good stuff from out of the country, too far away. This must be local within reason. How about some of those mega-sized greenhouses like they have in Israel and Holland and Spain and Italy to grow good things to eat local year round.

                            Who says folks don't appreciate high end, long value clothing anymore, I do when I can find it. It seems to me that the seams in my jeans last longer when they are made in the USA!

                            It will take a lot of ideas and lots of work to come up with the plans to re-invent your city; your county; your state; OUR country, but time's a wastin', better hit the bricks and start now. Quit looking at the fence and start painting it, pretty soon others will fight to join in.

                            Good Luck!

                            {"commentId":6407387,"threadId":"550100","contentId":"2660796","authorDomain":"gosalmonfish"}
                            • 2 votes
                            #10.2 - Thu Apr 9, 2009 9:19 PM EDT
                            {"commentId":6410951,"authorDomain":"jmg35"}

                            I use to live in Nappanee In built rvs at Gulfstream for 14yrs before moving to Australia in 2004. Now I build homes and buildings. Trust me when I say its not just Elkhart feeling the squeeze when it comes to housing and rv manufacturing. So I cant understand people pitting democrat against republican being their fault. Heck Im still a republican I didnt cause the problem in Elkhart. Many friends still there are democrats. Australia has lost 35,000 jobs recently. You say that doesnt sound like much but, with under 22million people a country the size of the usa thats a big number. Root cause is banks overlending and too many people with that, I want what I want when I want it attitude! And the banks said ok heres some money. And those people that got the loans always thought you would never loose your job.Just as a drunk says Ill never crash a car or smash into another person. It will happen. Best thing to do is just wait it out like we have for the last several hundred yrs. Did I say last several hundred years ?? Seems like we never learn. For we are humans in our minds and invincible!!:)

                            {"commentId":6410951,"threadId":"550100","contentId":"2660796","authorDomain":"jmg35"}
                              #10.3 - Fri Apr 10, 2009 2:34 AM EDT
                              Reply
                              {"commentId":6400659,"authorDomain":"dawuud77"}

                              Hopefully things will get better.

                              {"commentId":6400659,"threadId":"550100","contentId":"2660796","authorDomain":"dawuud77"}
                                Reply#11 - Thu Apr 9, 2009 2:55 PM EDT
                                {"commentId":6400909,"authorDomain":"gorenchan"}

                                I would like to respond to HotCarNut, in that I wouldn't mind paying a "little" extra for something made in the USA. The problem is that to find an item made in China, and the same product made in the USA the cost difference is huge. For example a drill bit set of 25 pieces made in China $25, the same set made in the USA $45. That is $20 more, and that is on a small ticket item. That goes for everything across the board.

                                Another part of the problem is to make the drill bit set in the USA you need to pay a union machinist a good wage to make them. I am not against the union, but to live in this country, you can't make $6.50 per hour and live. On the same note a union worker can't pay $45 for a drill bit set making $20 an hour when his cost of living for the house, electricity and gas is $1400 per month. So what does he have to buy, the set made in China. He can't even afford to pay for his own brotherhood of union worker.

                                People can complain about this and that. The market itself is screwed up. In Michigan, they want to retrain everyone to be a scientist, or engineer. Not everyone can be those things. Our current governor can't see beyond the mole on her face. We need to manufacture things for less money, which means the unions will have to make concessions. Learn how to budget money better, and people as a whole need to learn to live on what they make instead of credit.

                                A wise person once told me that being an adult is being able to say no. Say no to keeping up with the Jones's, and live with what you make. Start a business, that is what makes this country great. My two cents.....

                                {"commentId":6400909,"threadId":"550100","contentId":"2660796","authorDomain":"gorenchan"}
                                • 3 votes
                                Reply#12 - Thu Apr 9, 2009 3:06 PM EDT
                                {"commentId":6402275,"authorDomain":"123bbox"}

                                We've been sold out by our leaders and we have sat on our behinds and done nothing about it.  I don't mind helping the Chinese and the Indians have a better life but it has been at our expense the middle class.

                                  What did I hear the other day that 10 billion dollars from the financial sector went to lobby congress during the last five years!  No wonder everything has been deregulated. 

                                 The free trade mantra is alright with some regulations thrown in to protect the US and its people, but that doesn't happen.  We give it all away so some large multinational corporation can make more profits for the super rich who own most of the stock in this country.   I think the powers that be don't want a middle class in this country just the rich and the poor nothing else and they have been working towards that goal and it looks like their program is working.

                                  We no longer produce anything here so how can we create wealth?  Making bets on the financial sector,  we see what happened there. A few made billions and when the house of cards fell down we the working people bailed out the super rich when they couldn't get their money because the bank had gone bust.  Betting on something doesn't make wealth you have to add value to something basic and sell it for more to make wealth.

                                This country is in a downward spiral sold out by our leaders who for some reason always leave office  richer than they came in. They are not looking out for the betterment of the people but the betterment of themselves. 

                                 China will end up beiing the super power of the world because of greed running our government not the people.  So email your elected officials and let them know how you feel.

                                 

                                 

                                 

                                 

                                {"commentId":6402275,"threadId":"550100","contentId":"2660796","authorDomain":"123bbox"}
                                • 2 votes
                                Reply#13 - Thu Apr 9, 2009 4:09 PM EDT
                                {"commentId":6403298,"authorDomain":"justwondering02"}

                                I'm sorry, but our WHOLE COUNTRY missed the boat since 1973! We've been a giant, lumbering sloth when it comes to alternate energy and a way to make life better for our kids and planet, since the oil shortage in the 70s, the first Earth Day and the beginning of recycling!!

                                I'm glad and blessed to be living in the US, but on the other hand, I'm so embarrassed by our inability to look to the future and out of the box! We've kept our head stuck in the sand for way too long, and now we are paying the price for it. Shame on us.

                                {"commentId":6403298,"threadId":"550100","contentId":"2660796","authorDomain":"justwondering02"}
                                • 3 votes
                                Reply#14 - Thu Apr 9, 2009 4:54 PM EDT
                                {"commentId":6403795,"authorDomain":"justheb"}

                                As a one-time neighboring resident who grew-up on the Granger/Elkhart border for 16 years, has a father who worked in Elkhart for 22 years (though he has been laid-off twice in last three months as of late) and as someone who has had more then a couple part-time jobs there myself while on summer break from the University of Notre Dame, Elkhart holds a special place in my heart. In high school, I played basketball for Penn and loved the hostile environment of playing Elkhart Central or Elkhart Memorial at the North Side Gym.

                                My wife, kids and I now live in Dallas and have been here for the last four years. We, along with the rest of the country, have closely monitored the cities story on the network news and through this website.

                                Instead of picking on the blue-collar cities population, which political party is at fault, whether leadership shouldn’t have put all their eggs in one basket with the RV business or why it’s getting all this attention in the first place when other cities are just as bad off, I would like to encourage recommending some productive dialogue amongst people who like a comeback story of an American small town.

                                Though I’m not an expert on city planning by any means (my opinions come from the limited research I have done on the internet about the problem of late), here is what I would like to say to their residents:

                                Here is what I see as your competitive advantages in Elkhart, Indiana:

                                1. The population workforce (both blue and white collar).

                                2. The production factories that have been used in the past for manufacturing.

                                3. The inexpensive cost of living and cost of running a business there.

                                4. The access to Chicago and Cleveland using the 80/90 toll way and rail system.

                                5. The wealth of knowledgeable academics from the nearby universities and colleges (University of Notre Dame, IUSB, Bethel, etc.).

                                To the Political Leadership of Elkhart

                                1. I hope that you have leveraged all of the publicity you have received around the country and brought together a think-tank panel of the greatest minds from the University of Notre Dame, IUSB, Bethel, local businessmen, local residence, urban planning consultants from Chicago and future business trend consultants to devise a plan on how cities with similar problems in the past have successfully turned their cities around and you can create a solid plan going forward.

                                2. I hope you have a plan to diversify your city and take it in a direction that will compete in the 21st century. Winston-Salem is a great example of this. According to Fortune Small Business, “Winston-Salem for shifting our ‘economic focus from tobacco, textiles and furniture to biotech, supply-chain logistics and product distribution’ and for ‘broadening and better promoting’ our ‘culinary and arts scenes.’” (see link below)

                                3. I hope you have a plan that will make a thriving city in 5, 10, 20 years like Frisco, TX seems to have (see link below).

                                4. Find out what needs to be done for businesses around the country to move to Elkhart, Indiana. Find there objections and solve the problem, so that it is not the case. Tax incentives, tax incentives, tax incentives!!! If you allow them to make more money then someplace else that they are currently at, they will come.

                                To the Residents of Elkhart:

                                1. Globalization is real and is only going to get worse for all blue-collar and some white-collar jobs (specifically in I.T.). With the rise of China and India’s economies, blue-collar work will continue you go over seas where costs are cheaper. The competitive advantages you will have as workers are in products that cost lots to ship after they are made and your education. A blue-collar lifestyle used to give you a middleclass way of life. In the 21st century, this will no longer be the case as blue-collar job wages will stay the same while the cost of living will increase. The way to combat this is through education. In the 21st century, the only way to have a middleclass lifestyle will be to have a college education.

                                2. I’ve heard residents say, “We were the first ones in and we’ll be the first ones out.” I would argue that if you don’t adapt and start making products that 21st consumers want, this will be far from the truth. It is up to your residents to make the necessary changes to be competitive in the future. You can do it.

                                Alright, I’ll get off my soapbox now. The people of Elkhart, Indiana are great people. I wish them all the best and I’m pulling for the comeback story!!!

                                {"commentId":6403795,"threadId":"550100","contentId":"2660796","authorDomain":"justheb"}
                                • 3 votes
                                Reply#15 - Thu Apr 9, 2009 5:19 PM EDT
                                {"commentId":6403842,"authorDomain":"wjbrock"}

                                Why say "Past is Prologue" for Elkhart? Hve you looked at Detroit lately? We ignored all of the warning signs. If we had decided to make petroleum obsolete, starting in 1973, this mess never could have occurred.

                                We need to break up the oil companies so they cannot exert their political pressure on us anymore. There is nothing else to be said about it.

                                {"commentId":6403842,"threadId":"550100","contentId":"2660796","authorDomain":"wjbrock"}
                                • 5 votes
                                Reply#16 - Thu Apr 9, 2009 5:22 PM EDT
                                {"commentId":6404259,"authorDomain":"mjeziers"}

                                It's all part of the boom and bust cycle...before the economic crisis, Elkhart county was one of the fastest growing counties in Indiana due to the large number of jobs available (due to the RV industry, due to the bad dollar and people not wanting to travel overseas but rather in their own country). Now those jobs are gone, and the fact that a single industry supported the entire economy is now a bad thing instead of a good one because it's not a booming industry anymore (due to the credit crisis). I lived in Northern Indiana for most of my life and still consider it my home, and other industries even in the South Bend area are not doing very well due to the loss of income by its neighbors (and of course many in St. Joseph county worked in the RV industry as well). Besides the credit crisis it doesn't make any sense that the RV industry is going down because gas prices aren't that bad now, and international travel isn't still that popular due to the weak dollar. If Elkhart county would invest more in intelligent industry (such as biotechnology), they would be able to come out of their slump, provided that education (such as the expansion of Ivy Tech, Indiana's community college) would follow what the popular industries are, and making it more available to people who work all day in a factory (just like my mother and stepfather do)

                                {"commentId":6404259,"threadId":"550100","contentId":"2660796","authorDomain":"mjeziers"}
                                • 1 vote
                                Reply#17 - Thu Apr 9, 2009 5:46 PM EDT
                                {"commentId":6404486,"authorDomain":"rreed10"}

                                The auto ind. gave the people what they wanted, so now we are paying for it again. WE never learn.

                                {"commentId":6404486,"threadId":"550100","contentId":"2660796","authorDomain":"rreed10"}
                                  Reply#18 - Thu Apr 9, 2009 5:57 PM EDT
                                  {"commentId":6404688,"authorDomain":"JustAri"}

                                  Justheb--you are right on the money! That is excellent advice that can be adapted to many towns. As someone who is living away from her small hometown and watching it slowly go under, your story and advice touched me and made my mind race with ideas! I'm glad the msnbc spotlight caught my eye and I gave this a read and I can't wait to talk to my mother about it.

                                  Best of luck to all of you.

                                  {"commentId":6404688,"threadId":"550100","contentId":"2660796","authorDomain":"JustAri"}
                                  • 1 vote
                                  Reply#19 - Thu Apr 9, 2009 6:10 PM EDT
                                  {"commentId":6405081,"authorDomain":"AnnabellaSue"}

                                  This video is quite bizarre. Why? Well, because I wasn't paying much attention to it and I thought it was from the present time and didn't realize it was from 1973 until I played it over a couple of time. Things sure don't change, do they?

                                  {"commentId":6405081,"threadId":"550100","contentId":"2660796","authorDomain":"AnnabellaSue"}
                                    Reply#20 - Thu Apr 9, 2009 6:33 PM EDT
                                    {"commentId":6405129,"authorDomain":"lstover"}

                                    I lived in Elkhart from 1969 to 2002. Al Craft trailer sales in this video sponsored my fastpitch softball team in the early 70's. This down turn will be much more difficult than the 1973 dip due to far less diversified industry. Back then staples like Miles laboratories(where I worked 25 yrs.), Whitehall labs, Adlake, and others provided thousands of well paying jobs to shore up the area. There were also mobile home giants like Richardsons and Skyline who were not affected by gas prices. Elkhart is a good rail hub and I am not sure why they could not have attracted higher tier businesses to the area. That should lie on the shoulders of politicians who perhaps were not capable. I left many friends and good acquaintances there who I hope can weather this challenge.

                                    {"commentId":6405129,"threadId":"550100","contentId":"2660796","authorDomain":"lstover"}
                                      Reply#21 - Thu Apr 9, 2009 6:36 PM EDT
                                      {"commentId":6405824,"authorDomain":"timmeh5564"}

                                      I thought the Mighty Obama went up there, gave a flowery speech, and fixed everything? I feel for the people of the town, but please don't wait for the government to make it better. It won't. Only you can. My prayers are with you.

                                      {"commentId":6405824,"threadId":"550100","contentId":"2660796","authorDomain":"timmeh5564"}
                                        Reply#22 - Thu Apr 9, 2009 7:17 PM EDT
                                        {"commentId":6406241,"authorDomain":"haileytome"}

                                        Wow.. this economy is really going to the dogs.. I am trying anything I can to save money.. in fact, I just got into cooking to save money.. i save 800 bucks a month by cooking... my gf bought me this hilarious beginners cookbook called "Get in the Kitchen, BIT@HES!" (@!$%#cooks.com).. besides being hilarious.. really has some great starter recipes and food I never thought I could make myself.. check out the free recipes on the site... youll see.. plus.. i get the added bonus of my gf telling me to "get in the kitchen, Bit@H!".. have to say that's pretty hot...lol

                                        {"commentId":6406241,"threadId":"550100","contentId":"2660796","authorDomain":"haileytome"}
                                          Reply#23 - Thu Apr 9, 2009 7:46 PM EDT
                                          {"commentId":6406539,"authorDomain":"rrehm4"}

                                          It's all fine and good to say that we need to "retool for the 21st Century", but look at it this way. Every company and city in this country simply cannot transition from making physical products, like clothes and furniture and become service-oriented non-product businesses. We can't just "throw" our knowledge at each other and mail each other invoices, because we're not CREATING any wealth, just redistributing the existing money supply. This country has alot of good, hard-working people, but not everybody is suited to a white-collar job. Most of the manufacturing facilities have disappeared; aren't we creating a country where many people will NEVER find another job with a liveable income? Where are we headed? Comments, anyone?

                                          {"commentId":6406539,"threadId":"550100","contentId":"2660796","authorDomain":"rrehm4"}
                                            Reply#24 - Thu Apr 9, 2009 8:07 PM EDT
                                            {"commentId":6407564,"authorDomain":"gosalmonfish"}

                                            Robin:

                                            Without a major change in direction and priorities, I fear you are right.

                                            Everything needs to be questioned, but for now it is clear that we do not have a sustainable business plan for the United State of America, much less the Elkharts of this country.

                                            The challenges are great. How great are the people?

                                            Good Luck!

                                            {"commentId":6407564,"threadId":"550100","contentId":"2660796","authorDomain":"gosalmonfish"}
                                            • 1 vote
                                            #24.1 - Thu Apr 9, 2009 9:33 PM EDT
                                            Reply
                                            {"commentId":6406662,"authorDomain":"bob-jurgeto"}

                                            thank you robin

                                            {"commentId":6406662,"threadId":"550100","contentId":"2660796","authorDomain":"bob-jurgeto"}
                                              Reply#25 - Thu Apr 9, 2009 8:16 PM EDT
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