It has been discussed at length in this column before that the burgeoning global economy is our own doing as a cumulative American populace thanks to our roles as consumers and recipients of government services. Low-cost overseas production and thusly low-cost consumer goods came about due to our demand for items at prices and varieties that were not possible within America’s borders due to the cost of business created by high taxes and restrictive regulations. Only in the Chinas and Indias of the world could our insatiable materialism be satisfied at prices we are willing to pay.

From this transfer of production the global economy has become at once a Godsend and a death knell for our national economy. It allows people from all class levels to purchase consumer goods and durables that they were unable to purchase before, assuring that low-income and lower-middle-class people can appreciate what was once a comfortable way of life only afforded by middle-and-upper income people. But, for all this good there comes with it an undesirable side effect. The United States are gradually transforming into what is predominantly a service economy, taking away the incredible economic benefit that comes with a powerful manufacturing sector.

Service economies have limited impact because they either take what is made elsewhere and sell it or they use humanity to appease humanity. Therefore, the value-added effect is slim because there is minimal investment of resources, technology, and personnel to "create" what is produced or offered. Mathematically stated, for every $1 of sales in the service industry intermediate economic impact is only another 71 cents.

Unlike a service economy, a manufacturing economy creates true wealth for a nation. For every $1 of manufactured goods sold to a consumer another $1.43 is created in sectors outside of manufacturing. This is because manufacturing creates or empowers support functions. It needs the transportation sector and its people to get goods from point A to point B. It needs the service sector to market and sell its products. And, it needs the education and health care sectors to provide for the people employed by manufacturing and the other sectors it empowers.

The fact that manufacturing is over twice as financially-important as servicing is only part of the story. The human factor – employment - is the other part of the equation. On average, those employed in the manufacturing sector receive wages and benefits that are 17% higher than the compensation packages found in all other sectors combined. And, these well-compensated jobs - in a fashion similar to the economic driver - create employment in other sectors. According to federal statistics, just a handful of years ago manufacturing employed 15 million Americans and required another 8 million workers in other sectors as a means of support.

You may be wondering how we prevent further losses in manufacturing and keep the economy strong with American made goods. Since the government has done little to rectify the impediments that affect American manufacturing we cannot leave it to the powers-that-be to address the issue. It requires instead a veritable grassroots effort by each and every one of us as consumers to act in a patriotic fashion.

Typically you will see grocery shoppers smartly traversing the aisles investigating cartons and labels to see what a food item is made of and how much the product might yield. Rarely do you see that same sort of inquisitiveness in department stores. Those shoppers might buy only on the factors of impulse, name brand, and price, satisfied only with the visual presentation of the products and the brief product description plastered on the face of the carton. Rarely do they turn the carton over to see if the item was manufactured here in America or someplace on the other side of the world. That mindset needs to be eliminated.

Such label shopping will not be in vain, for, yes, goods are still manufactured in the United States and, believe it or not, at ever-growing levels. A quick search at a directory like www.madeinusa.com will show countless thousands of American manufactures and products responsible for this growth. While we may be losing in what could be considered manufactured "commodities" we are gaining in durable goods, vehicles, and more. Buying patriotically does not make you a bad shopper either, for despite global market trends many American products remain very competitive in pricing and are far superior in quality.

We as nation of consumers need to buy smartly. We need to buy American. Doing so not only satisfies our buying urge but it also keeps real, honest-to-goodness Americans (your friends, families, and neighbors) employed and our economy strong. We all win with patriotic buying.