President Biden’s plan for the chain crisis has come out. It says that the plan will move goods faster, and strengthen those supply chains. If accurate, this means that the ports at Los Angeles and Long Beach will need to work 24/7. That’s good for income of the workers, but with employees down, it seems a bit over enthusiastic. This is a breakdown of what the plan intends to offer and some problems overall.
President Biden’s commitment to going 24/7 is the major step towards getting the chain crisis to end. The ability to get things flowing again means the private sector must get on board with the devotion to work. It also means people need to get back to work. President Biden spoke in an interview on the 14th, saying that federal funding would become available if needed. That financial assistance and help with the manual labor shortage is the main issue right now. It’s gotten so bad that shortages have begun to cause some serious concerns. Somehow, we’re back to supply shortages. The only problem is, there isn’t actually any shortage. It’s happening because people have fed into the lies of shortages. The trucking companies have begun to spread this campaign of misinformation.
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FEMA and National Guard have committed to providing drivers to compensate for the lack of drivers. Machinery from the federal government can give the help to the longshoremen who have a shortage of machinery. Extended workdays will help relive the issue as well. The issue is the help fails to extend to other ports that desperately need it. It also doesn’t help with the infrastructure concerns that still remain. The good part about all this is that President Biden seem to understand and is creating solutions.
Short Term Measures
While President Biden’s measures are helpful, they are short term at best. The long-term measures require the help of the international community for this to improve in a more permanent way. The Infrastructure Bill promises this long-term improvement. In the meantime, the short-term measures should help. The next thing that must improve are the shipping costs. When all that comes together, then there won’t be any reason to have shortages. The misinformation campaigns won’t work then.
Calling Business Out
The interesting thing about this is the way that President Biden basically called out the CEO’s who weren’t getting things done. They received the blame for the issue. There is only so much President Biden can do to help the situation. This is along-term things that takes all the pieces fitting together to restore what has happened. The trucking companies need to step up and help more as well. Most of them claim they’re doing all they can. That’s the problem. Are they really doing all they can? After all, there is a labor shortage. So perhaps the real issue here is more than just roads. It might be something far larger going on.
Jamie Dimon of JPMorgan Case told reporters that this crisis will avert itself in a year. Maybe that’s true. The whole toilet paper fiasco passed on its own. Many of the problems are due to low staff and people that spread misinformation and fear. That’s why the administration is working so hard to stop the misinformation campaigns that have taken over social media. It’s the ripple effect of that misinformation that drives the prices up, too. When the president stops that, things might actually get better. Only time will tell how this all ends. Many suspect that, like the whole toilet paper thing, it will pass with time.
Shortages and Drivers
While the drivers are simply refusing to drive the normal routes, there are shortages from the behavior. That needs to get resolved. More drivers from the National Guard will help in the meantime. The supply chains, set up years ago, must get back on track. If this National Guard help isn’t enough, there is nothing yet, that can handle this concern. All options are in the evaluation stage at the moment. Solutions can help to solve it. President Biden’s plan is helpful, but it’s just the tip of the problem.
The solution that President Biden’s plan has suggested for the supply chain crisis will help. There is so much more that must happen, though. Drivers from the government will help for a while, but that only works for so long. The change from the old positions of supply to the current one is dramatic. It proves the interconnection of the whole world. If everyone from the international community works together, this can improve. Some are saying it’ll pass naturally on its own. The only way to find that out is to wait. It will either get better, or completely fall apart. President Biden’s Infrastructure Bill should help the drivers return to work. One thing is for sure though, the roads will be more efficient. Maybe that is the thing that can guide things back on track.
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