this post was submitted on 04 Jan 2024
239 points (98.8% liked)

News

23664 readers
3557 users here now

Welcome to the News community!

Rules:

1. Be civil


Attack the argument, not the person. No racism/sexism/bigotry. Good faith argumentation only. This includes accusing another user of being a bot or paid actor. Trolling is uncivil and is grounds for removal and/or a community ban. Do not respond to rule-breaking content; report it and move on.


2. All posts should contain a source (url) that is as reliable and unbiased as possible and must only contain one link.


Obvious right or left wing sources will be removed at the mods discretion. We have an actively updated blocklist, which you can see here: https://lemmy.world/post/2246130 if you feel like any website is missing, contact the mods. Supporting links can be added in comments or posted seperately but not to the post body.


3. No bots, spam or self-promotion.


Only approved bots, which follow the guidelines for bots set by the instance, are allowed.


4. Post titles should be the same as the article used as source.


Posts which titles don’t match the source won’t be removed, but the autoMod will notify you, and if your title misrepresents the original article, the post will be deleted. If the site changed their headline, the bot might still contact you, just ignore it, we won’t delete your post.


5. Only recent news is allowed.


Posts must be news from the most recent 30 days.


6. All posts must be news articles.


No opinion pieces, Listicles, editorials or celebrity gossip is allowed. All posts will be judged on a case-by-case basis.


7. No duplicate posts.


If a source you used was already posted by someone else, the autoMod will leave a message. Please remove your post if the autoMod is correct. If the post that matches your post is very old, we refer you to rule 5.


8. Misinformation is prohibited.


Misinformation / propaganda is strictly prohibited. Any comment or post containing or linking to misinformation will be removed. If you feel that your post has been removed in error, credible sources must be provided.


9. No link shorteners.


The auto mod will contact you if a link shortener is detected, please delete your post if they are right.


10. Don't copy entire article in your post body


For copyright reasons, you are not allowed to copy an entire article into your post body. This is an instance wide rule, that is strictly enforced in this community.

founded 2 years ago
MODERATORS
 

The Biden administration is providing $162 million to Microchip Technology to support the domestic production of computer chips — the second funding announcement tied to a 2022 law designed to revive U.S. semiconductor manufacturing.

The incentives include $90 million to improve a plant in Colorado Springs, Colorado, and $72 million to expand a factory in Gresham, Oregon, the Commerce Department said. The investments would enable Microchip Technology to triple its domestic production and reduce its dependence on foreign factories.

Much of the money would fund the making of microcontrollers, which are used by the military as well as in autos, household appliances and medical devices. Government officials said they expected the investments to create 700 construction and manufacturing jobs over the next decade.

you are viewing a single comment's thread
view the rest of the comments
[–] [email protected] 2 points 11 months ago

I'm glad you asked. The Soviet Union was famous for industrial policy. Or the government controlling what gets created and produced. It's basically the reason why we say free markets are better and that we can't use industrial policy to catch up.

The original Lada was famous for being the prime example of this. While western nations were driving highly advanced cars, the Lada was incredibly primitive. It didn't have airbags, or anti-lock breaking or any safety features. Basically they were rolling death traps. Btw, Iranian cars are basically at this state and are also created with government control. The reason is, industrial policy doesn't focus on what's good for the market, but the demands of politicians. They saw the Lada could drive and that's good enough and didn't invest more into it since there were too many other demands. This happened to basically all soviet industries causing them to fall far far behind.

But the Lada is just an example. There are many other examples like the Russian Aerospace industry, or the Japanese Aerospace industry, or India's chip fabs.

Now, that isn't to say I disagreed with the chip act initially. China's proven you can stimulate markets as long as you don't get involved in the actual production. Basically China had a big chip fund and spread it across both large and small organizations, but most importantly allowing those who couldn't compete to go bankrupt. That's why there were so many reports about over 1,000 chip companies bankrupting in China last year. But it also produced Huawei's new chip. You can't pick winners and losers, you need to let the market decide. Which I thought initially what Biden would do. I also knew 50 billion wouldn't be enough, but I thought it would be a start. Instead, we're seeing Biden pick winners and losers. This will lead to bad outcomes.