Red, white and blue versions of everything from paper plates to flip-flops will be used today as Americans celebrate Independence Day.

But virtually none of those items has a “Made in the USA” sticker.

For some local residents, that reality rubs their patriotic pride the wrong way. They make an effort to buy domestically produced products whenever possible, both on the Fourth of July and year-round.

Target front lane manager Tiffany McQueen organizes Fourth of July items in the store’s dollar section.
Jerry Larson/Waco Tribune-Herald

But to area economists, the fact that many of the goods Americans use are made in other countries is not a cause for concern.

In fact, Americans would be hurt in the long run if everyone insisted on buying only domestically produced products, they said.

“Intuition is not always the best guide on these things,” said Steve Gardner, an economics professor at Baylor University. “. . . Policies that turn a country inward never work. If we tried to cut ourselves off from the world, it would be very bad for the economy.”

Wes Dawson doesn’t see it that way. The 50-year-old Waco resident said he makes a conscious effort to buy American-made products.

That mission is challenging, Dawson said. American-made clothes and toys are difficult to find at major retailers. Domestic electronic products are practically nonexistent.

For such items, Dawson has a Plan B. He buys products that are manufactured by companies headquartered in the United States, he said.

There is a domestic option for most items if people are willing to look, Dawson said. It might mean paying a little more but not always, he said.

“In a lot of instances, the ‘Made in America’ product is the better buy,” said Dawson, who works in the service department at a local Ford dealership. “And, in a lot of cases, it’s better quality.”

One reason Dawson seeks out American-made products is because he likes the idea of supporting his fellow countrymen, he said. Another is the fact that domestic goods must pass certain safety and quality tests, he said.

“Industry standards are one thing here,” Dawson said. “When you get outside our borders, it’s something else.”

Tom Thaggard, of Chalk Bluff, also likes to buy American. More and more, though, he is disappointed by the lack of such items at stores, he said.

Thaggard agreed with Dawson that American-made clothes and electronics are particularly hard to find.

“Maybe socks and hankies is all they make anymore,” Thaggard, 70, said. “. . . I’d buy more (American-made stuff) if I could find it. We’re sending cartons of money back to (other countries.)”

Domestic support

In principle at least, Americans like the idea of buying domestic goods. A poll Gallup conducted in 2007 after a string of recalls involving Chinese products revealed that preference.

A whopping 94 percent of people surveyed said they would pay up to two times more for food produced in America versus China. About 82 percent said the same thing about toys and 76 percent made that statement about furniture.

For household appliances, shoes, home products and clothes, the poll showed 60 percent to 70 percent of people would be willing to pay that much more for American goods. With electronics, that percentage dropped to half.

The poll showed lower-income people were more likely to shell out more for domestic goods. People older than age 50 were also more likely to have that outlook.

A more narrow study Gallup did this March showed 36 percent of Americans would consider only domestic manufacturers when buying a vehicle.

About 6 percent said they were exclusively interested in foreign-made models. The rest said they would be open to either.

Economics against it

Local economics experts said they understand the emotional appeal of buying American. But as a real-life practice, it usually falls short, they said.

A fundamental of economic theory is that countries should specialize in the goods they can produce best, said Brooks Wilson, an economics instructor at McLennan Community College.

That frees up other countries to produce what they can make best. The result is more goods being produced more efficiently, with trade divvying them up, he said.

Consider, for example, how absurd it would be for Central Texas farmers to try to convert some of their land to coffee production or a banana crop, he said.

“If we say, ‘Only buy American stuff,’ why not just Texas stuff?” Wilson said. “And if just Texas stuff, why not just McLennan County stuff? You could go down to the block level or even just make it all yourself. But it’s not sustainable. It’s not productive.”

Gardner, the Baylor professor, agreed.

Undoubtedly, global trade has negatively affected Americans who work in certain industries, he said. When people hear stories about steelworkers’ jobs going overseas or manufacturing plants moving to other countries, it’s understandably upsetting, he said.

“Those are real problems for real people,” Gardner said.

But that doesn’t change the fact that from an economic standpoint, it’s better for countries to specialize, he said. If everyone in America bought only domestic goods, it would not save American jobs, he said. History has shown countries don’t improve their economic situation by turning inward, he said.

Jobless exception

But an exception to those general principles can occur during periods of high unemployment, said Earl Grinols, who also is a Baylor economics professor. Purchasing then can have a multiplier effect that expands employment in the region where the additional spending is directed, he said.

“If, for example, the rest of the nation decided to preference Texas-made products, this would represent additional demand that would lead to a multiplier increase in Texans employed,” Grinols said.

Economic theory aside, Gardner said it can make sense for people to seek out American-made products in certain instances.

One reason might be quality. Some American products are simply better than versions made elsewhere, he said.

Some people might also decide they have a moral imperative to support their neighbors, especially those who are struggling, Gardner said.

In the past, the prevailing sentiment was that people in local communities had the best information about others there and could best support them, he said.

But now, with global communications and 24-hour news, Americans are just as likely to know about the plight of poor people in Haiti as poor people in the Appalachian Mountains, Gardner said. That raises the questions of whether equal need in places outside America requires equal help, he said.

“I start looking at the biblical question of, “Who is my neighbor?’ ” Gardner said.

Going global

For Jimmy Dorrell, the answer to that question is indeed global. He is the executive director of Mission Waco, which sells fair-trade crafts made by people in developing countries.

The nonprofit organization also recently launched a microlending program that will help women in Haiti start and grow small businesses.

At the same time, Dorrell makes an effort to support local businesses, he said. When he gets his hair cut or car inspected, he makes a point to go to locally owned shops rather than franchises.

“As much as I love my country and appreciate the freedoms we have here, I think our call is to see poor people through the eyes of God, and that means people anywhere,” Dorrell said. “I don’t think it’s an ‘either/or’ but a ‘but/and.’ ”

cculp@wacotrib.com

757-5744