The collapse of manufacturing

Boredie

In need of Entertainment
#1
The financial crisis has created an industrial crisis. Taken from The Ecomonist.com

$0.00, not counting fuel and handling: that is the cheapest quote right now if you want to ship a container from southern China to Europe. Back in the summer of 2007 the shipper would have charged $1,400. Half-empty freighters are just one sign of a worldwide collapse in manufacturing. In Germany December’s machine-tool orders were 40% lower than a year earlier. Half of China’s 9,000 or so toy exporters have gone bust. Taiwan’s shipments of notebook computers fell by a third in the month of January. The number of cars being assembled in America was 60% below January 2008.
The destructive global power of the financial crisis became clear last year. The immensity of the manufacturing crisis is still sinking in, largely because it is seen in national terms—indeed, often nationalistic ones. In fact manufacturing is also caught up in a global whirlwind.
The article goes on to say/ask what the governments should do about it.
You can read more at the above link.

My question is as follows:
If the governments are not able to bring the industrial crisis to an end would do you think will happen?
Will humanity find themselves back hundreds of years to when farming/sheparding were the main occupation of the people?
Where technology and growth in that respect will come to a halt? Where manufacturing needless items for sole survival (which basically means food and shelter) will be no more?

What are your thoughts on the subject?
 

Bananas

Endangered Species
#2
If the governments are not able to bring the industrial crisis to an end would do you think will happen?
The industries are slumping, they may not recover fully but they will find a substainable medium.

At the moment supply out strips demand but as more business go under this trend will soon reverse. We will start to see hyper inflation as the manufacturers have to make their monies from the limited few they sell, the mass has been taken out of mass-production. Monopoliosing and capitilisation will also creep into certain sectors, it is becoming apparrent that it is the very big and very small who are really suffereing through the current crisis. If half the 9000 ~Chinese toy makers have gone out of business, that is half the competition eliminated already, consumer power will not be as powerful as the selection is limited.

Second from this I see unemployment being a problem, I think we will struggle to create new jobs and when we do they will be mechanised, this crisis is in someways a giant spring clean. How we over come this I have yet to think of an answer.

Will humanity find themselves back hundreds of years to when farming/sheparding were the main occupation of the people?
No, the industries are slumping they are not ceasing to exist, some sectors are even booming. I think part of the current problem outside of the financial crisis is that we have become over-productive, combined with reaching the end of a natural revolutionary boom that we have seen in post-modernism. For example if I were given (£$€) 10k tomorrow I would struggle to spend it, I have a nice TV, I have a good computer, I have a car etc....... I have bought all these things in the last 10 years, I simply do not need to buy new ones, we have saturated the market, what else can we sell/buy. Sure I will need to replace all those items at somepoint but that will produce a steady stream of consumers and not the hoardes we have experienced in the last 50 years, especially in the last 20.

But there is hope on the horizon.........we have yet to exploit Africa. there are a lot of people there who will soon be wanting all the shiny goods that we have got used too.