McDonnell Deal With Taiwan

In their column “Let McDonnell’s Deal Go Through” (Commentary, Nov. 25), George Donohue and Michael Kennedy skate over their own flawed logic in one of the most critical points of the proposed transaction that would sell a 40% stake of McDonnell Douglas’ commercial aviation business to Taiwan Aerospace; namely, the fact that the Taiwanese government has an equity position in this deal.

They are quick to point out that the U.S. government should not engage in similar activity, even if it means protecting American jobs. Unconvincingly, they argue that if U.S. tax dollars are spent to keep McDonnell Douglas jets built here, they will be mismanaged, while if the money flows from the spigots in Taipei, a strong new company will arise and international competition will benefit. How this is to happen they do not say, but one thing is clear; the playing field that will emerge from this deal will not be level, not for Boeing at least, since other governments eagerly subsidize their countries’ key industries.

Unless we wake up and stop allowing the wholesale transfer of jobs and knowledge to countries with predatory trade practices, we will presently find the entire nation working at McDonald’s.

ROBERT McMILLIN, Torrance