Who's fault is it that many Americans can only afford to buy "made in China" goods?

Question

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Answer 1

That question is incorrect.

We can afford products made all over the world, it's a question of "quantity" over "quality". We would rather buy 8 pairs of shoes for 30 dollars a pair than buy 3 pairs for 80. We also demand that the corporations we invest our retirement savings in produce ever larger profits, which means the "margin" (simply stated the difference in the cost to make and sell a product and the price you pay for it) has to increase (or you have to sell more of hte product). You can increase margin by raising prices, or by cutting costs.

Given that someone in China makes between a dollar an hour and a dollar a day, and a similar job in the US goes between 10 and 50 dollars an hour, your *biggest* cut is to move the production off shore (there are other savings there as well).

So you wind up in an environment where corporations offshore their production to increase margin, and consumers want to get as much as they can for their dollar.

Answer 2

Clinton gave China Favored Trade Status. There are 2 sides to every coin. Unions had their way in this country for decades. The US wage and pension costs were astronomical and were passed onto the consumer, so where is that fine line? We can buy an air conditioner for less than $100 today that cost $400 just 10 years ago.
The American worker has endless opportunity because of Free Trade, but most lack the education and skill to adapt. We have young people entering the workforce making twice what their parents made, and we will also have to deal with those who may never.
It's not one political party. Both parties have been involved in the process. Anyone who says otherwise is a partisan hack.

Answer 3

The economy does not exist in a vacuum. It is cyclical. The higher the minimum wage of the people making something, the higher the cost of that particular something. If you are making Yo-Yos and paying your workers $10 per hour, you probably will not find too many people who are willing to pay what you need to charge for that yo-yo.

The higher the minimum wage the less employable unskilled labor becomes. Soon, companies are faced with the choice of automating their production or going overseas for cheap labor. Neither of which will enable unskilled labor to find a manufacturing job.

The demand for such a high standard of living is another factor. When I was a child, if you had a washing machine it probably cost several weeks of pay. A vacuum cleaner as well. Most families only had one telephone, one automobile and one TV set.

Now, I have three autos, five TV sets, six telephones etc. I have been on many a vacation, travel by air, etc. I am only a middle class guy. The only people who had this much stuff or lived this lifestyle when I was a kid were the extremely rich.

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Answer 4

"guy Up"? How stupid. Obama places a moratorium on deep water drilling to end hundreds of yank jobs which would be drilled by way of distant places countries like China and Venezuela. you're fearful some $6 hammer made in China. The air conditioner i will purchase is an American organisation, whether it replaced into made in China. tell GE to guy up. GE does not have all of the regulations and taxes to handle that the Dems like to impose on those evil firms. Over burden the firms and that they %. up and do organisation in yet another u . s . a ..

Answer 5

The value of the dollar collapses after it leaves hands of the first people who touch it. Thats what happens with fiat currency.

Stockholders & CEOs are statistically the most likely to get those dollars first.

By the time that money "trickles down" it has been taxed and deteriorates so much (since its no based on rare earth minerals) its value is only portion of what it was at the top.

*AND
Not that we can only afford, but there is so much emphasis on CEOs getting the big pay by skipping the manufacturing process that we MUST get everything from China.

At my work, I see products coming off of trucks. 100% of these items are made in china. These items are NOT cheap priced. So its not a situation to get products to those who cant afford it. Its a matter of exploiting slave labor in another country to make the CEO money. I know the extra cash earned on those $90 sweaters & $110 pants (that cost <$2.oo to make) dont rub off on us employees!

So ultimately, I think its the government fault. When you have $100 saved in your pocket, and the next year its value is only $90....Theres a problem and it has nothing to do with you. That joke 0.05% interest we can earn in savings accounts can not preserve value our hard earned saved money.

Answer 6

There's so many reasons. Increased transportation costs, housing, and childcare costs are some of the reason. What's also fascinating is that while our consumption of small ticket items is about the same, big ticket item purchases, like fridges are less.

People have much less buying power these days and so this is what we have to contend with.

Answer 7

First, the people who cry about communism, but support a communist economy by buying their garbage.
Second the people who deregulated trade, and consider our companies competing with communist labor is "free trade".

Answer 8

It's Wal Mart's fault; they're too cheap to buy goods made in America and the majority of those who can only afford cheap quality Chinese stuff shop there. It's also Bill Clinton's fault for giving most favored nation trade status to China.

Answer 9

Personal Responsibility should be used here, if you don't want to buy things made in China then don't. I'm sick of liberals blaming the govt for every single thing. If you don't have enough money, put down the bong and get a better job. There is no excuse in this country to be poor.

Answer 10

Us. It seems like the Chinese are the only ones helping us.