Tuesday, October 12, 2010 1:43:27 AM
It's not that costs would go up in a normal state of business if manufacturing were not outsourced, costs would go up only because a corporation has a responsibility to increase profit margins for the stockholders. Out of that 42000% markup you pay, 90% of it easy is going straight to profits and bonus checks. It`s not "supply v demand", it`s how much labor can we extort out of unregulated economies vs how much money can we extort out of a consumer for said labor.
The true price of the good, if everyone was paid fairly and "corporation overhead" did not exist, would be about the same as you are paying now, but a lot more people would be sharing the super-massive profits that normally a mere handful monopolise.
Monday, October 11, 2010 8:07:23 PM
I would agree with you Golden1 if the workers were being paid decently for their services.
Currently Faded Glory jeans are all produced in Bangladesh, by women who make less than 2 cents per pair at a rate of about 10 pairs an hour. This is not a living wage. They have to live together and pool their wages to buy food. They live in perpetual hunger and sleep under plastic when it rains. We're talking about honest to goodness sweatshops.
Their bosses have tried to convince Walmart to pay an extra few cents per pair of jeans in order to meet the demands of the workers, who are currently planning to strike. Walmart has declined to do so.
I`m not a conspiracy theorist. I don`t think it takes men in dark rooms twirling their mustaches and plotting dark schemes for things like this to happen. Anyone is capable of evil. Some people just seem to be really good at it.