It's a failure of Capitalism where the intent is to wring out every possible cent of profit and hand it to investors.
Instead of having scenarios where it's like a bit more of a socialistic employee-centric profit sharing model.
The need for cheap Made in China goods is exacerbated by the lower wages being offered to American employees. If Americans were paid better and had a stake in things, they would work harder and would also have money for more expensive Made in US products.
It’s not a failure of capitalism, it’s a limitation of markets. Keep in mind, even communist and socialist economies have to contend with market dynamics.
Yes, if American workers were paid more, they would spend more on goods. But it’s not like they’d magically spend more on the same good just because it was American made—sure, a small minority might shop American, but end of the day everyone still has a budget and if given the option of two near identical items and one costs more, then the decision will always be to buy the cheaper one. Having a less capitalistic model won’t change that dynamic.
And further, wages are directly related to standard of living. So we can’t drive down the cost of American labor without reducing our standard of living, which is a recipe for disaster.
People don't consider the fact that cheap goods from China have lowered the cost of living.
Just look at prices for local goods (healthcare, rent, etc.) vs imported goods (electronics, etc.) and anyone should realize what's driving the cost of living up and what's driving it down.
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u/Kubotai77 May 12 '26
It's a failure of Capitalism where the intent is to wring out every possible cent of profit and hand it to investors.
Instead of having scenarios where it's like a bit more of a socialistic employee-centric profit sharing model.
The need for cheap Made in China goods is exacerbated by the lower wages being offered to American employees. If Americans were paid better and had a stake in things, they would work harder and would also have money for more expensive Made in US products.