3 ms·
what? Do you mean actual wages individually getting lowered? That's probably rarer, but an effective race to the bottom of wages happens all the time, eg when t
by sidibe 9y ago
what? Do you mean actual wages individually getting lowered? That's probably rarer, but an effective race to the bottom of wages happens all the time, eg when they move the textile factory from the Carolinas to China then to Bangladesh.
- eru 9y agoThat's more of a reaction to the race to the ceiling in wages that's going on in the background, ain't it? They move from China to Bangladesh because competition from more productive industries makes Chinese wages grow faster than what garment manufacturing can support, don't they? (I read that these days even cleaners get about 5 USD/h in the bigger cities. But that's not because cleaners are more productive, but because non-traded sectors get a case of Baumol's cost disease.)