4 ms·
Blink twice if you/your family is being held hostage.
by InvertedRhodium 5y ago
Blink twice if you/your family is being held hostage.
- xtian 5y agoPardon me for sitting here in the middle of the US and having the intellectual curiosity to wonder why the US’ middle class is shrinking while China’s middle class is growing. Must be because I’m brainwashed or coerced.
- morpheos137 5y agoMain difference seems to be that China has a nationalist government...i.e. it pursues an economic policy that benefits a broad range of its population while the USA has a plutocratic government...i.e. it pursues an economic policy that mainly benefits the transnational business elite. USA is pro-gobalist. China is pro-China. Wonder how things would be different if USA was pro-USA. Much is made of the supposed lower labour costs in China. Initially that may have been the fuel that enabled off shoring to launch. I don't think it is what sustains it in the present time. What sustains it is the network effects industries that China dominates. I.e. electronic assembly in the Shenzhen area is maintained by the vast ecosystem suppliers and manufacturers there not just low labour costs. That ecosystem does not exist in say, SV because in recent years investment has not been made in such things as hardware assembly. Investment improves capital, capital enables productive and comparative advantage that reduces the relative importance of "dumb" low wages.