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Do…people really think that prices will go down when cheap foreign labor is off the table? Do they think we can establish replacement infrastructure at comparab

Do…people really think that prices will go down when cheap foreign labor is off the table? Do they think we can establish replacement infrastructure at comparable costs in months or a couple of years? Will they want to work those jobs for comparable pay to keep the costs of goods stable?

jampekka 2y ago
Probably more like wages will go up when cheap foreign labor is off the table. Higher income offsets higher prices for industries where wages rise. For the currently well paid the purchasing power may drop. Silicon Valley didn't care about the rust belt, so why should the rust belt care about SV?
- gizzlon 2y ago
  Will the wages increase more than the prices? Aren't most things Americans buy imported or contain imported parts (for example all electronics)? Won't a decrease in exports, because of other nations ti-for-tat tariffs, decrease wages for many US workers?
  - jampekka 2y ago
    In aggregate things will get more expensive, but purchasing power of some will increase. Or at least that's the idea.
    - kelnos 2y ago
      That "some" probably won't include most Trump supporters.
- consteval 2y ago
  The fallacy here is that US industries will even be able to compete with 200% tariffs. They won't, and they can't, and they certainly can't do it immediately. It takes decades to build up the manufacturing efficiency and processes to compete with China. We lost all of it. We will continue to buy from China because it will STILL be cheaper. And your goods will be 3x more expensive, and that's the best-case scenario for a lot of goods.
- xnx 2y ago
  High-paying, secure, union manufacturing job are never coming back. New factories are heavily focused on non-union workers and automation.
hackerNoose 2y ago
Cheap foreign labour is good for rich people but bad for poor people that they compete with, at least in the short term.

jampekka 2y ago

Probably more like wages will go up when cheap foreign labor is off the table. Higher income offsets higher prices for industries where wages rise. For the currently well paid the purchasing power may drop. Silicon Valley didn't care about the rust belt, so why should the rust belt care about SV?

gizzlon 2y ago
Will the wages increase more than the prices? Aren't most things Americans buy imported or contain imported parts (for example all electronics)? Won't a decrease in exports, because of other nations ti-for-tat tariffs, decrease wages for many US workers?
- jampekka 2y ago
  In aggregate things will get more expensive, but purchasing power of some will increase. Or at least that's the idea.
  - kelnos 2y ago
    That "some" probably won't include most Trump supporters.
consteval 2y ago
The fallacy here is that US industries will even be able to compete with 200% tariffs. They won't, and they can't, and they certainly can't do it immediately. It takes decades to build up the manufacturing efficiency and processes to compete with China. We lost all of it. We will continue to buy from China because it will STILL be cheaper. And your goods will be 3x more expensive, and that's the best-case scenario for a lot of goods.
xnx 2y ago
High-paying, secure, union manufacturing job are never coming back. New factories are heavily focused on non-union workers and automation.

hackerNoose 2y ago

Cheap foreign labour is good for rich people but bad for poor people that they compete with, at least in the short term.