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As oil and gas prices in the US reach parity with China, China remains relevant only where labor costs are a factor. As manufacturing becomes increasingly auto
by downandout 11y ago
As oil and gas prices in the US reach parity with China, China remains relevant only where labor costs are a factor. As manufacturing becomes increasingly automated, Chinese factory workers (and indeed most of the world's unskilled workers) will become unemployed. That is a double edged sword....it will be great for businesses until enough people are unemployed that only a small percentage of the population can afford to buy the goods they are producing.
- digitalzombie 11y agoI used to have this view but it free up workers to be more educated and do less menial tasks is a counter argument. Having an educated labor force would keep US be competitive. Unfortunately that means getting higher and higher degree.
- burger_moon 11y agoA counter to your counter ;) would be that now you have a larger population of young adults going head first into debt for degrees that will have an equally expanisve labor pool. So now you graduate with a higher education degree but so did everyone else and there may not be enough human job growth to sustain it. I'm not sure there is a simple answer to any of these problems.