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The High Cost of Low Prices
The American Conservative ^ | May 22, 2006 Issue | Marian Kester Coombs

Posted on 05/17/2006 10:55:50 AM PDT by A. Pole

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To: L98Fiero
It's like a Wal-Mart exec was waiting for him in the back seat of his car when he got off work, held a knife to his throat and made him sign the deal.

Maybe......either his brains, or his signature, would be on the contract.

41 posted on 05/17/2006 12:16:04 PM PDT by Toddsterpatriot (Why are protectionists so bad at math?)
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To: B-Chan
what a moronic post. Nobody is forcing anyone to work or shop at walmart. Are you anti walmarters really this dense?
42 posted on 05/17/2006 12:18:30 PM PDT by statered ("And you know what I mean.")
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To: Wallace T.
The blame for the decision not to use quotas or tariffs must fall on the Feds, not private companies that must deal with the existing economic and political environment.

True. But who is one of the largest and most-conspicuous of political donors and lobbyists for imports?

So it becomes a synergistic "snow-ball" effect, as the government becomes increasingly co-opted by the foreign interests.

43 posted on 05/17/2006 12:18:32 PM PDT by Paul Ross (We cannot be for lawful ordinances and for an alien conspiracy at one and the same moment.-Cicero)
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To: Toddsterpatriot; L98Fiero
Thanks for the correction. Wal Mart does a huge grocery and drug business, in which Chinese sources are virtually nonexistent and where domestic producers predominate. Additionally, other Asian countries give Red China strong competition in the area of garment manufacturing. The biggest market penetration by Chinese made goods appears in the area of consumer electronics, followed by toys and small tools.
44 posted on 05/17/2006 12:19:00 PM PDT by Wallace T.
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To: E. Pluribus Unum
Thank God you're not in charge or we'd really be hosed!

In a pure market/capitalistic society, price is set by supply and demand. If prices rise because supply can't keep pace with demand, then demand will go down and prices will follow and/or we will explore for new sources of oil to increase supply, we will find new sources of energy to supplement oil and natural gas, and/or we will develop new technologises to use energy from all sources more efficiently. None of this will happen until the price of oil rises to the point where pursuing alternatives is economically profitable.

45 posted on 05/17/2006 12:21:22 PM PDT by Labyrinthos
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To: Old_Mil
Economics is not immune to this rule.

Economics pretty much is that rule.

46 posted on 05/17/2006 12:22:09 PM PDT by arthurus (Better to fight them OVER THERE than here.)
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To: E. Pluribus Unum; A. Pole
In the meantime, unemployment is the lowest it ever gets and illegal aliens stream across the border for non-existent jobs at the rate of 2,000 per day.

Of course there's plenty of jobs.

I know more than one guy who has two or three of them.

47 posted on 05/17/2006 12:27:05 PM PDT by Age of Reason
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To: docbnj

"The last car I bought was built in Belgium"

What car is made in Belgium?


48 posted on 05/17/2006 12:28:04 PM PDT by RoadTest (The heart is deceitful above all things, and desperately wicked: who can know it? (Jer. 17:9))
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To: Labyrinthos; A. Pole
In a pure market/capitalistic society, price is set by supply and demand.

I would say that's true when all other things are equal.

For example, if an American telephone support worker could get a support job at Indian wages in an Indian cost of living area as easily as an Indian can, then your rule is a good and fair one.

49 posted on 05/17/2006 12:30:05 PM PDT by Age of Reason
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To: Labyrinthos
Walmart pretty much guarantees that most of its 1.5 million employees can only afford to shop at Walmart, thereby retaining a large part of what Walmart pays out in wages within the Walmart economy.

Ever been accused of being cynical? Does Wal-Mart pay better than all those poor mom and pops they put out of business? You bet they do. By shopping at Wal-Mart, 100 million Americans every week are able to make their dollars buy more thereby increasing their standard of living. Many of them probably have a little extra cash leftover, thanks to Wal-Mart, to place into a 529 or an IRA so their kids get a better education and won't have to work at a lower wage job. The horror!

76% of all Wal-Mart's managers have come from the ranks of their hourly employees. Wal-Mart managers are well compensated for the retail industry. Wal-Mart employees are free to shop anywhere they like but why would anyone -- poor, middle class or wealthy -- want to pay more?

50 posted on 05/17/2006 12:31:03 PM PDT by Mase
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To: Labyrinthos
None of this will happen until the price of oil rises to the point where pursuing alternatives is economically profitable.

It already has.

Canada has enough oil sands to supply the world with oil for the next five hundred years, but at $30 a barrel it is not economically feasible to extract it with the steam technology required.

At $70 per barrel, however, it is quite economically feasible and production is being ramped up even as we whine about forcing people to use alternatives.

John Stoessel has an entire chapter on this in his new book Myths, Lies and Downright Stupidity, where he debunks the myth that we are running out of oil.

51 posted on 05/17/2006 12:31:50 PM PDT by E. Pluribus Unum (Islam Factoid:After forcing young girls to watch his men execute their fathers, Muhammad raped them.)
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To: Wallace T.

"The biggest market penetration by Chinese made goods appears in the area of consumer electronics, followed by toys and small tools."

Yep. I see that as well.

I recently bought a Chinese accoustic guitar.

http://www.elderly.com/new_instruments/names/blueridge-br-343-%22gospel%22-000-guitar--BR343.htm

It IS a high-quality instrument. All-solid-wood accoustic guitars are generally quite expensive. So, I get a soild-wood accoustic for about half the price of a comparable Martin or such. Prefect for my couch guitar.


52 posted on 05/17/2006 12:31:57 PM PDT by L98Fiero (I'm worth a million in prizes.)
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To: B-Chan
Karl Marx showed us all the way for humane manufacturing and social relations. If all production was done for Human Values we would all live in a Marxist Utopia today.

Those third world people need to be kept in bare subsistence poverty so that HumanValues people can feel good that they are not being exploited by Big American Capitalists. ThirdWorlders' Harmony-with-Nature lives of famine and poverty should not be exposed to capitalist exploitation that forces them all to get fat and to live so long that they die of heart disease.

53 posted on 05/17/2006 12:32:13 PM PDT by arthurus (Better to fight them OVER THERE than here.)
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To: Age of Reason
I know more than one guy who has two or three of them.

Maybe they should have stayed in school or studied harder.

54 posted on 05/17/2006 12:35:18 PM PDT by Mase
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To: Mase; A. Pole
Maybe they should have stayed in school or studied harder.

Sure--and they should do it every ten years or so to being a new career all over again.

55 posted on 05/17/2006 12:37:01 PM PDT by Age of Reason
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To: Paul Ross
Much of the impetus for lowered trade barriers came from American manufacturers trying to reduce labor costs by having work done at lower costs. We all know about the contributions of Chinese business interests to the Clinton reelection campaign in 1996. It is likely that they have contributed to the GOP as well.
56 posted on 05/17/2006 12:38:25 PM PDT by Wallace T.
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To: Labyrinthos
See also: Oil Sands Could Sink Oil Imports
57 posted on 05/17/2006 12:40:06 PM PDT by E. Pluribus Unum (Islam Factoid:After forcing young girls to watch his men execute their fathers, Muhammad raped them.)
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To: A. Pole
Walmart= bad. Pays bribes to keep the prices lower then the others. Think about the PRC selling off organs of dissenters next time you are in malmart buying their cheap junk in a dirty store
58 posted on 05/17/2006 12:42:48 PM PDT by roverman2K6
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To: Age of Reason
Maybe they should have stayed in school or studied harder... Sure--and they should do it every ten years or so to being a new career all over again.

In engineering, the half-life of many job skills is 5-7 years. If you don't work to re-educate yourself, you will find yourself becoming a dinosaur after 10 years. I suspect many fields are similar - accounting, law, medicine, technology (even more so), and so on.

59 posted on 05/17/2006 12:47:19 PM PDT by Fudd
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To: roverman2K6
Walmart= bad. Pays bribes to keep the prices lower then the others.

How does that work? "I'll pay you $5 if you sell product X to me for $100"? How is that different than paying $105?

Think about the PRC selling off organs of dissenters next time you are in malmart buying their cheap junk in a dirty store

To the extent that this is a legitimate concern, it applies to all Chinese products, which are found in far more places than just Walmart.

60 posted on 05/17/2006 12:50:06 PM PDT by ThinkDifferent (Chloe rocks)
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