Posted on 07/20/2013 4:22:25 AM PDT by Kaslin
Why, when capitalism has created wealth and eradicated poverty, do left-wing politicians hate it so much? After all, it's supposed to be the left that cares about the poor.
The latest chapter in this ongoing saga of economic perversity is playing out in Washington, D.C., as the district attempts to prevent Wal-Mart Stores Inc. from opening outlets there.
The district's city council has passed a bill, awaiting signature of Mayor Vincent Gray, specifically targeted to block the company. It raises the district's minimum wage to $12.50 per hour only for stores with more than $1 billion in sales and store size of more the 75,000 square feet.
Unionized stores in the district with these characteristics are exempt. In other words, the bill protects special interests and blocks entities politicos don't want: Walmart stores.
The company promptly announced that if the mayor signs the bill into law, it will cancel plans to open three of six planned stores, each of which would create around 300 new jobs.
The chain's "low prices every day" business strategy is one of the greatest success stories in American history. Since opening its first store in 1962, the company has grown exponentially. Today, it has sales of almost a half-trillion dollars, putting it first on the Fortune 500 list for highest revenue.
According to corporate officials, the company has more 10,000 stores around the world, employs 2.2 million people and serves 200 million customers per week.
Is anyone forced to shop there? Of course not. Is anyone forced to work at a Walmart? Of course not.
This mind-boggling growth happened as a result of freedom. The chain's huge success is the result of delivering products that people freely choose to buy.
Critics claim that the company doesn't pay enough. The company responds that its pay is at or above the industry average.
But the real issue is: Why is what the company pays the business of politicians? Unlike government -- that fines you or jails you if you don't do what lawmakers want -- people work at Walmarts because they choose to do so.
The company says it gets anywhere from 10,000 to 25,000 applications for 300 to 400 job openings when it opens a store. That's more than 25 applicants per job.
It doesn't appear to me that the chain has trouble convincing people to work there.
The population of Washington, D.C., is more than 50 percent African-American. The unemployment rate is above the national average. The poverty rate is above the national average. Yet politicians would rather have no new jobs at $12.50 per hour than 900 new jobs at $10 per hour.
Some claim that big discount stores displace small businesses. This is a claim. There is no definitive study that proves this claim.
But again, even if true, it would only be true because free people choose it to be so. What business is it of politicians to tell free people where to shop? What business is it of politicians to deprive people the freedom to go to a store that sells them products at the lowest prices they can find?
Low-income earners -- those whom the left-wing politicos supposedly care about -- happen to appreciate Walmart stores' low prices.
One thing I particularly appreciate about Walmart, where I certainly shop, is the greeters. They are often disabled and other difficult-to-employ individuals. The company gives them a chance to work.
Capitalism has been a great success because it rewards creativity and hard work. Socialism has been a failure because it deprives freedom, stifles creativity, encourages envy and rewards sloth and corruption.
American success is about the miracle of freedom. When freedom is displaced by political power, everyone suffers. In this case in Washington, D.C., where politicians are blocking Walmart, those who will suffer the most are the poor.
The WDC pols are a laugh a minute. I lived there for 30+ years. If Americans knew what occurs there daily, there would be a run on pitchforks, tar and feathers. Even when they are indicted, convicted and jailed (which is frequent), the WDC pols are a laugh a minute. Your tax money at work.
You’re wrong, consider yourself corrected. The labor costs for a box store like wally world are not that significant a part of the cost of the products sold there.
Labor is a very significant cost to Wal-Mart, or any other retailer.
You can go to the store and easily see that for yourself.
First look for the 'double' packages of products, two aspirin bottles shrink wrapped together for example, and notice the price. Compare that to two separate bottles and you’ll find the double is lower, and often by a significant percentage.
The reason for that is the cost of labor. The single bottle is handled as often as the double package, all the way from the manufacturer to the shelving and the final checkout, but they only get to sell one, not two, and that second one is sold at a discount which reflects the lower cost of handling (labor).
Then go to the ‘super large size’ section of a Wal-Mart store and compare the prices found there against the same product found the other part of the store where the normal sizes are kept.
By way of example, I buy a larger 63oz bottle of BBQ sauce for about $9, while the regular 24 oz size is $6. The difference again is labor. It costs Wal-Mart the same labor cost to put a 24oz bottle on the shelf as is does the 63oz bottle, and the lower price per oz for the large bottle reflects the lower cost of labor.
1. You are supporting stagnation in the community and are anti-growth and anti-competition. You are also anti-free market. You might want to deny this, but you have now written enough to prove the assertion.
2. You realize that most “mom ‘n pop” stores are over-charging their customers because of their limited buying power or because of simple lack of competition, right? How does this make the community better and why do you confer some kind of moral superiority to them over Wal-Mart?
3. DC government pays an average of $10.50/hour. I don’t get the feeling you have a problem with their hypocrisy in demanding that Wal-Mart pay more? Is the DC government morally corrupt for not paying a subjective “living wage?”
Unless they've changed greatly since my wife worked there they are a split tier shop. They have been gradually phasing out “full time union” employees and replacing them with part time.
The realities of excessive union demands and government edicts like obamacare are driving retailers and everyone else to dump full time employees.
Congratulations, they now have time to work several part time low skill jobs.
Who exactly is in charge of deciding what “reasonably” is?
Of course it hurts the poor; that’s the plan. The more they hurt the poor, the more powerful Progressives become.
Al? Albert Norman? Is that you?
I would not walk into the Kroger to shop if required to at gunpoint.
Higher prices, poor quality produce and disconnected employees.
W*M is my choice every time.
You're good SunkenCiv... that is the issue...
Agreed...:)
Walmart needs to follow the same model for the Washington, DC area — build its stores just outside the DC limits. If you build it there, the employees and customers will come.
I am stuck on the idea that there are a (relatively) fixed amount of jobs in a specific field in a specific area, at least over a short space of time.
There is a full-sized Kroger here in our NWGA town along with a W*M Supercenter.
I would not walk into the Kroger to shop if required to at gunpoint.
Higher prices, poor quality produce and disconnected employees.
W*M is my choice every time.
Pretty much all we have here is WMs 20 to 30 miles away. Good old Al (rhymes with Lenin) Norman has kept pretty much ANY big box store out. He probably helped on the DC stonewalling — it’s how he makes a living — “social justice” crap whilst sucking at the public teat.
But, dang, I’d just LOVE a Meijer nearby (but we’re WAYYyyy outside their region).
You seem to have the peculiar notion I’m supporting the actions of the DC government and am anti-Walmart. Not so.
I’m all in favor of WM opening a store wherever they want to, and quite agree (as can be seen in some of my posts on this thread by anyone that reading comprehension challenged) that WM has been a boon to the consumer. Many smaller (and larger) stores do indeed overcharge their customers.
But we shouldn’t fool ourselves that the efficiencies created by WM, with all their benefits to consumers, have not come at a price. Cutting out the middleman sounds great, until one day you suddenly realize you are yourself one of the middlemen.
I despise (from a distance) the DC government. Don’t know that much about them.
Your post # 17 seemed to say Kroger was superior to WM and they paid a living union wage.
But - there’s no Kroger in DC.
Get back with me when Kroger can be found all the places WM is.
They want to hurt the poor - it’s how they maintain power over them. Kick them in the teeth, then blame the eeeevull conservatives. They have managed to make most of the poor stupid enough to buy in without question.
LOL! I wouldn't hold my breath.
Off the top of my head I can think of 6 WMs within a 50 mile radius of me, however, the nearest Kroger is 105 miles away.
:’)
The D.C. city council is doing this, not the federal government:
The district's city council has passed a bill, awaiting signature of Mayor Vincent Gray, specifically targeted to block the company. It raises the district's minimum wage to $12.50 per hour only for stores with more than $1 billion in sales and store size of more the 75,000 square feet.
Yes I am aware of that which is why I put this in my post
First I will question where does a city government get the authority to set wages for private entities. .
The question of where does the federal government get the authority to set wages was an aside to the larger issue of the federal minimum wage. Which is I imagine where the city get’s the stupid idea.
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