Hi guy's, now that China and the U.S debt is coming up more and more. I just wanted to give my opinion on why I think China is an economy killer. Some may agree with me most may not, which is fine, everybody is entitled to their own opinion, atleast at my part of the world they are. Let me start by letting you know my opinion on why China is a economy killer. First off the best way to describe China's government is to describe it as one big fraud. Strong words, yea I know, but when you are the world leader in counterfeiting products and the government allows it to happen, then you are what you sew. China has bootlegged every product known to man. Billions upon billions of dollars are lost every year because China's rampant counterfeiting. Now counterfeiting alone won't be enough to kill an economy, but when you enslave your people and pay them 3-5 dollars a day, will. This is a big reason why the U.S fights hard to spread democracy to these communist countries. I had someone tell me the other day, well "70% of China is middle class". I laughed because that is the biggest crock of ish I ever heard. Alot of people say middle class in China is about 5k, which is less then 5-6 months of welfare in the U.S.,as a matter of fact people on welfare here in the U.S get more then that in food stamps. Some say if you have an apartment and a car in China, you are considered middle class. Now does this mean China does have enough to pay its workers a fair wage? Hell no, China has a huge economy and growing. It is what happens when you have a communist government who forces their people to work for these wages. I am not going to go into how China censors its people, or how they use military force to enforce their will, but I will say that China damn near enslaves its people. Some may say well, what does China enslaving it's people have to do with killing an economy, well here's the thing. When you have millions of people working basically for food, it gives you an advantage when it comes to selling. How does producing products at a cheaper price kill an economy? Lets take Nike for example, they take a shoe that was made in some sweat shop in China for $8 and sell it here in the U.S for $100-$200, that right there is enough for companies to ship American jobs to China. Lets take a company here in the U.S who is making a television which cost them $176 for example, and China with its slave type workers build that same T.V for say $46, how will that USA company compete? It's like having two gas stations in one corner, and allowing one gas station to mix 50% water into the gas, which station do you think will have cheaper gas and last longer? If anybody knows what Walmart is, you know how many companies they put out of business here by flooding the country with cheap, low quality products that have been made with blood and sweat from the Chinese people. These are dirtball tactics by a country that's building its economy off of damn near slave labor. Do we have say what China does to its people? of course not, but we have say on what crap we allow in this country. China is making money from our debt, and screwing us from behind by flooding our country with counterfeit and products made with slave labor. The U.S needs to toughen up on and level the playing field by imposing big taxes on non food imports that come into this country. Jobs are the backbone of an economy, and china has killed millions of jobs in the U.S alone by allowing companies to use their slave labor, and at the same time flooding world markets with their crap. IMO there are 3 things that are killing Americas economy, Unions, wasteful spending, and China. If we are to keep our unions workers happy, then we MUST level the playing field for American companies by placing a big tax on the crap that comes into the U.S. Free trade does not work when the country you are trading with is spending $4 to your $20. Some people may say "well its not our fault Americans spend more then us" but the truth is, Chinese people spend less then Americans, for the simple fact, that most Chinese workers make less then an American on welfare, they simply don't have money to spend. We need to impose higher taxes on China's exports and if they don't like it, then they can re-route the garbage they produce to another country. China has killed too many American jobs, and it will finish with Americas economy if we let them. The same needs to be done with American companies like Nike, or Walmart, if they don't like it, then good luck trying to sell $200 shoe abroad. How many retailers has Walmart killed by flooding the U.S with stuff made in China? IMO China is an economy killer with its counterfeiting, and its whoring of its people as dam near slave labor. I mean how can a market compete with a country with no minimum wage, when your workforce is working 12-15 hour shift just to survive. This is what "made in China" does to economies...
At least that 1 American that woke up . "Don't feed the dragon" - that's my motto when it comes to doing business whit China . Bolstering the economy of a country that's heavily involved in black ops against the free world is stupid to say the least .
Well ApocalypseXL today is Black Friday, the biggest shopping day in the U.S, I wonder how much of that money is going to China, 40,50 70%??? It's a shame that alot of Americans don't realize who is really killing Americas economy. The "Americans are living outside their means" is the biggest crock of ish I have ever heard, I mean when did credit card debt become the National debt ? The National debt is when the government borrows money to pay for their expenses, and pay off the debt with taxes. So when China allows U.S companies to rent their slave labor, it ships jobs overseas, it gives certain companies an advantage by having their products made by slave labor. Their products that are made by slave labor are then flooding the U.S and killing off American companies like the plague. When there are no jobs, then there are no taxes, so when there are no taxes, you borrow money, Then when you can keep up with the jobs being lost, you end up borrowing more money.Then the politicians use the myth "Well Americans are living outside their means" to divert the blame from them and their buddies. "Made In China" = Economy killer... Until the U.S gets rid of that free trade agreement and taxes China for the flood of garbage they are bring to the U.S, then the economy will continue to tank... How can a U.S company who pays their workers 15, 20, 40 dollars and hour, compete with a country who pay their workers 3, 4, 5 dollars a day, and allows companies to bootleg every product ever made.
If it isn't China, it will be India. If it isn't India, it will be Nigeria. I've got a friend who sells overseas labor for the surf apparel industry and he tells me China has not been competitive in that market for many years. It seems there are always a new crop of slaves from some sh*thole in Africa willing to do the job for less.
That's why the U.S needs to enforce a high tax for goods that come from these slave labor countries, to level the playing field for U.S companies...
No surprise when a country whores its people out as slave labor. People on welfare here in the U.S makes more money, sitting on their behinds, collecting government checks, then the middle class in China... I guess a bowl of rice can mean the difference between being dirt poor, and considered middle class in China...
If all "slave labor" countries stop exporting to US then you'd be the first one to critisize them. Free market globalization is here to stay, you can either consider it an oppurtunity and actually do something worthwhile for your country or consider it a threat and sit on your ass, die poor. If some countries advantage is cheap labor, developed countries is advanced infrastructure and technologies. Combine both and you get a killer balanced world economy. And just to make sure you understand I don't support violations of any type of property (intellectual, trademark, copyright, patents) rights in the name of globalization.
They would never stop exporting to the U.S, America spends the most money in the world. If they stopped exporting to the U.S then they miss out on profits, its that simple. If the money is there, they will come, you can bet on that. Most of the stuff that comes into the U.S is from U.S companies who have been taking advantage of China's slave labor. If they are not willing to pay the taxes, then good luck selling their $5 shoes for $200 elsewhere. Maybe China will pay them $200 for the sneakers they got paid $3/day to make, NOT, not even China buys stuff "Made In China"
I agree. They wouldn't stop but if they did your county (along with others) would be a deep shit overnight. I'd believe you if you cite sources. They do. When Ford makes cars in China or GM in India/Mexico, a good majority of those cars are sold in the domestic market, then in the surrounding international markets and then whatever is left is sent to US. This is a fact, do your research. Remember that $195 is US companies profit and out of the $5 hardly $1 is the Chinese profit
No need for sources Helvetii, Americans job loss says it all... That would never happen, China has over a billion people, if they stopped trading then China would starve. I doubt $1 is China profits, but what is killing the economy is job loss, not who stands to profit. Jobs are the back bones of all economies, if there are no jobs, then governments have nobody to tax. The working man pays most of the taxes, so if all the jobs are being outsourced to China, then who stands to make that tax from the working man? China.
Believe it or not Globalisation provides opportunities to Americans as well. If even 0.5% of the unemployed set-up small businesess they can eliminate the 10% unemployment. But for that they need 2 things: 1) Skill - If they have a skill they'll find a job or create one. Even in poor shitholes like Somalia, no worthy person sleeps hungry, moral: Having a country filled with high school grads earning a living sticking labels on jam bottels or bagging groceries is not sustainable. 2) Access to Capital/Credit: For that Fed needs to increase money supply by decreasing interest rates and printing money - The very thing tea partiers (which I guess you too are) oppose. [video=youtube;nnUfPQVOqpw]http://www.youtube.com/watch?v=nnUfPQVOqpw[/video] You said a shoe is made for $5. I bet atleast $2 worth of materials would be used, which leaves us with $3 wages paid to chinese. I doubt Slave labors pay any tax. On the other hand according to YOUR numbers $195 is US companies profit, at 25% tax rate + surcharges they pay atleast $50 to US government. Rest is distributed to shareholders or kept in reserve (property of shareholders). Your argument?
I'm guessing $5, only nike would know the real price, Nike the company pays the taxes for opening shop there and the workers tax is automatically taken out by nike before even getting a pay check, I assume you have a job and already know this? it's called the payroll tax. Also for you to think that the slave labor force don't pay taxes is a joke. Everybody pays taxes, even the poor rice farmer... (I am using nike as an example by the way, alot of other companies outsource their work to slave labor)
China isn't killing the U.S. economy -- the U.S. government is killing the U.S. economy. Free trade operates to make the citizens/consumers of both nations wealthier due to both absolute advantage and comparative advantage. Americans are not being hurt by being given the opportunity to buy $5 shoes; Americans are being hurt by taxes and regulations which make it impossible for them to compete in the global economy. The government increasing credit to small business owners will have a negative economic effect. It encourages people to start uneconomic businesses which will simply fail and leave them more deeply in dept. Nothing will be solved until the United States government is reorganized in such a way that it ceases to be such a debilitating burden on American businesses. Loaning someone money to start a business and then setting up rules which prevent them from succeeding is both stupid and cruel.
I have to disagree, those $5 shoes is what is shipping American jobs over seas, taxes has nothing to do with it. You can't tax if there are no workers to tax.
You have three phenomena with one cause: American companies fail to complete with foreign companies American companies subcontract to foreign companies American companies go offshore and hire foreign workers directly The cause of all of these phenomena is the same -- the U.S. government has made it cheaper and easier to do business overseas than to do business in the U.S. The $5 shoes are a symptom; look past the symptom to find the problem. In some cases I can hire a foreign employee for less than the cost of dealing with federal regulations to hire a U.S.-based employee. I'm not talking about salary here -- I am just talking about the cost of filling out forms.
Well I agree there, The Government is at fault also for allowing their buddies to ship jobs over seas...
That is definitely not what I am saying. I am not arguing for government control of business decisions. If the government makes it impossible for American companies to do business overseas, the American companies will simply ceases to exist. They will be replaced with foreign companies who will do business overseas. Bureaucratic dictates will never make it possible for companies to survive uneconomic decisions. Instead, if the government lowered income taxes, reduced bureaucracy, and removed regulation -- American businesses would once again have reason to hire American workers.
Oh I see, what I am saying is not to control business, but to level the playing field by raising the tax on exports. Lowering the tax on businesses here in the U.S will also help, but if you don't raise the tax on exports, then many U.S business will go out of business. Take Walmart for example, they are flooding the market with garbage from China, undercutting American retailers... Walmart alone has closed down thousands of retailers with their undercutting, costing tens of thousands of American jobs..
Raising taxes on exports will immediately reduce American business and employment. Or did you mean to raise taxes on imports? That will lower the quality of life of almost every American, encourage American businesses to become uncompetitive, and ignite international repercussions which will hurt American businesses across the globe?