Where is this manufactured?
in Economy ·
Andrew Reed11 said:offtopic: okay, well, I happen to have 3 or 4 thousand bucks lying around, so why don't you tell me more about this product! 😉
ontopic: Manufacturing and factories are dying out because of cheap goods flooding in from Asia. Why is that stuff so cheap? Because of ultra-cheap labor in the East working for pennies on the dollar. We can barely compete with that, and in a global recession, the world just wants things dirt cheap. Quality doesn't even matter at that point—it just needs to be inexpensive. You could theoretically stop it by passing laws similar to what the US did back in the old protectionist eras to block massive imports. But then our own people would struggle even more. The only real options are either for our workers to slash their hourly rates to become globally competitive, or for us to slap on forced tariffs to force those imports to compete on our home turf. There isn't a second way. Otherwise, we’re headed for ruin, and we'll only ever be able to manufacture niche goods for the elite—and those kinds of industries don't last long in today's climate..
It's unlikely our people will just cut their wages—they'd end up making even less than they do now—and since we aren't part of that "global slavery" model yet, we can't easily bring in cheap labor from overseas or pay them in dollars to work in our factories (since we aren't quite as ruthless as some Western powers). So, really, we're looking at two choices: watch our industry crumble, or go full isolationist like the old protectionist days to shut out the cheap competition from the East. I don't see any other way. Raw materials can't get cheaper than what's coming out of Asia without the quality dropping to zero, so the only variable left is labor costs. We like to think our labor is already at rock bottom, but clearly, we're still too expensive for the West, which is why they prefer exploiting the East. Modern economics is basically built on this system where wealthy Western nations exploit poorer Eastern nations to make their economies bloom. Unless we stoop to that level and start exploiting people to work for us, we won't bridge that gap, even with a good product. Otherwise, our economy is destined to be nothing more than an elitist bubble.
Which specific American factory collapsed due to cheap Eastern goods? Perhaps the textile industry felt the brunt, but the decline in other sectors—like shipbuilding—is primarily a result of domestic mismanagement rather than foreign competition.
Cheap imports might impact an industrial giant like Germany, but we lack a manufacturing base here because there was never a clear vision or a solid strategy to make America a competitive industrial power. It is always easier to blame someone halfway across the world.