The beginning of the end...

[langeweile]

http://news.bbc.co.uk/2/hi/business/4307303.stm

To those who are crying for more and more social programs, may I suggest you find out what is going on in Germany and other European nations.

The cost of the social net has far exceeded the Germans capacity for generating money. The truth is like so many other "socialist" countries, they are slipping more and more in to financial and economical troubles.

Europe's labor cost is so high, that many of those companies can't compete on the wolrd market. Europe had trouble competing against the USA,that's why a lot of production has been moved out of there. Some of it to the USA and Canada.
Question is: If Europe has a hard time competing against Norht America..how will they compete against ASIA?

watch Europe crumble and fall apart. We in North America should take note and learn..how not to do it.

 

[red]

This is the end
my only friend, the end

 

[Guy Lafleuer]

Yes sir. We know how to do. Ship all our labour jobs to China and India. Drop our standard of living and YIPEEEE.....let's all go to Walmart.

Guy

 

[langeweile]

Yes sir. We know how to do. Ship all our labour jobs to China and India. Drop our standard of living and YIPEEEE.....let's all go to Walmart.

Guy

Could you elaborate? i am a little slow today so I am missing the connection.
Thanks

 

[Vietor]

I like the French idea of how to handle unemployment: shorten the work week. Theoretically this could result in world wide full employment - have the UN legislate that the citizens of every country may only work that number of minutes per week that is sufficient to allow all other citizens to work the same period of time. Since everyone is fungible, we all "advance".

 

[KBear]

We already went through this in Canada about 15 years ago. People want to buy 50 cent light bulbs that are made in China, not the $2 ones made here. Allowing cheap goods to be imported is lousy for the labourers who are going to become unemployed, but it is good for the country and the people generally as it creates a more efficient economy.

 

[someone]

I like the French idea of how to handle unemployment: shorten the work week. Theoretically this could result in world wide full employment - have the UN legislate that the citizens of every country may only work that number of minutes per week that is sufficient to allow all other citizens to work the same period of time. Since everyone is fungible, we all "advance".

Before I respond, can you indicate whether you are joking or just being sarcastic?

 

[langeweile]

Before I respond, can you indicate whether you are joking or just being sarcastic?

I think he is for real....

He is right to a point.Back then when the shorter work week was implemented, that was the outcome, that everybody hoped for.

Unfortunately the guy has not be keeping up with current events. The current president of France is trying to reverse the 35 hour week.
Surprise, surprise it did not have the desired effect. Unemployment is still rising and costs are just spiraling out of control.

I am still curious as to what Walmart has to do with all of this, maybe you can educate me.

IMHO higher taxes lead to less disposable income, which means most families are forced to demand and buy cheaper products.
So instead of attacking walmart for providing a service to low income people, why not attack goverment for taxes that are way to high?

 

[Vietor]

Come on. I was trying to make a point by argument ad absurdum.

 

[langeweile]

Come on. I was trying to make a point by argument ad absurdum.

So..what is your point?

 

[someone]

Come on. I was trying to make a point by argument ad absurdum.

That's what I thought but given some strange posts made by others here (I will never forget the one stating that innocent people wrongly accused of a crime can’t be depressed), and your lack of a left me uncertain.

 

[someone]

I am still curious as to what Walmart has to do with all of this, maybe you can educate me.

If you are asking me (you were responding to my post), I don't think Walmart really has anything to do with any of this.

Low skilled workers are clearly hurt by free trade but generally skilled workers in Canada benefit (and the total benefits are greater than the total costs). Given that Terbites can afford SPs, I'm assuming that few of them are unskilled workers. In addition, I would hope that more young people will see that the relative return to education is going up and hence in the future, there will be fewer unskilled to be hurt by trade liberalization. Moreover, as long as the benefits are greater than the costs, ways can be found to redistribute some of the gains through the tax system (if society things such redistribution is important).

 

[Vietor]

Someone has nicely summarized my point. But, to elaborate - it is the knowledge or skill component of our work that is the greatest factor in determining whether it is fungible and easily exportable to a lower cost environment. Complex societies such as ours in Canada and the US create countless opportunities. Our emphasis needs to be here, not chasing work that can be elsewhere for less cost.

 

[langeweile]

Someone has nicely summarized my point. But, to elaborate - it is the knowledge or skill component of our work that is the greatest factor in determining whether it is fungible and easily exportable to a lower cost environment. Complex societies such as ours in Canada and the US create countless opportunities. Our emphasis needs to be here, not chasing work that can be elsewhere for less cost.

Thanks for the clarification. Good point. I couldn't agree any more.

 

[Peeping Tom]

It is Europe's inability to create an environment offering countless opportunities that is their real problem. The German approach has been to cater to niche markets in search of upscale goods. This worked for a while, several decades in fact. But, what happens when everyone who wants a BMW already has one? Or, given the nature of exporting upscale products, what happens when an economic disturbance hits the export market's economy, resulting in a climate where those products are the first to be avoided? What Europe must confront is the lack of domestic consumption, by ... drum rolls ... massive tax cuts and backing away from the all suffocating police state mentality so pervasive over there.

 

[yychobbyist]

What Europe must confront is the lack of domestic consumption, by ... drum rolls ... massive tax cuts and backing away from the all suffocating police state mentality so pervasive over there.

Have you ever actually been to Europe? Do you have any conception what a police state is? Keep in mind that these questions are merely rhetorical as the nature of your comments make the answers painfully obvious.