Bugfan wrote:
What can we do? Maybe nothing or maybe a great deal. It's not just the wage gap that separates prices, it's the sustainable development gap, it's the clean air and environment gap, it's the climate change gap, it's the worker benefits and working conditions gap too. Clearly those industries who are concerned about such things and thus try to manufacture in a manner consistent with saving the planet and their workers, they wil incur higher costs regardless of where they manufacture. Sure Chinese workers work for less than North American workers, but the country is only starting to take an interest in climate change, sustainability, clean air. Once they start to worry about this and do something about it their product costs will start to mirror our own too. Nations who are currently on the list of nice cheap places to manufacture don't yet have planet friendly legislation in place. Later when their own people get fed up with this, they stop being manufacturing friendly.
What we can do is perhaps accelerate this process of levelling the cost of goods. Don't simply ask about the price, it's going to be attractive of course. Ask about sustainability, ask about pollution, ask about toxins in rivers and lakes, ask about whether workers have healthcare, ask about working conditions for workers, ask about what we hold dear here in terms of protecting our society and our workers and our planet. If you don't like the answers don't buy the product. If the western world would adopt that kind of an attitude you'd find things changing quickly because the manufacturers would not have a market to sell to. That's what we can all do though I'll admit it's hard and controversial too. But what's the choice? To not do it maintains the status quo and we already know that's not the solution.
What can we do? Maybe nothing or maybe a great dea... (
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In a perfect world, your thesis may have some validity. However, in the real world, involving real people, your "sustainability" models just don't work.
First, people have neither the time, nor the inclination, to do reams of research on each and every product which they consume. And the folks who espouse this, don't have the expertise, either.
Capitalism is effective because of the division of labor, folks becoming more specialized in their labor. Failure to specialize means the end of technological advance, ergo, the end of scientific advancement. Technology always precedes science.
Alternative energy sources, bio- and solar, are not sustainable. In solar, there has to be some manner of energy storage for the periods which there is no sunlight. That's battery, and it means that the energy has to be converted from DC to AC for transmission and usage. Bio fuels are hugely inefficient. The cost of production is double the cost to produce the crop. And fuels like ethanol are corrosive, even to stainless steel. Corn is a food, and the reduction in available land to produce food, causes a huge financial hardship on the poor, who have to pay more just to subsist.
The most economical means of energy production is through oil, coal, and nuclear. Oil reserves are huge, and even at current estimates of usage, will last for over 100 years. Coal is the original renewable energy source. It was created 350 million years ago through photosynthesis, and in its most economical usage, provides cheap energy to millions. In fact, its usage to the most poor of countries, would enable them to raise the standard of living and improve their economic lives. Nuclear is the most economical, and with the exception of the stupidity of the Soviet Union, has been safe beyond any other energy source. (Three Mile Island's problem was the result of human error, ignoring the reactor's warnings)
The costs of materials, whether steel, plastics, textiles, are inelastic in economic terms. Their costs as commodities on the world markets are governed there. If you want to sell iron ore or oil, you can't sell for less than the market price very long. Labor costs are also inelastic in any particular country because of unions, labor laws, etc. Labor laws in France do not translate to labor laws in South Africa. In the total cost of goods sold, indirect costs are widely variable depending on where the goods are produced; for the same reasons as labor.
Economic development must be evolutionary, as is life itself. An economic group can't skip from Step B, to Step E, and not pay a dear price. Developing countries must build infrastructure, and at times the most simplistic of means. Road, sanitary facilities, food markets, and other parts just can't be skipped.