China’s Factories Are Exporting Lower Prices Around the World

Discussion in 'Economics' started by Banjo, Nov 9, 2019.

  1. Banjo

    Banjo

  2. SteveM

    SteveM

    ...and higher US corporate profit margins. Which is why all the manufacturing was moved there in the first place.
     
  3. Cuddles

    Cuddles

    the competition that Capitalism brings is great.
     
    ET180 likes this.
  4. ET180

    ET180

    Generally agree, although if it's the case that a government heavily subsidizes an industry with the intent of not only dominating production, but as a side effect wiping out the technical expertise needed to make those goods in an effort to permanently remove competition, then that's not good.
     
  5. Cuddles

    Cuddles

    Competition often relies on finding an edge. Getting your goods made in a place that subsidizes the making of such goods give you that edge. As Chinese wages rise, their way of finding that edge is to industrialize Africa and rely on their labor.
     
    nooby_mcnoob and ET180 like this.