this post was submitted on 03 Mar 2024

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Rich Countries Are Becoming Addicted to Cheap Labor (www.wsj.com)

submitted 6 months ago by return2ozma@lemmy.world to c/news@lemmy.world

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[–] SnotFlickerman@lemmy.blahaj.zone 46 points 6 months ago* (last edited 6 months ago) (1 children)

Uhmmmm... Becoming??

Text of the 13th Amendment of the US constitution that conveniently allows slavery for the imprisoned.

Neither slavery nor involuntary servitude, except as a punishment for crime whereof the party shall have been duly convicted, shall exist within the United States, or any place subject to their jurisdiction.

Rich countries were practically built on the backs of cheap/slave labor. Acting like this is a new development is just outright gaslighting from the likes of the Rupert fucking Murdoch owned shitrag that is the Wall Street Journal.

USA literally ran coups in the global south to keep access to cheap labor down there, and now that China is becoming "troublesome" the US is right back to exploiting cheap labor from South America.

Gee, I wonder why the US has the largest per capita prison population on the planet? It couldn't be that addiction to cheap labor could it??

[–] Dark_Arc@social.packetloss.gg 4 points 6 months ago

I think we do have a problem with too many people in prison. I think private prisons are bad. I don't think it's unreasonable that you have to work for free while in prison ... and I don't think it's unreasonable that you get paid next to nothing for that work.

Only 2/3 of prisoners work and 80% of that prison labor is basically "keep the prison running" https://www.aclu.org/news/human-rights/captive-labor-exploitation-of-incarcerated-workers

I think it's fair to say outside of the private prison world, everyone would rather these folks never went to prison and they were earning a good living with a normal job and paying taxes.

USA literally ran coups in the global south to keep access to cheap labor down there, and now that China is becoming "troublesome" the US is right back to exploiting cheap labor from South America.

This and everything you say about foreign exploitation, I more or less agree with.

[–] thisorthatorwhatever@lemmy.world 14 points 6 months ago (1 children)

The person that sewed your jeans makes $2 an hour, the electrician the comes to your house makes $200 an hour. This is 2 orders of magnitude in difference.
Our world view becomes skewed.

[–] afraid_of_zombies@lemmy.world 2 points 6 months ago

My employer used to rent me out for a $1000 dollars a day plus expenses, now it is $1,200 a day.

I know all this is screwy but one thing to keep in mind. It is a lot more difficult to do economies of scale with inperson service work vs a traditional factory.

[–] avidamoeba@lemmy.ca 13 points 6 months ago* (last edited 6 months ago) (2 children)

I don't understand how this conversation is had without ever mentioning the effects on aggregate demand. Relying on cheap labor, foreign or domestic, means that less money ends up in the cohorts who spend most of their income which in turn generate demand for stuff. Therefore while cheap labor might help the bottom line of company A or B, it decreases the overall money that goes around to buy things, including their own, in other words decreases the aggregate demand. Which makes company C look for labor cost reduction. Which further depresses aggregate demand. And so on, down the standard of living spiral.

[–] ABCDE@lemmy.world 5 points 6 months ago

And exporting labour to developing countries appears to help until you step back and realise just how wide ranging the issues are.

[–] Gradually_Adjusting@lemmy.world 1 points 6 months ago (1 children)

Competing on price alone is always a race to the bottom - the value of labor is no exception.

[–] avidamoeba@lemmy.ca 2 points 6 months ago

I was thinking about this yesterday, I have a feeling that the value of labor of an auto worker that makes the same car in the US, Canada, Mexico and China is all the same. That value however is mispriced for various reasons which provide opportunities for capital owners at various parts of the system to pocket the difference. 🤔

[–] sxan@midwest.social 10 points 6 months ago

"Becoming?"

The 1990's called, and want their headline back.

[–] return2ozma@lemmy.world 5 points 6 months ago

Paywall Bypass: https://archive.is/JolRS