The closed circle of Wal Mart economics

[nadinbrzezinski]

40. Alas that is part of the problem

but you knew that.

I get it, you were born well after we were able to get more than just low retail jobs.

In some places, you are right... that is the only source of employment. It used not to be that way. This is why we need to break a few monopolies and keep them broken... that increases competition, that increases competition for good workers that will work for good pay and benefits

Let's go the Reich way, and increase average pay at Wallmart from 16,500\year to 25,000 year. This is about 1% of profits for Wallmart. What happens to those workers? What happens to their consumption? They suddenly are able to afford to fix some things, and yes, CONSUME a few more stuff. According to Reich the potential in sales is 8 B. So let me see, costs 1 B to raise those salaries to something that is lower middle class, nothing luxurious... and has a potential of 7B in profits.

Yes, Reich article is posted on another thread. give me a sec, because you really need to read it.

http://www.democraticunderground.com/?com=view_post&forum=1002&pid=1867549

Please, do read it...