General Discussion
In reply to the discussion: The heart of the problem is that most People like Walmart [View all]bluestate10
(10,942 posts)their sale. Such items are small in number, but they exist. My concern is that some classes of labor will be under pressure forever. Before modern transportation, laborers and semi-skilled workers were isolated for competition with cheaper labor and semi-skilled workers in other parts of the world. Faster, efficient transportation reduced the isolation, creating situations where companies could move some types of labor to locations of the world where that labor was cheaper. The manufacturers would in turn sell the less expensive products in wealthier markets for standard prices, creating an enormous profit for them and higher ups in their companies.
The solution being proposed by politicians is to up-skill the population. While this approach will work over a period of a generation, in today's world, it will fail to produce economic stability for those up skilled workers.
One solution, IMO, would be to up-skill workers while applying tariffs on products that are made in inexpensive markets, forcing those products to cost as much as products made in the USA. The problem with that approach is that consumers will be paying more for basic items like clothing, household products and shoes, as well as luxury items such as electronics and electronic games.
A second solution is the stove-piping of manufacturing and consumerism across the world. This approach is one where products are manufactured and sold ONLY in the country that they are manufactured in. In this model, products made in inexpensive labor markets can only be sold to consumers living in the country of those labor markets. More expensive labor markets would consume only products made in those markets, cheaper imports would be banned completely. This model has not been used at any time in the history of humankind. Typically, what has happened is that a labor market that had an advantage over other markets, such as what the USA enjoyed over most of the world for decades, would produce products for it's consumers and export those products to markets that could not make those products. This model would work well for workers all over the world, and since workers are consumers also and taxes are involved, the model would work for consumers and governments. The entities that would be left in the cold would be multinational manufacturers and export/import shipping organizations, since these very groups wield large economic and political power, I don't see this solution working unless political leaders worldwide decide that it is the model that will be used and honor agreements with each other not to import in products made less expensively, or export products out of a labor market if those products are made in the targeted markets.