Wednesday, July 21, 2010

Sorry, China, you're two expensive

Way back when Paul Revere and the Raiders were singing about the Cherokee people, the Japanese were the people who were stealing American jobs. Today, it's the Chinese. But not for long:

As costs have risen in China, long the world’s shop floor, it is slowly losing work to countries like Bangladesh, Vietnam and Cambodia — at least for cheaper, labor-intensive goods like casual clothes, toys and simple electronics that do not necessarily require literate workers and can tolerate unreliable transportation systems and electrical grids.

More here. The article focuses on Bangladesh, where a monthly wage of US$64/month is considered good.

Of course, some day the workers of Bangladesh will become too expensive for Wal-Mart (or whatever replaces Wal-Mart), and production will move to Mali or somewhere like that. But what are we going to do when we run out of impoverished countries where people are willing to work on the cheap?
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