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#51
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#52
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On Wed, 07 Jul 2004 15:00:32 GMT, "Doug Kanter"
wrote: 1) Your data does not change the basic idea behind what Gould said. Those people are still paid a LOT less than comparable workers here. Then the natural follow up question would be; do those workers feel cheated that they're making less than we are (adjusted for inflation and living standards)? If the answer is yes, then it's up to those people to demand more. If I create a job, and offer it at $2.00 an hour and someone applies for it, am I to be faulted? Business is run by the principles of supply and demand. As long as someone is willing to work for what you offer, then THAT rate is what that job will be worth. 2) Their comparable purchasing power is not relevant to this discussion. We're not talking about how bad we feel (or not) about their wages. The point is that we're stuck with lousy service because American companies are unwilling to pay what it takes to provide complete and proper support. Sometimes the differences in costs are much greater than the difference in service. Dave |
#53
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![]() "Dave Hall" wrote in message ... On 07 Jul 2004 14:58:09 GMT, (Gould 0738) wrote: PS - According to the CIA World Fact book, for someone in India to earn as much purchasing power as the average worker in the US, they must earn $2900 per year. That's $1.45 an hour, assuming the Indian workers do 5 (8-hr) days per week (not more) and get two weeks of unpaid vacation. I provide 807 links that establish a typical pay rate of $1 per hour, check a few to verify, and you fault my research? Here's a face-saving fig leaf for ya. A cut n paste from one article that says some wages in India can be as high as $2...... thereby ripping the heart out of my assertion that the Indian call center employees are working more cheaply than any American can afford to. (Typical liberal. Bemoans that no American can exist on $40 a week, when the facts are that a very industrious worker with a little seniority and a willingness to assume some management responsibility can eventually hope to rise to $80 a week. Instead of one corn dog a week, the industrious worker will be able to have a tank of gas, a six pack of beer, and a corn dog *every day*! Woo hoo! Watch those damn liberals, they refuse to see the upside potential) ************ Near-shore locations offer workers at wages lower than the US' though not as low as India's. According to Trammell Crow, typical hourly wages in US dollars are $2.50-$3 in Jamaica and $5-$7 in Canada compared to $7.50-$14 in the US. In contrast, India's typical hourly wages in US dollars are just $1-$2. **************** So what exactly is your beef? Are you faulting the companies which are taking advantage of these low wages? Or should you be faulting the ignorant Indian (and other) workers who don't know that they should be making much more? Remember, no one is holding a gun to the heads of these workers. In many cases, even thought their wages are lower than what WE are accustomed to, they are far better than what they were making before. Improvements in any third world country's standard of living will come slowly. But it will come. The people have to realize what they have, and fight to get more for it. So why no complaints from the liebrals about liebral hollywood doing so much offshore filming....backward places like Romania, Bulgaria, Canada :-) Dave |
#54
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P. Fritz wrote:
So why no complaints from the liebrals about liebral hollywood doing so much offshore filming....backward places like Romania, Bulgaria, Canada :-) Liebral? Even if it is a coined word, you dumbfoch Konservatrashers can't spell. Sheesh. |
#55
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You will not pay $1000 for a 60 gig disk drive! If you would, then the
manufacturers could build them here. Fully bundled labor cost in Malaysia is probably in the $3-5 range, was $1.50 in the early 1990's. So, since the consumer wants the $60 drive retail, the companies are forced to build overseas. You think that a PR guy for a union pension fund, should make $100k+? Then you can hire him, but if you could get the same thing for $20k, would it not be provident to do so for the benefit of the pensioners, and stockholders? No, most folks wouldn't pay $1000 for a disk drive. That would amount to several days' income for a typical American. Ironically, when we build them overseas and sell them for $60, that price represents several days' income for the people that built it. The missing portion of this equation is executive compensation. UP Uranus Widgets and Gidgets, (for example), traditonally grossed $500mm per year in sales with a respectable 8% operating net of $40mm. The CEO earned $6mm per year. UP Uranus moved manufacturing from Oklahoma to Malaysia, and accounting and customer service to New Delhi. The decrease in personnel cost improved the company operating net from $40mm to $110mm, activating an "incentive" clause in the CEO's contract that increased his pay from $6mm per year to $35mm. The board of directors voted themselves fat bonuses, dividends went through the roof, and the stock price advanced sharply. The CEO, the board, and the stockholders were all delighted. Somewhat less delighted were the ex-rank and file employees of UP Uranus. Many had to rely on unemployment insurance, some were forced into an early and underfunded retirement, and others settled for "underemployed" jobs at a fraction of their former wages and lost homes, cars, savings accounts, as a result. Almost as undelighted were the taxpayers in Oklahoma. UP Uranus discovered that by forming sub corporations in Malaysia and India and registering these entities in certain Caribbean nations, there would no longer be any US federal or local sate taxes paid on the proceeds. Just when UP Uranus dumped thousands of involuntarily jobless people onto the doorstep of society, UP Uranus engineered a way to avoid participating in the social costs associated with the layoff. That's what is defined as "smart business" by many people whose god is a greenback and holy writ is last quarter's financial statement. What the hell, let the common people eat cake. If they get too desperate, they can sell one of their Lexus......(surely every family has at least a couple of those, right?) BUT.....we haven't finsihed casting all the villains in this little scenario. Throw in another 200 million adults of consuming age and blind them all to any portion of a purchase decision except price. Have them shop in a business that is so powerful it collects almost 10-cents out of every retail dollar spent in the US, and have that business inform its competing suppliers that it *expects* them to offshore as many jobs and reduce costs as much as possible so that the company's 200-million customers can buy a new toaster for $10, or a microwave oven for $39. Winners: The very rich and the very poor. (Most of the very poor being overseas). Middle class consumers but only to a point. (Higher unemployment and greater underemployment depresses wages for all, meaing that it takes as long or longer to earn that $39 microwave as it did when the appliance cost a bit more). Losers: The middle class overall. Skilled labor, white collar professionals, and tax revenues. (Sales tax doesn't diminish much when the companies reorganize offshore, so the portion of the tax burden paid by the consumer, rather than the corporations, remains relatively high. Transfers the tax burden to the little people). Is this a "good" thing or a "bad" thing? That's up to everybody to decide based on individual values and perspectives. No doubt about it, however, it is a common scenario in contemporary times. |
#56
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Greed is a part of human nature. The more you have, the more you want.
That's why liberalism is destined to fail. Liberals believe that people will do the morally right thing, if given the chance. Hoboy..... Dave, liberals try to avoid stereotyping. I can't think of a single thing that *all* liberals believe in common. Unlike some folks, I actually know and associate with a lot of liberals. :-) Don't tell me what liberals believe. Even if Rush and Hannity have assured you that "liberals believe this and that" they are usually (often deliberately) wrong. In example: You state that liberals believe people will do the morally right thing if given the chance. Horseflies. Nobody is that naive. Some liberals believe that one of the challenges in life is to figure out how to do the morally right thing as often as possible while (as you say) the dominant force in human nature is self serving greed. If left to the natural course of commerce, there will always be those who take advantage of any given situation to increase their net worth. There is a *natural* course to commerce? This natural course, or commerce itself, should be the supreme principle upon which our social fabric is founded? It's all about money, property, and net worth? Only through strong government regulation (Socialism) do you stand any chance of mitigating this. Here's the hilarious aspect of your statement. Many of the countries where the US coroporations are relocating manufacturing, accounting, engineering, customer service, etc, are able to pay workers such itsy-bitsy salaries because they are *more* socialized than the US! (But not usually socialistic). Our industry fat cats eschew any suggestion that we adopt public housing, health care, education, transportation, or subsidize cultural events in this county while they trip over themselves to take advantage of low wages made possible by other countries where government subsidies and support make high individual wages unnecessary. Socialism is not "strong government regulation of the market". Socialism is an economic model where a country's natural resources, physical infrastructure, public agencies and utilities are owned in common by the population. (As opposed to pure communism, where there is no private property of *any* kind). I know only two liberals who are socialists. Next failing argument, please? No, the unfortunate truth is that the world market will have to equalize on its own, and that could take 50 years. Not very comforting for those of us in the inflated "1st world" countries. But as the rest of the world catches up to our standard of living, there will be no further incentive to more work offshore. We agree, to a degree. The "world economy" will bring up much of the rest of the world at the direct expense of the American economy. The winners are the very rich in the United States, and the very poor overseas. The losers are the middle class, which will disappear as people willing to live in a home that allocates 100 sq ft per resident, eat two sparse meals a day instead of three big ones, walk a few miles to work or take a (god forbid!) bus displace the middle class American workers doing those jobs now. The 2030's will not look that much different than the 1930's in America. I'll be dead (or close) by then, but I lament what unrestrained greed is doing to the world my children are inheriting. |
#57
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On Thu, 08 Jul 2004 16:27:43 +0000, Gould 0738 wrote:
We agree, to a degree. The "world economy" will bring up much of the rest of the world at the direct expense of the American economy. The winners are the very rich in the United States, and the very poor overseas. The losers are the middle class, which will disappear as people willing to live in a home that allocates 100 sq ft per resident, eat two sparse meals a day instead of three big ones, walk a few miles to work or take a (god forbid!) bus displace the middle class American workers doing those jobs now. The 2030's will not look that much different than the 1930's in America. I'll be dead (or close) by then, but I lament what unrestrained greed is doing to the world my children are inheriting. Add in the predicted oil shortages and there is a recipe for disaster. The broad scope of these policies could cause severe and violent social unrest. After several generations of being comfortable haves, I don't think we'll be as docile have nots as our thirties forefathers. |
#58
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![]() "thunder" wrote in message news ![]() On Thu, 08 Jul 2004 16:27:43 +0000, Gould 0738 wrote: We agree, to a degree. The "world economy" will bring up much of the rest of the world at the direct expense of the American economy. The winners are the very rich in the United States, and the very poor overseas. The losers are the middle class, which will disappear as people willing to live in a home that allocates 100 sq ft per resident, eat two sparse meals a day instead of three big ones, walk a few miles to work or take a (god forbid!) bus displace the middle class American workers doing those jobs now. The 2030's will not look that much different than the 1930's in America. I'll be dead (or close) by then, but I lament what unrestrained greed is doing to the world my children are inheriting. Add in the predicted oil shortages and there is a recipe for disaster. The broad scope of these policies could cause severe and violent social unrest. After several generations of being comfortable haves, I don't think we'll be as docile have nots as our thirties forefathers. .....and people wonder why Bush will probably NOT sunset the assault weapon ban...... |
#59
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![]() "Harry Krause" wrote in message ... P. Fritz wrote: So why no complaints from the liebrals about liebral hollywood doing so much offshore filming....backward places like Romania, Bulgaria, Canada :-) Liebral? Even if it is a coined word, you dumbfoch Konservatrashers can't spell. Sheesh. Sheesh, look at the spelling in your post. And why no complaints about offshore filming? |
#60
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![]() "Gould 0738" wrote in message ... You will not pay $1000 for a 60 gig disk drive! If you would, then the manufacturers could build them here. Fully bundled labor cost in Malaysia is probably in the $3-5 range, was $1.50 in the early 1990's. So, since the consumer wants the $60 drive retail, the companies are forced to build overseas. You think that a PR guy for a union pension fund, should make $100k+? Then you can hire him, but if you could get the same thing for $20k, would it not be provident to do so for the benefit of the pensioners, and stockholders? No, most folks wouldn't pay $1000 for a disk drive. That would amount to several days' income for a typical American. Ironically, when we build them overseas and sell them for $60, that price represents several days' income for the people that built it. The missing portion of this equation is executive compensation. UP Uranus Widgets and Gidgets, (for example), traditonally grossed $500mm per year in sales with a respectable 8% operating net of $40mm. The CEO earned $6mm per year. UP Uranus moved manufacturing from Oklahoma to Malaysia, and accounting and customer service to New Delhi. The decrease in personnel cost improved the company operating net from $40mm to $110mm, activating an "incentive" clause in the CEO's contract that increased his pay from $6mm per year to $35mm. The board of directors voted themselves fat bonuses, dividends went through the roof, and the stock price advanced sharply. The CEO, the board, and the stockholders were all delighted. Somewhat less delighted were the ex-rank and file employees of UP Uranus. Many had to rely on unemployment insurance, some were forced into an early and underfunded retirement, and others settled for "underemployed" jobs at a fraction of their former wages and lost homes, cars, savings accounts, as a result. Almost as undelighted were the taxpayers in Oklahoma. UP Uranus discovered that by forming sub corporations in Malaysia and India and registering these entities in certain Caribbean nations, there would no longer be any US federal or local sate taxes paid on the proceeds. Just when UP Uranus dumped thousands of involuntarily jobless people onto the doorstep of society, UP Uranus engineered a way to avoid participating in the social costs associated with the layoff. That's what is defined as "smart business" by many people whose god is a greenback and holy writ is last quarter's financial statement. What the hell, let the common people eat cake. If they get too desperate, they can sell one of their Lexus......(surely every family has at least a couple of those, right?) BUT.....we haven't finsihed casting all the villains in this little scenario. Throw in another 200 million adults of consuming age and blind them all to any portion of a purchase decision except price. Have them shop in a business that is so powerful it collects almost 10-cents out of every retail dollar spent in the US, and have that business inform its competing suppliers that it *expects* them to offshore as many jobs and reduce costs as much as possible so that the company's 200-million customers can buy a new toaster for $10, or a microwave oven for $39. Winners: The very rich and the very poor. (Most of the very poor being overseas). Middle class consumers but only to a point. (Higher unemployment and greater underemployment depresses wages for all, meaing that it takes as long or longer to earn that $39 microwave as it did when the appliance cost a bit more). Losers: The middle class overall. Skilled labor, white collar professionals, and tax revenues. (Sales tax doesn't diminish much when the companies reorganize offshore, so the portion of the tax burden paid by the consumer, rather than the corporations, remains relatively high. Transfers the tax burden to the little people). Is this a "good" thing or a "bad" thing? That's up to everybody to decide based on individual values and perspectives. No doubt about it, however, it is a common scenario in contemporary times. Part of the problem has been the astronomical inflation of wages in the USA in the last 25 years. Middle class wages. 1980 a good engineering job paid about $23k a year. A car cost $2-4K and the burger flipper was making $2 an hour. Now the burger flipper is making $9 an hour and the employed engineer is making $100k a year for the same position and the same car is $25-40k. What is that inflation wise? About 10% a year. A lot brought on by the overspending of the government giving away lots of money to the downtrodden. War on Poverty. Did we win the war? Still people complaining about the downtrodden. Look at the Carter Presidential years. 17%+ inflation. We have priced ourselves out of the market in a lot of areas. The rust belt, had huge unemployment because of a couple of reasons. Iron ore ran short, and the foundries did not upgrade to produce steel with scrap and some ore more efficently. And the labor unions forced huge wage increases via strikes. Sure, it is nice to be a high school dropout, or even a graduate and earn $80k a year. average public traded companies CEO's in 1962 made about $130k. 10x the average workers salary. Now same CEO's are making $1mm. maybe 15x the average workers salary. Sure, there are the Martha Stewarts, et al. But a small percentage of the CEO's. And we probably had a similar % ripping off the stockholders in 1964. We are in for hard times, but maybe we come back into line with the rest of the world in terms of pay. |
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