HappySqurriel said:
| darkknightkryta said:
Yes, that's why a certain amount of money needs to be printed without penalty and distributed. No matter what happens millions of people are born yearly, they'll all need a salary to live and that money just doesn't exist. You can delay it, take away pensions, but it's only gonna delay needing to pay people. And to touch upon international competition, how can you compete with a minimum wage of let's say 10.45/h (Minimum wage in the province I live in) vs 2.00/h in China (Current wage of Foxcon employees)? Corporate greed caused business men to run out of most first world countries, up until the last 30 years business were making money and paying people proper saleries. Economics ultimately goes back to people buying goods. Move jobs over seas to save costs is good short term, but if you cut people's pay they're going to be buying less. Buying less leads to less profits, and these "smart" business men deal with that buy cutting wages and getting rid of employees reducing spending money which causes even less profits. When this happens the government has to step in which causes the government to spend even more and cut taxes to try to alleviate the burden off of people. Less taxes means less revenue to spend, less revenue to spend and higher spending causes these huge deficits (Which is why the governments of most countries are in shambles). Which leads back to corporate greed cutting out most jobs and having people retire early will free up jobs, even if a little (A complete overhaul and proper regulations and getting rid of free trades will solve a lot of issues, but that's a different discussion).
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You see the symptom but you don't see the cause ...
In China you pay an employee to support his family
In the western world you pay an employee to support his family, retirees, people on welfare, government bureaucrats, students in gender studies, and so on
For example, GM's labour costs are roughly $70/hour per employee while employees earn between $15 and $30 per hour; and their take-home pay is probably closer to $10 to $20 an hour. GM has no problem supplying these employees with a take home income of $10 to $20 per hour, but paying them $70 per hour to cover everyone else is asking a lot.
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