Now, how to compensate the money lost for EXPENSIVE production HERE and LOTS cheaper production over THERE?
The money has to come from somewhere.
[My hand waving in the air...]Oh, I know, the U.S. taxpayer.
What else is new?
The Chinese think we're stupid.
Your statement requires some in depth analysis which is sorely lacking here on FR.
First is you term "expensive." That connotes sky high labor costs which is not true. Most labor in the USA, over 90%, is NON UNION and not "expensive". The hourly rate is not as important as the cost of labor PER UNIT made. Labor is only 5%-6% of most non clothing/textile production ( textiles/apparel is only a small part of what we consume ). We are only talk pennies on the dollar for US labor at retail..
And what do we get for this one time wage inflation? We get balance trade and increase tax revenue, communities rebuild, we get people off welfare, we get lowered drug use because believe it or not Republicans, PEOPLE REALLY WOULD RATHER WORK FOR DECENT WAGES THAN SIT ON THERE BUTT.
I don’t remember Nike’s being cheaper since production has moved to China.
Another tax cut, this time generous for both individuals and corporations, unlike the Steve Mnuchin - Paul Ryan Brobdingnag of 2018. Then the companies can afford to manufacture more stuff, and the American taxpayers can better afford to buy that stuff.