That is precisely why our economy is now it the present condition.
No, not precisely. Unions bear a large responsibility for this as well and we've already seen that Smoot-Hawley type of legislation creates far too much misery to make it feasible. However, blaming the guy who wants to save a buck instead of spending it on union benefits is not the answer either.
Our manufacturing base left this country because of WalMart and that model. I used to work for a company that supplied goods to WalMart. They would dictate our selling price until it became impractical to make the product. All the while, WalMart's margin for the product in their store was 1000%. I can assure you, "buy cheap" killed us.
Very few of the factories that were shut down in the US and moved to china were union. In manufacturing, unions comprise a small number. Union membership today is mostly made up of gov't employees, teachers, service workers etc