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To: Grams A
You are missing the point. The labor in making the shirt was 12 cents. As a percent of the retail cost, that is .009%.

Worst case scenario we open the factory in New Jersey and pay union workers $40.00 per hour, how much would that move increase the labor cost and by how much?

Let's say for argument that is takes 5 minutes to make one shirt(probably less time than that but we will go with 5 minutes of labor). the labor per shirt in Bangladesh is basically free. The labor per shirt in out New Jersey union factory per shirt is 1/12 hour times $40.00 = $3.33 per shirt.

So now the shirt would cost about 3 dollars more. Approx $17.00. OK that sounds like a lot but if you reduce the duties and shipping costs that would reduce the price a dollar to $16.00 per shirt. To me the 15% increase is offset by the decrease in social costs of the lower IQ chronically unemployed....

52 posted on 05/05/2013 5:50:01 AM PDT by central_va (I won't be reconstructed and I do not give a damn.)
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To: central_va
To me the 15% increase is offset by the decrease in social costs of the lower IQ chronically unemployed.

--and to everyone else it's better to buy the shirt for $2 less, provide a living wage for hundreds of workers, and still have funds left over to feed the "lower IQ chronically unemployed" in Jersey.

58 posted on 05/05/2013 6:08:27 AM PDT by expat_panama
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To: central_va

And most likely machines would do the work. Yes, they would need some workers.


89 posted on 05/05/2013 9:57:54 AM PDT by Lumper20 (`)
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