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To: Alberta's Child
A factory in China that produces things for export to the U.S. has a built-in competitive disadvantage compared to a U.S. factory: transportation costs. And yet even with this cost disadvantage, the factory in China often comes out as the cheaper alternative than a U.S. factory. Why is this the case?

Slave wages.

88 posted on 03/12/2016 7:18:36 PM PST by BlatherNaut
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To: BlatherNaut

EPA
OSHA
labor
taxes


91 posted on 03/12/2016 7:19:53 PM PST by combat_boots (The Lion of Judah cometh. Hallelujah. Gloria Patri, Filio et Spiritui Sancto!)
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To: BlatherNaut

True, but we were talking about a comparison between two heavily automated facilities ... so the labor costs wouldn’t be a major component of the operating costs.


94 posted on 03/12/2016 7:21:01 PM PST by Alberta's Child (Bye bye, William Frawley!)
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To: BlatherNaut

We’ve revolutionized all of our shipping, transportation and distribution systems to expedite containerized shipping.


95 posted on 03/12/2016 7:21:27 PM PST by Jim Robinson (Resistance to tyrants is obedience to to God!)
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