China has a controlled economy and a rising standard of living. In fact all these economies that we are offshoring our jobs to do not practice free trade at all, yet they have a rising level of prosperity. I hope you didnt mean that the planned economy was the reason they are prosperous?
They are prosperous because of capitalism exercised by corporate Western companies, who in order to compete in the world economy, outsource the manufacturing to cheap labor nations, and then sell the product completed to westerners at high prices at exhorbant profits! Capitalism at it's finest!
It certainly proves capitalism works, but my arguement is, what are we supposed to do now? If we arent making things at a salable cost rate, what are WE supposed to manufacture for ourselves? Where does OUR employment come from?
IF it costs too much to run a company here that can make an item at a profit because of overseas competition, what am I supposed to produce? And how am I supposed to pay people to work for me if all my costs are eaten up because of payroll that while 1/2 the American norm, it is still 10X the World standard wage?
China is not a free market economy. US companies can't sell into China, Cisco tried it, only to be met by a Chinese company that was knocking off their products.
You are basically arguing for equalization of wages throughout workers of the world. And if you get your way, that level of equalization will occur at a rate equal to that of workers who are willing to sleep on dirt floors with very low living standards.
Your plan isn't going to work, because long before we get to that point, the political system in the US is going to "intervene". We aren't going to push American standards of living down that much. The Dems are going to pick up this issue, and drive it as part of the "class warfare" issue, and these millions of displaced workers are going to vote for them. It will be utopia for the Dems, as these displaced workers will demand new goverment programs replace the things they have "lost" from the decimation of the private sectors ability to provide middle class jobs. And there is no end to the taxes on the "haves" that can be passed to cover it.