Free Republic

China Becomes The High-Cost Provider Of Goods Posted: June 7, 2010 at 5:45 am China has a problem. Before the recession it was clearly the low-cost provider of goods among the largest nations of the world. Its inexhaustible workforce were another advantage. Its manufacturing facilities are massive. It has only been in the last year or so that China’s cost of labor has spiked up. Like Japan, the country is the victim of its own success. China has created a huge middle class, and that middle class expects a standard of living that relies on healthy wages, and in a...