Dr. I work says China is a predatory economic power, wouldn't the U.S. be considered the same?
The U.S. also exploits developing countries for their low wage/slave labor workers, as much if not more than any other country in the world, they started on China 3 decades ago, to profit dictatorial govt. regimes but the workers stay poor. Same thing in S. America isn't it?
- FoofaLv 76 months agoFavorite Answer
Precisely, but global economic aren't about the plight of the worker. They're just about GDP and monetizing innovation for the betterment of the shareholders.
- 4 months ago
The term the Dr. is referring to is not the exploitation of low wage workers, but the country's own manipulation of currency to purposefully attract investors.
The Chinese Yen is devalued on purpose by the Chinese government as a strategic way to attract investors, and get products created in China cheap and sold cheap compared to countries with a higher valued currency.
In a sense, China gets rich by "looking" poor since its labor force is forced to take the hits of the lower value of currency but in exchange they are all cared for by the national government due to the profits they get from exports and trade deals to other countries with higher values of currency.
It is predatory because China basically would turn itself into the Walmart of exports. Think of other countries with normal, unmanipulated, values of currency as the normal corner store in your town. As an example a Polish based company makes and exports toy cars, but since their currency is of similar value to the dollar trade would be more expensive as labor costs, shipping, and tariffs would be considered. Now out of nowhere, China comes in with cheap products to export to other countries due to its devalued currency which allows labor costs to be decreased, shipping costs to decrease, rich countries would buy from China as it is the reasonable offer.
The scary US 17 trillion dollar debt to China is not a "debt" but rather just a byproduct of that trade. We don't owe China money, we just buy more products from China than China buys products from the US. The reason we buy more is because it is way cheaper to buy from China than anywhere else, even inside the US. Since it is that cheap, the US actually gets more money from China than China gets from the US as the US, and its companies like Walmart, resell those products for profit.
In that sense, the US would not be considered a predatory economic power but just a consumer. We are doing what this country is born to do, capitalize, after all this is a capitalist system.
- regeruggedLv 76 months ago
The US is the best country on the planet. Try living in China or Brazil for awhile.
- Russ in NOVALv 76 months ago
I think you need to first come to an agreement with your Dr friend on what you mean by "predatory". Just because you participate in a practice that might not be ethical in your country does not mean it is predatory. China ALLOWS and even encourages the low wage earner economy because it gives the country more income and takes it away from other countries that treat their workers better. THAT is what is predatory. US companies must go to China because they can't compete if they go to US made goods. China can under price things in other ways, also manipulates its currency.
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- JohnLv 66 months ago
Would S.America have been less exploited by governments if Marxism had been allowed to spread?