Watch these two videos, back to back.
Kinda funny, isn’t it? Not only because Romney’s ad makes China’s 25% increase in manufacturing look like an 100% increase, but also because these men are way too wrapped up in the blame game. Essentially these ads are lamenting that nobody is beating back China with a stick. China is out-producing and out-pricing us and so we call them cheaters that must be punished.
So how might we punish them? And for what reason?
Here’s what the candidates say the problem is: the Chinese don’t follow regulations, they’ll do anything to make a buck, and they’re essentially running illegal production lines. Check out this article if you want some examples of sneaky Chinese shenanigans: http://www.sfgate.com/news/article/China-a-nation-of-cheaters-3535683.php
But why are we really hating on China? Well, like any third grader who just lost his recess game of volleyball knows, it’s easier to call the winners a cheater than to accept that they’re better. But here’s the truth: there are a lot of countries out there from which America could be importing who have even lower wages than China’s. But we don’t. Why? According to the Economist, China’s got what no body else has: the population size and flexibility to accommodate demand, unparalleled productivity, and a sophisticated and “supple” supply chain. http://www.economist.com/node/21549956
So if China IS cheating, well hey—it’s working for us! Since when did we care about playing fairly when we’re getting our way? And what do the candidates propose? That we have the same closed door policy for which we reprimanded China? It’s doubtful that the United States could meet the demand on our own that China is currently meeting for us. American business owners hire them because no matter what tactics they employ, they are the best ones for the job.
So here’s a curve ball: we want to punish China for “cheating” by having such low wages. But China’s “labour costs have surged by 20% a year for the past four years” and American business owners are complaining. They don’t want to have to go somewhere cheaper for their goods, because China’s the best.
So while Obama and Romney make identical accusations about who isn’t hard enough on these cheaters, I’d like to know what they’re gonna do when, as their business costs continue to rise, China can’t “cheat” quite as well.