Let's spin this around for a second. If buying stuff made in third world countries perpetuates poverty, what lifestyle are you supporting if you buy local? If you purchase a product made in the USA, you are supporting the lavish American lifestyle, you are pumping more and more money into a lifestyle which is based on overconsumption, negative savings rate, loads of debt, and purchasing more and more stuff, and displaying wealth as conspicuously as possible.
Is this the lifestyle which you want to support? Most every American - including even factory workers - enjoy lavish lifestyles of excess, which the developing world envies, such as:
- Personal vehicle ownership, including all of the energy consumption and environmental mess that goes with it
- Humongous, energy inefficient houses, most likely backed by a lengthy debt/mortgage repayment term
- Getting out of a debt is a bigger problem than getting a loan
- Air-conditioning
- So much food that obesity is a bigger problem than malnutrition
- Endless gadgets, big screen TV's, satellite packages and fancy iPods
- Pensions & Retirement packages which start age 50 or even sooner
Should every human being be entitled to own a car? 25% of the world's oil is consumed in the USA even though we are only 5% of the earth's population. Oil fields are operating at full capacity all over the world, and tanker ships are headed to American coastlines night and day to fulfill America's insatiable appetite for more oil to fuel their vehicles. I can do the math and see that if the whole world lived like an American we would need 4x as much oil as the world currently produces, and my guess is that if we produced and consumed that much, it would cause the planet would burn into a humongous fireball.
Is this a good thing?
Look, I am no financial saint. By global standards, my lifestyle is extremely lavish, though by the standards of my country I live like a pauper (I'm exaggerating, but not by much). Yes, I own a car. Yes, I keep talking about buying a pair of shoes which costs as much as my average brother on the planet earns in a month, while some of them don't have any shoes at all. Plenty of people all over the world work much harder than me and will unlikely enjoy the comforts which I have been handed ever since I won the ovarian lottery. I don't make any apologies for this, nor feel guilty about this, and neither should you; the rest of the countries are playing hardball, catching up fast, and don't need our help outside our ability to consume their stuff.
My vision and hope for the future is that the global playing field evens out a little bit. The gap in world wealth right now is just humongous. People like the Chinese factory worker, the Indian farmer, and the African miner deserve just as comfortable lifestyles as the people working just as hard and doing the exact same job in rich countries. But the current lifestyle in rich countries is not sustainable or scalable to the whole planet for environmental as well as economic reasons. The planet would self-destruct if every human being lived the lifestyle of an American factory worker, but it would be humming along great if everybody lived like the Chinese factory worker. So the intuitively obvious conclusion to me is that over the long-term the lifestyle will land somewhere between the two. A lot of wealth will be democratized (particularly technology, which will continue to get cheaper and cheaper, and empower billions and billions of more people), while some things (such as energy, and natural commodities) will have to be divided more equally than they are now.
7 comments:
So if I am not a humanitarian and want to sustain my american lifestyle then I should (and convince others to) continue to purchase american to have everything I want. I don't want to throw away my air conditioner or quit using my personal vehicle. Yes I won the ovarian lottery to, and you know what... I will take my winnings and enjoy them as much as I can.
But yes, there are some issues with everyone trying to do it, but still they can be happier with their life without all the stuff I have then more power to them.
Interesting take on buying USA made goods. I'd like to see a response to this by the UAW or similar group. I personally have never been one to buy something just because it was made in a certain country - I look for the best value and reliability.
Understanding what third world countries and first world countries are good at will give a better understanding of what you are buying and from where. The Chinese are very very good at putting together 100,000 of the very same thing over and over and over. What you do not trust them to do is customize any product. That is why it comes to the USA.
Most high end tech companies (Apple, Sun, Cisco) have the base assembly made in China or Vietnam or others, then send the product to a final assembly, fit and test facility before it goes to a customer. That Dell you bought from Best Buy came directly from a Quanta Factory in China to Best Buy's warehouse. That Dell you bought from Dell.com, came from the Quanta factory in China, to a final assembly facility in Nashville, and then was shipped to your house. That is why cell phones and (ipods) are made in china, the same thing over and over and over. It is also why it is a crap shoot on how long your cell phone will last.
The interesting thing (at least on computer products) is the miniscule difference in price between having something built in the USA and China. The manufacture value added (Labor and B&C Parts) is about 8 bucks in China versus 21 in the USA. Not a big difference especially when you figure between 4-8 dollars of that is eaten up by shipping. But in our quest to save that extra 5 bucks we buy from China.
What do you give up from having it built in China? Higher quality control, environmental and pollution controls and companies actually risk their quarterly earnings. Those plants in China, have fire sprinklers in their plants. Only one problem. No water to feed them. If a fire burns the plant down the company is essentially SOL in the 3 months it takes them to build new tools and get in line with the other 14 companies that had the product built in that facility.
Some things I am very worried about being made in third world countries including food and medicines. How many melamine scares have we had. Tainted Heparin, baby formula, etc.
For better or worse I would suspect that vehicle ownership is going to be a growing trend in China and especially India.
I think the "world" goal (unsustainable goal) is to bring a more lavish lifestyle to 3rd world places, not to bring the US down to a less lavish level.
Interesting perspective. I don't focus much on buying american or not.
Thought maybe you'd be interested/good at in this:
http://chrisguillebeau.com/3x5/the-unconventional-writing-contest/
what are you a socialist now? do you want everyone in the whole world to pool their money and then distribute it evenly so that no one is "disadvantaged"? growing up in this country gave you the OPTION to buy whatever brand you choose. don't judge people who choose to support the american workforce. are you sending money overseas to buy one of those african miners a car? no? the beautiful thing about america is you can choose to do anything you want with your money. if you want to even out the playing field, be my guest. go ahead and send that african miner money for a car. still aren't sending that money? please don't judge the rest of us that aren't either.
I don't buy it. You're making the assumption that purchasing goods manufactured in a country supports the average lifestyle of people in that country.
Of course that's not true -- our conspicuous consumption has been driven and enabled by extremely cheap goods manufactured by a very cheap workforce. Our financial culture assumes that manufacturing is cheap.
If we were willing to pay for value, i.e. quality over quantity, we wouldn't have NEARLY the conspicuous consumption we have today. Every time you chose quality over cheap, you support companies (not just countries) that produce the quality products and give them incentive to pay a premium for quality workers who enable the quality products.
It's not just about countries here -- your thesis is wrong because you are supporting cheap over quality, and thus perpetuating a culture that doesn't care what they're buying as long as it's dirt cheap.
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