According to Tom Friedman, China is "selling" software engineers
three for the price of one from Japan!
Worse yet, the INDUSTRIAL WEST seems doomed to perpetual non-
competitive status, the way things are going.
China is graduating HUGE numbers of engineers and scientists, ALL OF
WHOM WORK FOR A TINY FRACTION OF A WESTERN WAGE.
THIS, OF COURSE, IS NOT NEWS. WHAT IS NEWS IS THAT I WOULD HOPE THAT
SOME ECONOMIC GENIUS WOULD TELL US, SOON, HOW THIS STORY ENDS.
THE NOTION THAT WESTERN LABOR WILL JUST ROLL OVER AND DIE SEEMS
INCREDIBLE. YET THAT SEEMS TO BE THE WALL STREET SCENARIO OF CHOICE.
My hunch is that we are going to see a LURCH TO THE LEFT in the
Western Nations.
IF THE GLOBAL WAGE FOR LABOR IS $5 PER HOUR, THEN THE WESTERN
ECONOMIES ARE GOING TO HAVE TO COME UP WITH A MASSIVE SOCIAL SAFETY
NET TO "EQUALIZE" THE STANDARD OF LIVING THAT WESTERN WORKERS WERE
USED TO---PRIOR TO THE BIG MOVE TO CHINA.
And any politico who thinks that people will accept DOWNWARD MOBILITY
without a fight, has been dining with too many special
interest "lobbists!"
WALL STREET SEEMS TO BE UNDER THE INSANE DELUSION THAT THERE IS
A "FREE LUNCH" WITH CHEAP CHINESE LABOR!
BUT, ONE THING WE ALL SHOULD HAVE LEARNED BY NOW IS THAT:
THERE IS NEVER A FREE LUNCH!
Something is going to "snap" sooner or later, and it behooves the so
called "wise men;" like Mr G, to tell us IN GREAT DETAIL;
WHAT HAPPENS NEXT!
Because Tom Friedman's weekly prose poems to smart little Indians and
ambitious Chinese youth, will not be the last word on this in the
West.
Postscript: As I always say: THERE IS MORE TO THE ECONOMY THAN
MONEY!
