I can agree with parts of your statement, because the outsourcing of labor to the lowest common denominator (China) has been under execution since 2003 (WTO entrance).

If we look at all the jobs that were created since the realization crash of 2008, they have been in the sub $15/hour and lower range, which means we are bouncing on the economic floor.

I agree with you 100% on the supply chain.

As for manufacturing in this country, the cost of making it is more then human labor. It is about the synergy of all of the parts in the manufacturing chain. It is the screws for the case, the fabs for the chips, and the chemical manufacturing for glass, metal, and plastics "and" the manual labor.

There are economies of scale that are required to build goods now a day that require care and maintenance of a pipeline.

We outsourced all of that and now are incapable of it. To give you an example, the chips in cars needs a manufacturer, and it is actually in Texas near where I live. It will require 25.4 billion to build the factory to make the chips. It will require hiring and training of people to support this, and it won't come online until 2025.

My point is this.

If we use the simplistic view of minimum wage which people talk to, only simplistic methods can be used in the mix to calculate what the floor should be.

The reality (using the car chip view I gave) are these jobs are requiring $20-$25/hour floor living in an area where a person can live effectively on that wage (Texas).

As for the cost, that requires $25 billion to build a factor that will have a 20 year life span to support 1000 jobs. That is considerable money, which means it has to come from somewhere, and right now we have to print it. That is $1 million investment for 1/2 the career of a person if they did that for life, on parts that they sell for $10-$100 in most likeliness ....

Lastly on the iphone in minutes, you are looking at the time invested to put it together. The work to design and build every piece in that phone is infinitely higher then a few minutes.

--

--

--

Lover of people, Texas Feminist Liberal Democrat, Horse Farm, High Tech Gadget ENFP Guy, and someone who appreciates the struggle of women and wants to help.

Love podcasts or audiobooks? Learn on the go with our new app.

Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store
Alan Tegel

Alan Tegel

Lover of people, Texas Feminist Liberal Democrat, Horse Farm, High Tech Gadget ENFP Guy, and someone who appreciates the struggle of women and wants to help.

More from Medium

How to tell if a person is lying: 11 quick clues

Cardax: Strives To Take Advantage Of Cardano ERC-20 Converter

Cardax: Strives To Take Advantage Of Cardano ERC-20 Converter

Living on a Knife-Edge: The 1337-Way

Vin Diesel honors Paul Walker on death anniversary