• PointyReality@lemmy.world
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    6 days ago

    Lets work through this logic shall we. Lets say those companies setup production in the US, in the scenario where all required inputs are US based and produced then the only other determining factor for price increases would be wages. Do you think the end price would be cheaper or more expensive then what China can produce? In order to compete with China you have to have their level of wages in an economy that supports that low level of cost of living. Now lets see how scenario two plays out where at least some of the inputs still have to be imported, same result as before but just more costs to add onto the end product passed to the consumer.

    This is a rather simplified outlook but I am curious if you can see what the dilemma would be those scenarios particularly for the US.