Quote:
Originally Posted by RummyBoy
Yes because I've seen it with my own eyes. There are entire generations who live on benefits in the UK and never join the workforce, living in the council estates, on housing benefit and so on.
I disagree because the minimum wage in the UK (if calculate on month basis) is a good wage in many Asian countries such as India, China, Vietnam and so on. This makes their economies uncompetitive and causes the problems I explained before where people go looking for labour abroad. It also affects business confidence and risk taking - I know many people who could start a new business with very little capital if they could pay lower rates for labour. The key is that they only start out that way, eventually the wages would increase.
Correct but basically the welfare bill contributes to that national debt for every single country that operates a welfare state and has a national debt.
This is completely wrong - it's been going on for more than 20 years and is increasing every year markedly.
And they will live or die by them - time will tell. As of today however, its the big government, big regulation, big welfare state countries which are the debtor nations in the world and have the highest debt ratios. The bottom line is that a country owes almost its ENTIRE GDP to private sector and businesses. Without businesses and capitalism a country would be dead in the water.
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I am impressed; you have seen whole generations in UK, not to mention to be able to make more exact segmentation. How you have done that?
It's totally irrelevant that is UK's minimum wage good wage in somewhere Asia. All it matters that is it that in UK. You can't pay salaries based solely on what those are in some other country. What you describe would be actually slavery in UK, maybe literally (considered as slavery).
That welfare state thing, not that much ago countries were shortening their debts, and some are even now. Welfare state thing is not some synonym for debt (well, maybe in your mind). And there really is not that much options, especially with current development. You will get very unstable society if you just abandon people. Not to mention ethics, but I think it's not worth to mention it to you.
Outsourcing, especially budget wise, is decreasing, as salaries have increased highly in China, and every other Asian country is on the same road. Africa is yet more or less unplundered, but once it is reaped, that will be it. China is flourishing today because of the manufacturing ecosystem, not because of just the low salaries, as those are higher and higher every day, and significantly higher than for example in India.
Countries have flourished for thousands of years, seems like that they have and will live. With and without capitalism. You have some kind of threatening going on. "Let us (business) do what we want, or you will fall.". Countries make the rules and I am very satisfied for it, as it makes the environment more stable and business friendly. At least I like to do business for example in EU, more than in Somalia.