Pinko Wal-Marts

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R00k
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Post by R00k »

Massive Quasars wrote:I'll give it a shot anyway, R00k.

Walmart's profits do indeed go to it's execs and shareholders, but it enriches millions of Americans indirectly as well. A portion of those profits are funnelled back into buying more goods to put onto shelves. Walmart negotiates down prices for products wholesale with manufacturers in exchange for Walmart's commitment to buy x huge amount of said product. They save, and those savings are passed on to you minus their profit margin. If consumers choose or are tempted to buy more unnecessary products because of those lower prices, are we to fault Walmart for that?

That's the most easily explained and readily identifiable example of how money funnels through Walmart down to the consumer. Walmart also pays a significant amount of state and federal taxes and those taxes are used in all sorts of ways, despite what you hear they don't dodge all taxes imposed upon them.

Edit: Don't take this simple explanation as in anyway a denigration of your intelligence if you already regarded it as an obvious but non-applicable example.
I do regard it as an obvious but non-applicable example, but I wasn't insulted. I just thought your generalized statement was an extremely broad assumption, and not entirely based on any kind of verifiable evidence, so I wanted you to explain what information caused you to reach the conclusion you did.

Puff covered most of the issues I was thinking about when I disagreed with your claim that Wal Mart offered a net gain to the community in economic terms. Unfortunately - like you said earlier - it gets a bit more complicated, and I didn't want to get into a discussion chasing money that execs spend all the way down to tallying the public costs of small communities that offset any benefits they might derive from having a store in their town.

But there is a lot more information available on the subject - from newspaper articles to documentaries - if you care to look into it any further.
Nightshade
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Post by Nightshade »

Massive Quasars wrote:
Nightshade wrote:
Massive Quasars wrote:So much antipathy for this company.
You know why? Because before Sam Walton died, every Wal-Mart you walked in to had signs up saying "This product made in this town in the US, sustaining X number of jobs". Right after he kicked the bucket, all those signs went away and the company started importing shitloads of cheap Chinese crap.
Walmart has done more to uplift dirt farming yokels than any other government program could ever do. I'm sorry that your protectionist idol has fallen from grace.
What? Explain this logic, if you don't mind. And trying to support industry in your own country is NOT protectionist, it's common sense. FFS, I expect more from you.
Grudge
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Post by Grudge »

LOL CAPITALISM
Massive Quasars
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Post by Massive Quasars »

R00k wrote:I do regard it as an obvious but non-applicable example, but I wasn't insulted. I just thought your generalized statement was an extremely broad assumption, and not entirely based on any kind of verifiable evidence, so I wanted you to explain what information caused you to reach the conclusion you did.
It's not as assumptive a position as you would think, even when the evidence is wanting or incomplete. My earlier claims were not unverifiable in principle, truly comprehensive studies are just hard to come by. Complicating real-world issues don't always mesh with highly idealized simplified economic models. Yet they're powerful enough to glean information off of, and a basic grasp of economics tends to lead one to believe more likely than not that Wal-mart has benefitted the US economy more than it's cost it. These prior belief probabilities can then be adjusted accordingly in the face of additional relevant empirical evidence from the specific case in question.
But there is a lot more information available on the subject - from newspaper articles to documentaries - if you care to look into it any further.
Much of it heavily biased one way or another, and usually limited in scope. Studies tend to be better guides, as less opinionated sources of information, not written strictly for public consumption.
Massive Quasars
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Post by Massive Quasars »

Nightshade wrote:What? Explain this logic, if you don't mind. And trying to support industry in your own country is NOT protectionist, it's common sense. FFS, I expect more from you.
Who's common sense is it exactly? The trade off for greater job security at home is reduced competitiveness and that negatively affects the quality of the products produced and the cost of production.

What sort of support are you referring to?
Nightshade
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Post by Nightshade »

I'm thinking in terms of the big picture. The choice of shoveling cheap crap to the lower classes and perpetuating low wages versus sacrificing some degree of profits in order to buy from domestic suppliers and keep local economies going. I'm talking about stopping the flood of US production jobs being outsourced to exploit cheap foreign labor markets.
I see Wal-Mart doing nothing but ensuring they continue to have a customer base, and doing so in a most insidious fashion. If you look at Wal-Mart's sales demographics, they're very similar to that of their workforce for the most part. By paying low wages, and providing next to no benefits but still selling horribly shitty cheap foreign goods, they allow people to feel as though they're experiencing some modicum of success in the form of inexpensive material goods. Said goods don't last very long at all, as they're made as cheaply as possible. So what happens when your Pocket Fisherman breaks? Well, you're poor as shit, so you go to Wal-Mart and buy another one.
Also, they've insinuated themselves into just about every single town and city in the US. People have very limited choices when it comes to buying durable goods, and as such, it's difficult to avoid buying from places like Wal-Mart, especially when you don't make a lot of scratch.
Look, I understand that it's a free market economy, but I think that Wal-Mart's abuses it due to their position. Microsoft's done the same thing. The key difference there being that MS takes care of their employees. I think that this whole discussion inevitably leads to larger issues of misplaced measures of personal success and governmental meddling in the marketplace, but Wal-Mart is out for no one but themselves, just like all big corporations. It doesn't have to be that way.
Sure, trying to get employers to pay better wages is a dicey proposition, but there has to be a decent compromise somewhere.

I guess my original point was that Wal-Mart became hugely successful when they were selling reasonably priced American-made goods. They chose to drop that and start buying Chinese solely for profit purposes, and god only knows how many businesses have folded because of it. And for what? So more executives can get ridiculously inflated compensation packages. That's an argument unto itself, though.
Freakaloin
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Post by Freakaloin »

the high cost of low prices...
a defining attribute of a government is that it has a monopoly on the legitimate exercise of violence...
Massive Quasars
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Post by Massive Quasars »

Nightshade wrote:I'm thinking in terms of the big picture. The choice of shoveling cheap crap to the lower classes and perpetuating low wages versus sacrificing some degree of profits in order to buy from domestic suppliers and keep local economies going.
Consumer demand for quality products at the lowest prices may seem like an entirely self-interested enterprise (and perhaps it is), but regardless of intent it drives improved manufacturing processes. Any compromise for the concern of locals, paying more when cheaper adequately made products would suffice, reduces the incentive to produce better cheaper products.
I'm talking about stopping the flood of US production jobs being outsourced to exploit cheap foreign labor markets.
Outsourcing is slowing on it's own as demand for foreign labour has forced salaries upward. Clearly they've benefitted tremendously overseas, while a fairly significant number of Americans have been more than inconvenienced as they've lost their jobs at home. They of course never joined the ranks of the permanently unemployed, or even underemployed. They found replacement jobs and moved on with their lives, and yes sometimes those were lower paying jobs. Not ideal, but all other concievable practically implementable alternatives are no better.
I see Wal-Mart doing nothing but ensuring they continue to have a customer base, and doing so in a most insidious fashion. If you look at Wal-Mart's sales demographics, they're very similar to that of their workforce for the most part. By paying low wages, and providing next to no benefits but still selling horribly shitty cheap foreign goods, they allow people to feel as though they're experiencing some modicum of success in the form of inexpensive material goods. Said goods don't last very long at all, as they're made as cheaply as possible. So what happens when your Pocket Fisherman breaks? Well, you're poor as shit, so you go to Wal-Mart and buy another one.
The mostly chinese made products sold in Walmart have improved in quality substantially over time, while remaining competitively priced.
Also, they've insinuated themselves into just about every single town and city in the US. People have very limited choices when it comes to buying durable goods, and as such, it's difficult to avoid buying from places like Wal-Mart, especially when you don't make a lot of scratch.
Their choices aren't limited, their incomes are, and sometimes personal disdain for a company must be put aside so one can get the most out of their dollar in terms of goods and services.
Look, I understand that it's a free market economy, but I think that Wal-Mart's abuses it due to their position. Microsoft's done the same thing. The key difference there being that MS takes care of their employees. I think that this whole discussion inevitably leads to larger issues of misplaced measures of personal success and governmental meddling in the marketplace, but Wal-Mart is out for no one but themselves, just like all big corporations. It doesn't have to be that way.
They're out to make money for themselves first and foremost because they've experienced remarkable success operating this way. Appeals to conscience by themselves don't change business practices, the businesses that are swayed by these appeals and do change their operations accordingly, risk putting themselves at a competitive disadvantage. Without some incentives to back up these appeals, they'll never amount to sustainable widespread changes in business practices.
Sure, trying to get employers to pay better wages is a dicey proposition, but there has to be a decent compromise somewhere.
They compromise with what the market demands, not some artificially inflated government mandated wage and benefits package. That's the only decent compromise unfortunately.
I guess my original point was that Wal-Mart became hugely successful when they were selling reasonably priced American-made goods. They chose to drop that and start buying Chinese solely for profit purposes, and god only knows how many businesses have folded because of it. And for what? So more executives can get ridiculously inflated compensation packages. That's an argument unto itself, though.
I couldn't care less about their intent, it's the consequences of their actions that concern me. The upheaval caused by Walmart domestically is what seems to bother people, pushed out of their comfort zones they're forced to adapt and find jobs elsewhere. Jostle enough people that way and you'll create an opposition for yourself.
Massive Quasars
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Post by Massive Quasars »

[url=http://www.marxists.org/][img]http://img442.imageshack.us/img442/3050/avatarmy7.gif[/img][img]http://img506.imageshack.us/img506/1736/leninzbp5.gif[/img][img]http://img506.imageshack.us/img506/1076/modulestalinat6.jpg[/img][img]http://img506.imageshack.us/img506/9239/cheds1.jpg[/img][/url]
Nightshade
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Post by Nightshade »

I'd like to see some of this 'enormous economic evidence' the author references. Seems to me that that's just supporting my point. Wal-Mart is ensuring that it keeps a customer base.

I'd really like to know where you're getting the idea that progressively better goods are coming into Wal-Marts from China. Looks like the same cheap shit to me.

Point to some data that backs up your claim of outsourcing slowing down, I haven't seen it. One of the new, disturbing trends is that R&D centers are now opening up overseas, in addition to manufacturing jobs. Come to Kannapolis, NC and drive past what used to be the Fieldcrest-Cannon Mills complex. Shut down due to job outsourcing, and the whole town is nearly dead. Pretty much the whole of the US garment industry is gone.

Guess what? When you live in East Bumfuck and Wal-Mart is the only "department" store around, your choices ARE limited.

As I said before, Wal-Mart was enormously successful when they were selling American-made goods. They chose to switch to Chinese suppliers solely for monetary reasons, costing American jobs.

Do you know what a living wage is? Do you think that the current minimum wage is adequate for the average American family? Do you think that a wage that is based on the current cost of living is artificially inflated? Like I said, this is a tricky area, as I'm not really in favor of increased government regulation, but businesses are NOT out to ensure that their employees are comfortable. Why do you think that Wal-Mart keeps so many people as part-time employees? So they can work them just under full-time hours and not pay them benefits. They'll tell people that they'll bump them up to full-time, but it hardly ever happens.
hate
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Post by hate »

pbs covered it.

can watch it all on-line.

cunts.



http://www.pbs.org/wgbh/pages/frontline/shows/walmart/
+JuggerNaut+
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Post by +JuggerNaut+ »

hate wrote:pbs covered it.

can watch it all on-line.

cunts.



http://www.pbs.org/wgbh/pages/frontline/shows/walmart/
awesome, thanks :icon14:
hate
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Post by hate »

:icon14:


much love,
hate
Ryoki
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Post by Ryoki »

In my humble opinion, this thread could do with a little hate art right about now.
[size=85][color=#0080BF]io chiamo pinguini![/color][/size]
hate
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Post by hate »

Image
Ryoki
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Post by Ryoki »

:) :icon14:
[size=85][color=#0080BF]io chiamo pinguini![/color][/size]
Massive Quasars
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Post by Massive Quasars »

Nightshade wrote:I'd like to see some of this 'enormous economic evidence' the author references. Seems to me that that's just supporting my point. Wal-Mart is ensuring that it keeps a customer base.
He cites some studies in that article, I'm not going to go out and find them for you. He is a serious economist, and many serious economists agree with him. It may not be the hardest of sciences, but some degree of consensus building is possible here. edit: This isn't strickly a hollow appeal to authority, sometimes one must defer to experts who've done some research and have a better grasp of economics.
I'd really like to know where you're getting the idea that progressively better goods are coming into Wal-Marts from China. Looks like the same cheap shit to me.
I discuss this below.
Point to some data that backs up your claim of outsourcing slowing down, I haven't seen it. One of the new, disturbing trends is that R&D centers are now opening up overseas, in addition to manufacturing jobs. Come to Kannapolis, NC and drive past what used to be the Fieldcrest-Cannon Mills complex. Shut down due to job outsourcing, and the whole town is nearly dead. Pretty much the whole of the US garment industry is gone.
It's been reported in the news, but I'm having a little bit of trouble finding proper studies to cite here after a quick search. I may not have acknowledged all the notable reasons for the slowdown. Among them: a substantial portion of the jobs that could've been outsourced for a clear cost savings have been outsourced, quality and job performance issues have stalled other jobs from being outsourced, and labour costs are increasing overseas.
Guess what? When you live in East Bumfuck and Wal-Mart is the only "department" store around, your choices ARE limited.
Your choices aren't limited even then, when you have the income. The exception being some perishable goods which must be obtained locally.
As I said before, Wal-Mart was enormously successful when they were selling American-made goods. They chose to switch to Chinese suppliers solely for monetary reasons, costing American jobs.
If Chinese manufacturers produced the consistently unacceptably poor quality products that they've been known for in years past, Wal-mart would've dropped them as their suppliers.

Remember, Wal-mart has a 90 day return policy on all products with the exception of certain computers, electronics and software. They'd know when products or lines of products are being returned an inordinate number of times for quality issues. They run a tight ship, so this sort of information would move up to the relevant management heads and they'd bring it up with the manufacturers.
Do you know what a living wage is? Do you think that the current minimum wage is adequate for the average American family? Do you think that a wage that is based on the current cost of living is artificially inflated? Like I said, this is a tricky area, as I'm not really in favor of increased government regulation, but businesses are NOT out to ensure that their employees are comfortable. Why do you think that Wal-Mart keeps so many people as part-time employees? So they can work them just under full-time hours and not pay them benefits. They'll tell people that they'll bump them up to full-time, but it hardly ever happens.
No it's probably not sufficient to properly support a family, as the sole bread winner. I wouldn't be satisfied with the current situation were it to persist indefinitely, but I do get some solace out of the future Wal-mart and other companies are bringing about (don't laugh). In the meantime, perhaps those folks will have to settle for buying goods at the store that employs them.
R00k
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Post by R00k »

Massive Quasars wrote:It's not as assumptive a position as you would think, even when the evidence is wanting or incomplete. My earlier claims were not unverifiable in principle, truly comprehensive studies are just hard to come by. Complicating real-world issues don't always mesh with highly idealized simplified economic models. Yet they're powerful enough to glean information off of, and a basic grasp of economics tends to lead one to believe more likely than not that Wal-mart has benefitted the US economy more than it's cost it. These prior belief probabilities can then be adjusted accordingly in the face of additional relevant empirical evidence from the specific case in question.
As I said before, I'm no expert but I do understand the fundamentals of free market economics. I agree that the models will always lead one to believe that everyone is ultimately benefiting, otherwise they wouldn't be successful. And that is true in most cases. But the point I am making is that this is not the case with Wal Mart, for many different reasons.

In a discussion about whether a company is negatively affecting a community, I believe it is fairly obvious that part of the debate involves the reasons that the free market model is not behaving as expected in this scenario.
So to enter such a discussion assuming that the arguments are moot, because the rules of a free market dictate that they ARE benefiting their customers, employees and community -- well, for all practical purposes, that is an ideological belief in the model; that it can't be manipulated or abused.

So, if we can agree that we all understand the basics of free market economics, it would be much more productive to continue the discussion in terms of the facts of this particular case, because I know it wasn't your intention to patronize me.

Massive Quasars wrote:Much of it heavily biased one way or another, and usually limited in scope. Studies tend to be better guides, as less opinionated sources of information, not written strictly for public consumption.
As you said earlier, comprehensive studies are hard to come by. But even articles and documentaries with bias can be used to examine the situation. Most of them include sources and figures that you can verify yourself, and come to your own conclusion about which parts are accurate and which aren't.

The expert whose article you posted above is a visiting member of the American Enterprise Institute, which is far from an unbiased source itself.

And it does nothing to refute any of the specific points that I, and others, have made in this thread.
HM-PuFFNSTuFF
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Post by HM-PuFFNSTuFF »

i think it should be made very clear here that economics is not a true science. There are many different schools in economics and many are quite biased.
Massive Quasars
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Post by Massive Quasars »

HM-PuFFNSTuFF wrote:i think it should be made very clear here that economics is not a true science. There are many different schools in economics and many are quite biased.
It's not a hard science, what a true science is remains a matter for the philosophers of science (I have ideas of my own). You are correct though, ideological thought and overriding bias is more rampant than I'm comfortable with in economics and among economists. IMO some of it stems from the deontological commitment a portion of economists have to the moral superiority of the free market system or whatever school of thought they happen subscribe to. Problematic to say the least.
HM-PuFFNSTuFF
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Post by HM-PuFFNSTuFF »

to refer to what we have as even close to a free market economy would be a huge mistake. Adam Smith warned against what we have.

It's not a science because although you can gather and calculate numbers, which numbers are gathered and used (or not used) is highly subjective and always there is crucial data left out of the calculations or not considered in the premises. [talking more macroeconomics here]
Massive Quasars
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Post by Massive Quasars »

R00k wrote:As I said before, I'm no expert but I do understand the fundamentals of free market economics. I agree that the models will always lead one to believe that everyone is ultimately benefiting, otherwise they wouldn't be successful. And that is true in most cases. But the point I am making is that this is not the case with Wal Mart, for many different reasons.
In the context of our understanding of economics and the models we've produced based on the broad evidence we've pulled together, you'll understand why there's some burden of proof that lays upon those who'd assert that Wal-mart is not beneficial (to some degree) or downright harmful to communities on the whole (economically). Granted the burden of proof lay neither entirely on the critics or supporters end of this debate, each brings their own evidence to the table.
In a discussion about whether a company is negatively affecting a community, I believe it is fairly obvious that part of the debate involves the reasons that the free market model is not behaving as expected in this scenario.
So to enter such a discussion assuming that the arguments are moot, because the rules of a free market dictate that they ARE benefiting their customers, employees and community -- well, for all practical purposes, that is an ideological belief in the model; that it can't be manipulated or abused.

So, if we can agree that we all understand the basics of free market economics, it would be much more productive to continue the discussion in terms of the facts of this particular case, because I know it wasn't your intention to patronize me.
Yes, maybe it would be better to focus on this specific case but free market economics does impose itself somewhat as I noted above, so let's not leave it out entirely.
As you said earlier, comprehensive studies are hard to come by. But even articles and documentaries with bias can be used to examine the situation. Most of them include sources and figures that you can verify yourself, and come to your own conclusion about which parts are accurate and which aren't.

The expert whose article you posted above is a visiting member of the American Enterprise Institute, which is far from an unbiased source itself.
I have my gripes with the AEI but I can't color all it's contributors with the same broad strokes, they've produced some coherent work at times. Try not to pre-judge this economist on his associations.
And it does nothing to refute any of the specific points that I, and others, have made in this thread.
Perhaps rather than putting forward claims and having me attempt to counter them, you (or NS, Puff, etc.) could provide studies supporting your positions.
Massive Quasars
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Post by Massive Quasars »

HM-PuFFNSTuFF wrote:to refer to what we have as even close to a free market economy would be a huge mistake. Adam Smith warned against what we have.
Correct, I've been trying to qualify my posts to the effect of noting that western economies have relatively free markets or freer markets rather than strictly free markets in the minarchist or anarchist sense of the word.
It's not a science because although you can gather and calculate numbers, which numbers are gathered and used (or not used) is highly subjective and always there is crucial data left out of the calculations or not considered in the premises. [talking more macroeconomics here]
That problem is not limited to economics, and it's not a permanent feature of the science. We're improving in our evidence gathering capabilities, both in the amount and increasingly representative nature of that evidence.
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