My very wise friend Dom pointed out something to me recently. "Lorne," he said, "the genius of the corporate world has been to get us addicted to cheap stuff from China, even though that cheap stuff comes at a very high cost: the loss of good-paying manufacturing jobs, as well as the spread of retail positions (think Walmart) that refuse to pay a living wage."
On some level, I suspect we are aware of this truth, but choose not to ponder it as our search for bargains encompasses an increasingly wide swath. In her column today, Heather Mallick confronts the issue head-on in a meditation prompted by Wall Street's reaction to Apple Tim Cook's recent announcement about bringing a small amount of Apple jobs back from China. What should have been a cause for celebration in the depressed American job market turned out to be anything but:
Wall Street’s instant response was to drop the stock several percentage points. Apple is the biggest company in U.S. history. But despite its might and inventiveness, the market judged it solely on its merits as a behemoth built mainly on cheap Chinese labour.
But it seems that it is not just the stock market that takes a dim view of such a move:
Ten years ago I paid $250 for a coffeemaker. Today I pay $80. Would I pay even $60 more to restore Canadian jobs?
Yes, I say. But am I being truthful? I buy books from Amazon.ca because they offer me 37- to 50-per-cent discounts and free shipping. But I could buy them locally at full price if I were of a mind. I am not.
So yes, we would like to see a return to good-paying jobs, but not if we have to pay more for our goods as a result. While I realize this may be an over-generalization, Mallick really does speak an unpleasant truth about our contradictory natures.
On a separate topic, Dow Marmur writes about the irony of how our best impulses, our philanthropic ones, may have undesirable and unintended consequences. Echoing a concern I recently voiced here, Marmur opines that private efforts to relieve hunger in fact make it easier for governments to ignore the problem of growing and intractable poverty.
He writes about Mazon, a Jewish group whose aim is to feed those in need irrespective of background and affiliation. So far it has allocated more than $7 million to food banks and related projects across Canada.
Its founding chairman, Rabbi Arthur Bielfeld, recently
... challenged the government to render it and all organizations of its kind obsolete. In reality, however, the need continues to increase multifold. A quarter of a century ago there were 94 food banks in Canada; today there are more than 630.
Citing recent data, Rabbi Bielfeld said that some 900,000 Canadians use food banks every month. Last year more than 150 million pounds of food were distributed to families in need; 38 per cent of recipients were children. This year many will have to make do with less because of growing demand and diminishing resources.
Marmur observes the irony of it and many other organizations committed to the reduction of poverty:
... as essential as it is to help those in need, ironically, the relative success of such efforts helps governments to get off the hook. At times it even seems that charities find themselves inadvertently colluding with the inaction of politicians.
And so we have it. Two very good writers making some very relevant observations about the contradictions that define our humanity. On the one hand we want to be oblivious to the economic and social consequences of our propensity for bargain-hunting; on the other hand, even when we allow our better angels to come to the fore, the results are anything but an unalloyed good.
I guess, as always, the answer to this conundrum ultimately does lie in our own hands.
