Chapter 11 Homework
Question 1: Globalization has a profound impact on domestic employment issues due to the fact that companies can find less expensive labor in other countries around the world. No matter what item you are trying to produce, there is most likely another country in the world that can produce that item at a cheaper price. People do not want to pay high prices for items, thus they opt to purchase less expensive, foreign made products. I believe that enforceable labor standards should be added to free trade agreements. The standards should be simply humane working conditions and enforced by the local law enforcement of the countries affected.
Question 2: I believe it is consistent to have enforceable property rights but not labor standards for one simply reason; countries that provide cheap labor are allowed to do so in order to keep labor prices down and ultimately product prices stay lower. I do not agree with this practice, but it seems that people turn a blind eye when it comes to how products are made, as long as the prices remain inexpensive.
Question 3: I don’t believe transnational collective bargaining would be a good idea, simply because all countries are not the same. The values of one country may not be the same as another. If there were to be one set of rules for the world, there wouldn’t be a world, just a mass of the same people speaking different languages. Besides, who would determine what is right and wrong and why would that decision be the right one?
Question 4: Globalization affects everyone in a unionized workplace by undercutting the labor needed to provide goods and services. If a company can go to a country that has cheap labor rates, they can produce their products at a lower price, thus get more people to purchase and ultimately gain larger profits. This keeps American workers out of work, simply because they demand fair wages for their work, but companies now have...
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