Problem

Differential labour costs among countries

Other Names:
Negative impact of cross-border trade
Unfair international salary competition
Nature:

With increasing economic interrelationships between countries, conditions of workers in one country are negatively affected by conditions in another, and also by their own consumption of imported goods.

Claim:

A major reason that, say, women workers in the garment and textile plants in some industrialized countries are paid just barely above the minimum award wage is that tens of thousands of Asian young women and children work long hours in such plants at below subsistence wages, producing export goods that flood the market with "cheap" goods in the same industrialized countries.

 

Problem Type:
F: Fuzzy exceptional problems
Date of last update
11.11.2017 – 21:04 CET