| As the world scrambles to lock in resources for | | | | sense, give someone a good job that let's them |
| its people's future and security can we afford to | | | | have a disposable income and they will put it to |
| ignore the developing world and its economies, | | | | good use. |
| most namely China? | | | | The same things can be said of India because |
| In an economic climate where raw material prices | | | | they are also experiencing a great boom in their |
| are skyrocketing, many ignore China's rapid | | | | economy. India too has a population of over 1 |
| economic development which enables them to | | | | billion people, which it must sustain and provide for. |
| soak up all the natural resources it can get which | | | | However the dynamics of their economy are |
| contributes to an increase in price. | | | | different which we will discuss further another |
| This is for a few reasons that we must take into | | | | time. While manufacturing and other blue collar |
| account. | | | | jobs are outsourced to China, many white collar |
| First China has over 1 billion people living in their | | | | jobs are outsourced to India. |
| country many whom are working to produce | | | | In short China makes the goods, India provides |
| goods which we then buy back from them. In | | | | the human resources for office, information |
| order for them to make those goods they buy | | | | technology, call centers, etc and we are the |
| the material from us and sell it back to us. | | | | consumers feeding both their economic machines, |
| Amazingly they can purchase the material, make | | | | including our own. |
| the product, and sell it back to us for a profit. | | | | We accomplish this as we buy products from |
| As a matter of fact right now the only reason | | | | China, American companies profit because of the |
| many companies here make any money at all is | | | | low cost of manufacturing, and we purchase |
| because they can purchase their items from | | | | these goods because of their low cost. |
| China and mark it up for a profit. | | | | Therefore the more we purchase, the further we |
| One may note that a sizable number of Ebay | | | | contribute to all three of our economies, which |
| sellers earn part or all of their income by | | | | makes raw materials increase in price and leads |
| purchasing their items from China direct from | | | | us to the conclusion that we cannot afford to |
| wholesalers, suppliers, and manufacturers. | | | | ignore China anymore and its effects on a global |
| Next we must consider that China has a surging | | | | scale. Nor must we be so afraid that we hurt our |
| economy, they now have an expanding middle | | | | economy by buying items that are made in china. |
| class. Their society is changing as such that the | | | | I say this because buying from China can have a |
| farmer who used to wash his clothes by hand, | | | | positive effect on our economy which we will |
| now has a job in a factory earning what he/she | | | | discuss in another upcoming article which steps |
| would consider a good wage. This enables the | | | | back and looks at the global economy as well as |
| worker to live a middle class lifestyle and have a | | | | our own. |
| washer, dryer, TV set etc. It only makes perfect | | | | |
