Labour displacement due to import competition


  • Unemployment due to lower cost production in other countries
  • Competing labour markets

Claim

  1. Huge numbers of jobs are being lost because local domestic industries are unable to compete with competition from low-cost countries of the world.

Counter claim

  1. Europe seems not to notice that its unemployment problems have more to do with its overvalued currencies, hugely wasteful farm subsidies, and social systems that discourage mobility and flexibility of labour, than with Asian sweatshop labour destroying European industries.


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