Are You Walmart Rich? - Explaining the Poverty Trap with China

As the 'Trade War' continues, with President Trump raising tariffs by another 25%, China has subsequently been brought back to the table after re-negging on negotiations.

On this note, I ask you this question: "Are you Wal-Mart rich?" 

I saw a man this morning in a 'Stewarts shop' here in Schenectady.

Being a writer and a man of observation, I noticed that he was wearing brand new work boots, new jeans, and a new fleece jacket.

Not high-quality brands, mind you, but new!

This observation brought me back to a wonderful book I read last year titled, RE-MADE IN THE USA, by Todd Lipscomb.

I thought to myself, ‘This man is Wal-Mart Rich…’

Let me assure you that this is not a snobbish point of view.

I, too, have been Wal-Mart rich.


By looking at the price tag instead of the quality.

By looking at where it was made.

There have been points in my life where I, too, had fallen into the Poverty Trap of China

America has been selling out to China for decades.

Now, we have President Donald J. Trump, who says ‘No more!’ 

For years previous to President Trump, more taxes and more regulation came down the Federal pipeline, which cut both the profit margin and the incentive to be 'Made in America.’

Companies large and small either raised their prices above what the market could bear, moved out of the country, or sold out entirely.

Schenectady's own General Electric is a prime example!

We were told those jobs were never coming back.

This was devastating to the economy.

Unemployment grew, and quality American-made products declined.

As such, the people now had less money to spend on quality products, and were literally forced into a poverty trap!

Wal-Mart seized the opportunity, and the retail giant began to surge again.

With unemployment hovering at record levels, the retailer hired more part-time workers at low wages.

This was to insure that they could have labor coverage without the expense of benefit packages, all while creating a new customer base. 

Wal-Mart is the largest single importer from China, henceforth lowering market value, and encouraging its competitors to do the same. 

Let's say consumer 'Joe', living week-to-week (or maybe he’s even behind a week!) needs a pair of work boots…

On a limited budget, he goes to Wal-Mart for a good deal.

He chooses a pair of boots for $50.00 that were made in a communist country with neither labor nor environmental laws.

With these means of mass production, as well as currency manipulation, China makes cheap boots for the giant retailer at the cost of a bad cup of coffee - All while trashing the environment and violating human rights!

If 'Joe' is lucky, those boots might last him anywhere from three-to-six months…

Joe either can't afford to buy American, or he can’t justify the cost of purchasing the high-quality, American-made boots for $150.00 that would actually last him two-or-more years. 

Shortly thereafter, Joe returns to the retail giant to buy 'affordable' boots once again!

He has entered the 'China Poverty Trap'.  

The tariffs expose both the weaknesses and the unethical advantages of China’s economy.

This also comes on the heels of 'Making America Great Again,' by bringing back both American jobs and domestic manufacturing. 

There is no reason whatsoever to hand over our economy and our country to Communist China.

We are China’s number one consumer, buying over half a trillion dollars of throwaway product from them in the last year alone!

They don't buy much from us because of their government’s regulation…

But they need us!

We are their economy. 

It is way past time to level the playing field. 

America possesses a diverse and empowered workforce - One with generations of work ethic, and a profit motive to be the best it can be. 

America has more entrepreneurial opportunities than anywhere in the world because of free market capitalism.

Supply will always follow demand, and if China can make it, America can make it better!

The United States is the cleanest industrial country in the world, and if we reduce the shipping and transport from the other side of the world, we can improve on that even further.


By buying 'Made in America' products!

Quality product, quality jobs, and quality wages go hand-in-hand. 

Break free from the China Poverty Trap, and support America!

Support our people, and the Great American Work Ethic

Stand Up, America!
Jeff Moore