Monday 28 June 2010

No 131: The end of cheap Chinese labour?

I HAVE just found this really interesting slide slow about this topic:


Click here to view it.

Each of the photos illustrates a powerful argument about why this might be happening. The arguments are:

1. The doubling of Foxconn workers' salaries after the suicides in factories making Apple products.
2. A recent article in the "People's Daily" (a Communist Party newspaper) calling for a revolt against the rich by poor workers.
3. Strike at a Hylandai factory in Beijing and subsequent 25% pay rises.
4. Honda workers going on strike even though they were offered 24-32% more pay.
5. The Beijing munipcal government raising its minimum wage by 20%.
6. The "one-child policy" leading to a shortage of labour supply.
7. A government half trillion dollar rural development programme leading to labour shortages in citiies.
8. New laws in 2008 for workers' rights.
9. Low wages being less benificial to China's economy than in the past.

On the last point, it has often been commented that wages inside China have been controlled in order to keep inflation down, while growth came from exports rather than domestic consumption. Perhaps the fall in world demand for Chinese products since the Credit Crunch may be changing this......

What do you think about it?

No 130: What a relief!

SEARCHING for an image to show "relief" I found this quite remarkable product:


Well done to all of you for reaching the end of your A level Economics course, whether A2 or AS.

The huge amount of intelligent work I have seen this year from my students has been greatly impressive, and I hope you feel you have gained by being members of my classes.

I will be continuing this blog over the holidays and I hope you will continue to read it. I will try and make the tone a bit more fun though - no exams to worry about for a while!

If you want to read more about the amazing effects of the product above, go here...

Thursday 3 June 2010

No 127: Final Figures for Exam on Monday

YOU need to learn these key stats for the Module 2 exam on Monday:


  • CPI INFLATION: 3.7% (APRIL)  Up by 0.3%
  • UNEMPLOYMENT 8% (MARCH) Up by 0.2%
  • GDP GROWTH 0.3% (Q1 2010) Down by 0.1%
  • TRADE BALANCE -£3.7 BILLION (MARCH) Up by £1.6billion 

No 126: This morning's European Union video and data

HERE is the amusing video about an unamusing topic we watched in A2 this morning:




And here is the link to the BBC data graphics about the EU economies:

http://news.bbc.co.uk/1/hi/business/10150007.stm