Saturday, November 24, 2012

Peter Suderman's Twitter Tutorial Shows How Walmart Helps Nation's Poor

It's really very straightforward. Walmart's low prices make more goods available to more people, especially people at the lower income quintile. I used to talk a lot about Walmart during my class discussions on the economy. One thing Suderman doesn't mention is that Walmart's economies of scale create dramatic ripple effects throughout the entire economy. There's a tremendous benefit from lower prices for families across the board, as the company's market-setting impact improves the well-being of individuals and families at all income levels. Basically, Walmart helps keep prices low economy-wide. Suppliers, wholesalers, shippers and other interdependent businesses must keep costs down to stay competitive, or Walmart shifts its purchasing and contracting relations to more efficient concerns. Inflation is reduced nationally. And national well-being increases. Left-wing attacks on Walmart are not designed to help workers, who will end up losing their higher wages to big labor bosses in any case, when they pony up their mandatory union dues. It's power the big bosses want, not social improvements for society's poor.

See Twitchy, "Reason magazine’s Peter Suderman destroys the Left’s irrational Walmart criticism."

And at The Blaze, "Reason Senior Editor Dismantles the Left's Chief Anti-Walmart Talking Points."