# GM-outsourcing & Davis vs. Reynolds **URL:** \ **Category:** NYSpeed Off Topic\ **Created:** [September 21, 2006, 8:32am UTC](https://forums.speedlife.net/t/gm-outsourcing-davis-vs-reynolds/17799 "2006-09-21T08:32:49Z")\ **Posts on this page:** 1\ **Showing post:** 44
**Author:** ![rskrause](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/rskrause/32/7367_2.png) [@rskrause](https://forums.speedlife.net/u/rskrause)\ **Post date:** [September 23, 2006, 2:57pm UTC](https://forums.speedlife.net/t/gm-outsourcing-davis-vs-reynolds/17799/44 "2006-09-23T14:57:09Z")
Situation A: residents of hypothetical country have total net income of $1,000,000 and 10 wage earners each earning $100,000. Average income is $100,000 and life is good. Situation B: by instituting “free trade” and globalization, net income increases to $2,000,000. One guy is now making $1.5 million and the other nine $55,555. The average income is now $200,000. To an economist, “B” is much better. For the people, one is doing great and the other nine have had their incomes cut nearly in half and B sucks. That’s the fallacy of free trade/globalization. GNP and net incomes go up but more and more people have trouble making a living. I know it makes me sound like some kind of socialist, which I am definitely not. However, it is not good for a peaceful and pleasant social order when there are huge numbers of “have-nots” and a few “haves”. Political instability is a consequence, among other nasty things. What to do? Beats me. About all I can do personally is to buy American when I can and try to urge others to do the same. That said, I own a fair amount of stock in the emerging economies. --- _[View the full topic](https://forums.speedlife.net/t/gm-outsourcing-davis-vs-reynolds/17799)._