In Praise Of Cheap Labour By Krugman Summary

Would one rather be employed and reap the personal benefits, or would one perhaps prefer to find alternative sources of lower income if it meant a better life for some of his fellow country-men? This question is one of the core concepts presented in the arguments both for and against the use of cheap labour in developing countries, respectively. Both "In Praise of Cheap Labor" by Paul Krugman, and "Why Economists Are Wrong about Sweatshops and the Antisweatshop Movement" authored by John Miller, delve into the pros's and con's of what many social rights activists are calling "deplorable and dangerous conditions" (p.230. Charlton) found in cheap labour based countries. This is not to say, though, that sweatshops come without their benefits, and in fact, Krugman argues that the advantages of cheap labour markets …show more content…
In my personal opinion, I agree that sweatshops and cheap labour are necessary in today's society and do, in numerous ways, benefit the poor. Krugman's ideas were well structured and presented in an extremely thorough and convincing argument. Every subject delineated in his piece was relevant and made a strong case against the complete reform of inexpensive labour. The strongest of these points was that employment, is employment, and in many cases these factories are people's only options to move from a life on the streets. The importance of this cannot be overlooked. Instead of people competing for sparse jobs in unstable industries, the economy is able to grow and more individuals are able to be employed in various ways. Moreover, the strain on certain sectors of the economy is immensly reduced as the country's income diversifies. Not only this, but the corporations in these countries are often what provide more social help through economic stimulation and philanthropic work, than the governments of these states ever