"From: "Victoria Heller" <[EMAIL PROTECTED]>
To: "Minneapolis Forum" <[EMAIL PROTECTED]>
Date: Mon, 24 Nov 2003 15:52:09 -0600
Subject: [Mpls] Wal-Mart in Minneapolis

I've read that Wal-Mart saves American consumers $10 Billion each year.
Wal-Mart has
improved the standard of living of millions of people around the world - =
not to mention the employees who became millionaires by holding its stock.

Low prices good - high prices bad.

Victoria Heller
North Oaks"

Response:

Cost internalization good.  Cost externalization bad.

If Wal-Mart prices are low because Sam Walmart was a genius in methods of
product inventory and distribution, good.
If Wal-Mart prices are low because goods are produced by exploited workers,
bad.
If Wal-Mart prices are low because goods are produced in countries without
environmental protections, bad.
If Wal-Mart prices are low because Wal-Mart employees are not paid a living
wage, bad.
If Wal-Mart prices are low because the corporation does not need to
compensate for the destruction of local economies, bad.
If Wal-Mart prices are low because the corporation does not need to protect
against local water resource impairments from the 50 acres of hard surface
it puts on the landscape, bad.
If Wal-Mart prices are low because profoundly subsidized fuel prices allow
consumer goods to be shipped economically across the nation and around the
world, bad.
If Wal-Mart prices are low because producers of goods pay Wal-Mart to allow
them to put tracking devices in their products without telling customers,
bad.

Market economics 101: social welfare is optimized by the market only when
all costs are internalized in prices.

If this means the poor need to pay more for products, the answer is not to
make stuff artificially cheaper for everyone by pushing costs off on
exploited workers, communities, and those who breathe the air and drink the
water near factories; it is to work toward a society where there is not such
a vast maldistribution of wealth (and, no, there is no strong correlation
between the accumulation of wealth and the doing of worthwhile things).
Unfortunately, for the past several decades our leaders have been pushing
non-stop in the opposite direction.

Chuck Holtman
Prospect Park
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