[lbo-talk] Roach: Productivity in the New Economy

Doug Henwood dhenwood at panix.com
Sun Nov 30 15:55:39 PST 2003


michael wrote:


>Suppose Nike pays some you girls $3 to make a pair of shoes and sells them for
>$150, what does that do to productivity? Or course, if they hide proits for
>tax purposes and pretend that the imported shoes were worth $125, then
>outsourcing will not improve productivity.

But there are also expensive inputs for distribution and marketing. Nike's profits are not extraordinarily high.

Doug



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