1. Claim that FDI in Retail will increase jobs.
1a. If that is true, then more people will have to take a cut of the Retail Pie. So, is that good for everyone in retail business? Won't they all have to take a cut in pay for the same 'consumption levels'?
1b. The presence of foreign brands will then have to increase the consumption - that is the only way to add jobs and also keep salary levels of retail business (if not increase the prosperity of those in this business). How will the presence of FDI suddenly increase consumption? Will people magically have more money to spend?
2. So why are they not talking about loss of many other jobs?
2a. More jobs have to be lost in order for the same consumption to support the new jobs, and also the profits that the foreigners are coming in, to take out. Isn't that true?
2b. So, if foreigners pump in money, they need to take out profits, that is over and above what is paid to the new jobs and people in retail business. So, if consumption is same wouldn't it reduce the income levels & also cause job losses?
3. FDI will increase efficiency and reduce costs to consumers.
3a. So, if cost to consumer is reduced, then that means less total money for the jobs, isn't it? Same consumption level means more loss of jobs & lower incomes.
3b. If cost is reduced and more jobs are made, then consumption has to be at phenomenal levels to really make it true - simple maths, isn't it?
In Summary:We the consumers in our infinite wisdom and selfishness should sacrifice the many jobs in retail, increase our spending much more and kill many jobs, so that we can get capital as well as send more profits to a foreign country.
NOTE: This has not taken into consideration other complicated points like taking our resources, making things with our people, causing environmental problems here (as we are at fault to not enforce these things) and take a profit out of our own spending!
1a. If that is true, then more people will have to take a cut of the Retail Pie. So, is that good for everyone in retail business? Won't they all have to take a cut in pay for the same 'consumption levels'?
1b. The presence of foreign brands will then have to increase the consumption - that is the only way to add jobs and also keep salary levels of retail business (if not increase the prosperity of those in this business). How will the presence of FDI suddenly increase consumption? Will people magically have more money to spend?
2. So why are they not talking about loss of many other jobs?
2a. More jobs have to be lost in order for the same consumption to support the new jobs, and also the profits that the foreigners are coming in, to take out. Isn't that true?
2b. So, if foreigners pump in money, they need to take out profits, that is over and above what is paid to the new jobs and people in retail business. So, if consumption is same wouldn't it reduce the income levels & also cause job losses?
3. FDI will increase efficiency and reduce costs to consumers.
3a. So, if cost to consumer is reduced, then that means less total money for the jobs, isn't it? Same consumption level means more loss of jobs & lower incomes.
3b. If cost is reduced and more jobs are made, then consumption has to be at phenomenal levels to really make it true - simple maths, isn't it?
In Summary:We the consumers in our infinite wisdom and selfishness should sacrifice the many jobs in retail, increase our spending much more and kill many jobs, so that we can get capital as well as send more profits to a foreign country.
NOTE: This has not taken into consideration other complicated points like taking our resources, making things with our people, causing environmental problems here (as we are at fault to not enforce these things) and take a profit out of our own spending!
