> But the main reason why that cost of living is ridiculously cheaper is because human labor is so much less expensive.
That's a really bizarre take that is obviously false. The disenfranchised migrant laborer or prison slave producing your American groceries is earning approximately as much as a Chinese peasant, i.e. basically nothing.
There is however a vast difference in what the organization looks like above the laborer. In America: vast profits and consolidation. By contrast, China has more small businesses (think street food) and large enterprises are SOE or otherwise constrained by the political system.
As far as I know, this is not the case for migrant laborers at least, who often get paid more than federal minimum wage (because otherwise they can't get enough people even if they are undocumented immigrants).
In any case, if those were the main two reasons for the disparity, then we wouldn't see the same for other first world countries which have neither cheap migrant labor nor prison slaves. Yet cost of living is still significantly more expensive in, say, Finland than it is in China.
That's a really bizarre take that is obviously false. The disenfranchised migrant laborer or prison slave producing your American groceries is earning approximately as much as a Chinese peasant, i.e. basically nothing.
There is however a vast difference in what the organization looks like above the laborer. In America: vast profits and consolidation. By contrast, China has more small businesses (think street food) and large enterprises are SOE or otherwise constrained by the political system.