Retail is in the news because we’ve moved into the herd psychology/madness of the Christmas season and, naturally, the healthcare workers (???!!!) union is using this time of media attention to picket Walmart stores to demand that the workers be unionized. Just as unexpectedly, the media goes right along with this story line and gives the union free coverage, all in favor of the supposed rights of down trodden workers who, for some obscure reason, are too stupid to understand the benefits union membership alongside bedpan-emptyers and floor moppers could bring them.
1. Walmart’s customer base is heavily concentrated in the bottom income quintile, which spends heavily on food.
2.The bottom income quintile spends about 25 percent of income on food compared to just 3.5 percent for the top quintile.
3.So the benefits of Walmart’s substantially lower prices to the lowest earning cohort are huge, especially on food.
4. Obama adviser Jason Furman has estimated the welfare boost of Walmart’s low food prices alone is about $50b a year.
5.Walmart’s wages are about average for retail. Not amazing. But not the worst either.
6. Paying Walmart’s workers more would mean the money has to come from somewhere. But where?
7. Erase the Walmart CEO’s entire salary, and you can raise average hourly wages by just a penny or so.
9. Raise prices to pay for increased wages and you cut into the store’s huge low-price benefits for the poor. It’s regressive. [like all modern day liberal policies – Ed]
17. As for Walmart workers getting health benefits thru Medicaid, that’s due in part to a policy liberals argued for: wapo.st/axXXNE
UPDATE: What I said, but expressed in transitive logic: Liberals hate Walmart>> Walmart helps the poor=Liberals hate the poor.