When you buy an iPhone, where does the money go?

Where people expect the money goes

Where people expect the money goes

Where the money actually goes

Where the money actually goes

I find this pretty surprising myself.  For the 5 minute explanation from Robert Reich, see this video on Upworthy.com. It’s funny that he talks about the economy and the decrease of unions being linked to income inequality.  Today I saw another video explanation, also by Robert Reich, on the rising gap in the U.S. economy, talking about the number of unions rising after WWI.  It’s part of a series of videos called Inequality for All.  Another in the series talks to some people working at an energy plant, and really brings home the question about corporate profits and what is the value of the work people do.  Productivity has been increasing and stress is so high.  I support the recent discussion to raise minimum wage.  It’s not a simple answer, and it may not fix the problems as John Green explains here.   Personally, I can’t believe Walmart can use the catch phrase “Save Money, Live Better” in their ads, as it turns out, we pay $6,000 or more per Walmart Employees due to their low wages.  The government is busy chasing their own tail in elections, they will never fix the problem, because corporations have no incentive.  But someone out there has the answer, and collectively we have the ability to make things better.  That’s why I have increased my spending at stores offering a decent wage and benefits to their employees.  If it means I have to eat out less to save money, that is fine.  If it means I buy more second hand, no problem.  We have more than any other country in the world, we will not suffer. Personally I love the work Mike Rowe (former Dirty Jobs TV show host) is doing.  His promotion of skilled labor is idea for getting people into decent jobs, and improving the situation in the US.  It’s time we stop doing crappy work because we’re being treated like crap.  Personally, when I go on a construction site, I want to see the work being done well.  Check out his website Profoundly Disconnected.

One last tidbit, how does this relate to health care costs in the US.  Yep, saw a John Green video on that today too.  Because we don’t have bargaining power with the providers of medical devices and medications… sounds a lot like the problem of not having bargaining power for salaries due to the lack of unions.  I wonder…