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Do Sweatshops Help or Hurt the Economy - Research Paper Example


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Do Sweatshops Help or Hurt the Economy

 Sweatshops help their country’s economy. The problem is in the perception of multinational corporates (Kristoff). When companies outsource only to maximize profits, brings in the problem. There are very loose regulations in the third world countries so rights of employees get easily abused. Firms (good at outsourcing) have minimal regards for working conditions (Kristoff). They maximize profits by making people work overtime. They also pay those low wages to cut cost. So the outsourcing is not the issue but regulation is.Sweatshops are not bad by themselves (Book Rags, Student's Essay on the Good and Bad of Sweat Shops). They help the local people and help in uplifting the economy of the poor country. And play a major part in contributing to GDP. Global outsourcing situation is improving (Wikipedia, Nike Sweat Shops). Companies like Nike are now more careful in following regulations. And this helps in increasing wages. Proper setting and application of laws can bring the end to all the criticism of outsourcing. People in Vietnam and Philippines are now earning better lively hood (Book Rags, Student's Essay on the Good and Bad of Sweat Shops). Even if they are paid in cents/hour still they cannot get even that kind of wages working for their local businesses. Besides, employed people are less inclined towards crimes. This is another example of proper regulation of sweatshops. After Nike was criticized for exploiting the poor, it had to change its working conditions (Wikipedia,

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Nike Sweat Shops). 
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This research paper focuses on the debate about sweatshops is still in progress. A sweatshop is a negative term for a working environment; a workplace where working conditions are unacceptable or dangerous for any human by any standards. But are they good or bad for the Economy?…
Do Sweatshops Help or Hurt the Economy
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