Wrong. AGAIN. In manufacturing, American productivity outsizes China’s by a factor of 9 to 1. (cite: http://www.msnbc.msn.com/id/20572828/ ) Bringing the work back here would mean a 5x increase in labor price and a 9 to 1 drop in work hours needed to produce the goods. The cost of iPods (originally $300) would be multiplied by 5/9, depending on how well worker productivity interacts with the machinery.
I’m amazed that you don’t understand the basic concept of productivity and its relationship with wages when calculating the price of goods. Oh no, wait, I’m not surprised.
Let’s start with the simple stuff.
Factory A: Johnny is working for $5 an hour and he produces 9 iPods an hour.
Factory B: Richard is working for $1 an hour and he produces 1 iPod an hour.
Which factory produces iPods at the cheapest cost?
Canadians are so productive we can produce things a 5/90th what China does, we’re that good! We’re also very polite and rather humble. I’m surprised you didn’t know that, what with how much you know about productivity of various countries.