Moral Dilemmas and Factual Claims: Some Comments on Paul Krugman's Defense of Cheap Labor

In 1998, Paul Krugman published a collection of short polemical essays on economic themes under the title The Accidental Theorist And Other Dispatches from the Dismal Science . Among those essays was one entitled "In Praise of Cheap Labor: Bad Jobs at Bad Wages Are Better than No Jobs at All". This brief article is an extended comment on that piece, which happened to contain factual claims central to the empirical research program of one of us, and ethical and political issues of concern to us both. Our view is that in his essay on cheap labor, (as indeed in many of the others in the collection), Krugman makes some pungent and telling criticisms of other writers on economic matters and—in this particular case—of some analytically weak and ethically dubious claims which are frequently espoused by contemporary anti-capitalist and anti-globalization radicals conventionally regarded as being on the political left. But at the same time—or so we shall argue—his own polemic is, in important ways, undermined by the narrowness of the theoretical framework within which it is constructed, and most especially, by Krugman's almost total lack of an historical perspective in which to see either contemporary debates over global capitalism or the ethical issues at their heart.