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Walmart's Impact On The Local Economy Essay

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Walmart can change local economies in many ways from store losses to tax payers. One Walmart store can decrease the community’s economic output over 20 years by an estimated $13 million. There will be fewer small businesses in the area .Walmart affects the economies also by low pay to employees. Walmart doesn’t pay its workers well and taxpayers re picking up the tab, Because if Walmart saves money by not paying workers a living wage, those workers turn to your government aid programs. “Wal-mart store openings kill three local jobs for every two they create by reducing retail employment by an average of 2.7% in every country they enter.” Wal-Mart’s entry into a new market does not increase overall retail activity or employment opportunities. Research from Chicago shoes retail employment did not increase in …show more content…

After a single Walmart opened in Chicago in 2006, eighty-two of the 306 small businesses in the surrounding neighborhood had gone out of business by March 2008 Median louse hold income declined by 1.85% nationally and 4.1% in New York City in 2009. This decline will be exacerbated by low paying Walmart jobs. Wal-Mart’s average annual pay of $20,774 is below the federal poverty level for a family of four. A Wal-mart spokesperson publicly acknowledged in2004 that, “more than two thirds of our people… are not trying to support a family. That’s who our jobs are designed for.” Wal-mart has thousands of associates who qualify for Medicaid and other publicity subsided care, leaving taxpayers to foot the bill. For instance in Ohio Walmart has more associates and associate dependents on medicated than any other employer, costing taxpayers $44.8 million in 2009. “According to estimates, Wal-mart likely avoided paying $245 million in taxes 2008 by paying rent to itself and deducting that rent from its taxable income.” Wal-mart has admitted a failure to pay $2.95 billion in taxes for fiscal year

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