That's not even going into their de facto slavery with foreign construction workers, environmental damage, and sexism.
In San Francisco if someone walks into your shop and steals less than $950 worth of goods there's pretty much nothing you can do about it; is that rule of law?
I'd argue that I'd rather let someone steal than let them rot in jail for such a long time, for such a low monetary value, be it from debt or from theft. I understand you may disagree, that's why we do politics.
Additionally, which country has the best "rule of law", comparatively? Talking in absolutes in that regard is moot in my opinion.
There is a middle ground between these two extremes. Also, if you want to compare costs, you have to factor in the deterrence effect of the latter, which will translate to much less lost in theft, and in additional store security.