(Transfer) Wall Street Journal: We think they sweat The Wall Street Journal: We think, they sweat ? The current situation of Sino-US trade surplus of China, the U.S. deficit, and this figure is particularly great. On the surface, China bought a lot of products to the United States, out of the U.S. industrial unemployment, trade unions forced the government today, the entire quota, and tomorrow the whole anti-dumping, in order to reduce China&#39;s export capacity has also requested China to let its yuan appreciate all day. The result is the United States is full of Chinese products, China&#39;s foreign exchange reserves rising to become the world&#39;s factory. Gives the impression, as China gradually attack in the United States, the United States could only parry but not defenseless. But trade unions is not the U.S. ruling class. Why the growing opposition within the United States, the U.S. industrial transfer but more and more serious, is it the U.S. government can not control the What? In fact, the truth is that the current situation of Sino-US trade of great benefit to the United States, it is the consistent stand of the Wall Street Journal, it can be said that the views of the real rulers of the United States. The newspaper has an article today, &quot;We Think, They Sweat&quot;, It is plain, however, is simply the naked imperialism of speech, I can not help but think of TV series &quot;Towards the Republic&quot; Li&#39;s remark lines: &quot;This like the wolf say Well! &quot; Article not long, the following main points I compiled about, the original attached to the back. - - First mention of Apple&#39;s current flagship product, mp3 player, iPod. Now the U.S. market, this product is assembled, the California Apple design. This thing is nothing but Apple&#39;s software, disk, and a very low value of 12 U.S. dollars in the chip, the chip design of a company by the Silicon Valley of Taiwan production. - - Almost $ 265 price of the iPod, which is how the distribution of net profits then? Responsible for assembling the company&#39;s profit in China only about 4 U.S. dollars to design the chip is 5 dollars for corporate profits, Apple&#39;s profit: 65 U.S. dollars. - - Because the iPod&#39;s success, over the past year, Apple&#39;s stock price rose to $ 64 from $ 21. - - Because China&#39;s &quot;imported&quot; iPod, China-US trade deficit the United States increased by 1.5 billion U.S. dollars, which caused a deficit of 1.5 billion increase in wealth in the United States is 160 million. The writer says, I am willing to be such a deficit every day, of course, that Apple stock holders are willing. - - In this case let the yuan appreciate what a falling dollar mean? If the depreciation of the dollar, foreigners buying U.S. Pentium chip, iPod, windows xp and oracle database when access to a &quot;fundamental unnecessary&quot; cheap. Simply do not need these things sold to fraudsters, because since they are running their own economy in order not to buy is out. They have to buy them anyway to run their economies (well, maybe not iPods) so why discount? - - The writer says the U.S. is willing to remain strong, the United States to do high-end. Allow foreigners to do the manual labor income, the United States to do the work of the high-tech intellectual property rights, drugs, Hollywood movies, and the band U2. - - China and Japan&#39;s foreign currency reserves are mostly loaned to United States again, to buy U.S. government bonds, which author is welcome. On that foreigners have about 43% of all U.S. Treasuries, this way we would not have bought. Who wants to only 3% reporting rate bonds? We want to buy those high-profit company should buy the stock. . . . . . . - - Finally, the author, we do not need to let the dollar, let the Chinese and Japanese stop buying U.S. dollar assets it so that they can make their currencies cheap in order to continue to our export their industrial products. Our eyes on them to sell the production of these products better tools needed to become rich. ? ? Comments: Industrial society has been completed, while the knowledge economy and new wealth generation mechanism. ? Open the Toshiba laptop, it has a value of 300 dollars for the Intel chip (Intel can get 250 U.S. dollars from profits) and a value of 50 dollars in Microsoft licensed its operating system (Microsoft, available from 49.95 U.S. dollars of profits), then this laptop Toshiba was sold back to the United States, the price is 1000 U.S. dollars. If lucky, Toshiba and other suppliers can get in this transaction profit of 50 dollars, all of the profits. ? In this case, the value of 300 dollars worth of Intel chips and Microsoft operating system license 50 dollars in exports from the United States, 1000 U.S. dollars worth of products they import into the United States. Although the United States was 650 U.S. dollars of trade deficit, a net gain of 300 dollars but other countries may be in the process only 50 dollars, more critical is the Americans control the size of profits and the flow direction. ? Which you will invest in the economic system? Answer of course is self-evident. ? In the &quot;manipulation of money - the wealth of game knowledge economy&quot; and the &quot;Wall Street Meat,&quot; two books, 安迪凯斯勒 humorous writing style with a detailed review of his investment career, there was a good performance as a Morgan Stanley stock analyst and hedge fund managers, he wanted to find out where the wealth of knowledge economy? it going? ? &quot;Wall Street Meat,&quot; a book is mainly described as a securities analyst Kessler growth process, through a tone of someone who reveals the wealth behind the Wall Street greed and cunning. Kessler was originally a Bell Labs engineer, and later went to Wall Street&#39;s investment securities of companies engaged in high-tech industry, with the chip in the field of technology, especially the familiar, as companies such as Intel and Motorola, &quot;ax&quot; (referring to the company Analysts predict profits). However, the gradual shrinkage of the securities brokerage business and the gradual impact of the Internet wave, the Wall Street investment banking business has become the mainstay of many analysts who adhere to abandon the concept of service for investors, with the company&#39;s investment banking business to make a variety of mislead investors, the report, Wall Street has become the &quot;meat.&quot; ? In order not to be trampled upon this piece of &quot;meat&quot;, more of the wealth not only be a bystander, Kessler came to Silicon Valley, with another partner set up a hedge fund, began investing in high-tech companies in Silicon Valley I hope to participate in wealth creation upstream. &quot;Manipulation of money,&quot; Kessler book describes the Silicon Valley investment career. He and partner Fred sat every day, &quot;the office of the four doors&quot; (car) to participate in various meetings, to visit a large number of companies to find those who are neglected by everyone the details, most mining companies have investment value. In the constant search for the process, he also thought the wealth of knowledge economy mechanism, sorting out the framework of their own thinking to find a business investment of the three tips: a huge market (the devil market), superior competitive advantage (not unfair advantage), the operation of the business model that advantage. Kessler practice in the course of this idea, he realized the truth: investment &quot;never too late - as long as some new inventions to save costs and to help market development.&quot; ? Kessler think that to invest in the future, or those with long-term development of new technology companies, even though their products may rapidly lower the price, but they are an important part of industrial chain, and even the birth parent of new industries. He era of knowledge economy perspective to analyze the 18th-century industrial revolution steam engine caused the capital story, &quot;which there is market demand (mine flooding), technology (Watts and Wilkinson precision condenser cylinder), capital (Bolton money), intellectual property (patent Parliament Act), and idle labor (no land available for the farmers). &quot;With the expanding range of applications, steam power generated by falling prices, but when the textile, transportation and other industries when to start using steam, waterfall effect appeared. ? Knowledge economy and business rules did not change the core nature of that waterfall effect will have to find those companies. Although these products is small, inconspicuous, but almost all companies have to use it, waterfall effect can be, but money will be endless, this is the &quot;manipulation of money&quot; nature. Such as computer CD drive to use the laser diode, then the investment in laser diode is a good choice. Elan&#39;s business are not many outstanding shares Shaorenwenjin, but Kessler after repeated investigations, understand the production of laser diode driver, can be downloaded for free MP3 music become possible, which each computer must drive the price with only two U.S. dollars, investing in the company so that Kessler was a very high return. ? 40 dollars for every sale a Logitech mouse, Chinese producers receive only about 3 dollars, while other money was the U.S. design, chip and component companies make away. Chip design industry is how the model - the American design, e-mail sent, commissioned by China Taiwan Taiwan Semiconductor Manufacturing Company for its large number of low-cost chips. An 8-inch wafers in 2000 of potential chip, cost only 2,000 dollars, while a chip can be sold for 20 dollars starting, even if the competition has also sold 10 U.S. dollars, from each chip to earn at least eight U.S. dollars. Perhaps, this chip installed in the DVD machine in China has sold to U.S. consumers. On the surface, China won the DVD machine for 99 dollars, but profits only 2 dollars, but the creation of a 99-dollar U.S. deficit, in fact the United States to earn profits far higher than China. ? This illustrates a knowledge-based society and the differences in the industrial society. In Kessler&#39;s view, &quot;industrial society has ended&quot;, but the scale of knowledge economy is knowledge to be activated, design and manufacturing can be separated. Developed countries like the United States as long as the &quot;thinking&quot; can make money, while emerging market countries (such as China) only through &quot;sweat&quot; to earn a small profit, so is his book: &quot;We think, they sweat . &quot; When can we get rid of &quot;sweat&quot; mode, when also able to &quot;think&quot; to making money? ?