The Computer (Manufacturing) Revolution Continues...

Take value added by manufacturing industry in 2000, project it forward using the BEA's chain-type indices for real value added by industry, and here is what you get:

click to enlarge

Peak-to-peak, the Bush business cycle of the 2000s looks to have been the first business cycle in America in which real manufacturing output was essentially flat since... well, ever. But real computer production still managed to double.

Comments

[Tom B]

Good things presidents are limited to 2 terms; I'm sure W could have found a way to extinguish tech growth, as well.

BTW: How much of that growth comes from one stock:AAPL?

[Camden]

Assuming BEA's chain-type indices are accurate, that quite interesting. Hard to believe, but interesting how one industry could be that much better at getting manufacturing efficiencies than all other industries. Since the mechanical processes are basically the same, I'd guess there was a difference in the way the computer industry measures real output. That is, it may measure something like additional RAM as additional output even if the same number of RAM chips were produced. I wonder.

Brad, what's your guess for this anomaly?

[TanToday]

Hundreds of thousands of peasant Chinese gals, toiling 12/hrs/day, 6 days a week for a monthly wage of $290 MINUS living expenses at the company owned everything.

Amazing how 'efficient' you can become when you have millions of slaves at your disposal, isn't it?

My last Apple computer, the MacBook Air was tracked via the computer as it was being built. From the time it left the assembly line to the time it was at my front door, via FedEx international, was 4 DAYS.

Now, if you can order a computer pay for it online, and in two days the coolies spit it out of the Quanta or Foxconn FACTORY CITIES in Shenzen and have it in a customers hands by the end of one week....

How you gonna actually BEAT that for efficiency? The only concievable way is to have the coolies hand deliver the product and cut out FedEx.

[investorslive]

AAPL is on the verge of breakout or breakdown, this is so over extended but can also squeeze... if it fails, see you at 180$

www.investorslive.com/.../

[dithers]

If US workers were building the computers, then OK, but as Tan already said, its young slaves in China.

This might be the decline and fall of the USA unless we can stop this blatant abuse of humans.

Is there any manufacturing left in the USA? Are we so stupid and greedy that soon we wont be able to even mend a fence?

The USA needs to get back to doing what it always did best - making stuff!

[tom1234]

it is not --IF --but how far PASSED $300.00 per share will aapl go