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16 Sep 09

Nils Gilman: The Global Illicit Economy

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crime globalization video

22 Jun 09

The New Nomads

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idea research trends society globalization technology

The pros, of course, far outweigh the "challenges"—at least as far as the Nu Nomads are concerned. "I make Western wages, but spend it in developing countries, [which is] about one-quarter the cost of living of Southern California, where I'm from," Hamel wrote. "Personally, I've enjoyed being influenced by the differing communities I have visited and/or lived in, and [have benefited also] spiritually—not in a religious sense, but being able to home in on the core of my value system and learn to love more and fear less."

12 May 09

The Age of Pandemics - WSJ.com

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The threat of deadly new viruses is on the rise due to population growth, climate change and increased contact between humans and animals. What the world needs to do to prepare.

07 May 09

Roundup Global Internet Activism Course

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10 Apr 09

An iPod Has Global Value. Ask the (Many) Countries That Make It. - New York Times

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Who makes the Apple iPod? Here’s a hint: It is not Apple. The company outsources the entire manufacture of the device to a number of Asian enterprises, among them Asustek, Inventec Appliances and Foxconn.
But this list of companies isn’t a satisfactory answer either: They only do final assembly. What about the 451 parts that go into the iPod? Where are they made and by whom?
10 more annotations...
- Their study, sponsored by the Sloan Foundation, offers a fascinating illustration of the complexity of the global economy, and how difficult it is to understand that complexity by using only conventional trade statistics.
- The retail value of the 30-gigabyte video iPod that the authors examined was $299. The most expensive component in it was the hard drive, which was manufactured by Toshiba and costs about $73. The next most costly components were the display module (about $20), the video/multimedia processor chip ($8) and the controller chip ($5). They estimated that the final assembly, done in China, cost only about $4 a unit.
- One approach to tracing supply chain geography might be to attribute the cost of each component to the country of origin of its maker. So $73 of the cost of the iPod would be attributed to Japan since Toshiba is a Japanese company, and the $13 cost of the two chips would be attributed to the United States, since the suppliers, Broadcom and PortalPlayer, are American companies, and so on.
  But this method hides some of the most important details. Toshiba may be a Japanese company, but it makes most of its hard drives in the Philippines and China. So perhaps we should also allocate part of the cost of that hard drive to one of those countries. The same problem arises regarding the Broadcom chips, with most of them manufactured in Taiwan. So how can one distribute the costs of the iPod components across the countries where they are manufactured in a meaningful way?
- The difference between the cost of the inputs and the value of the outputs is the “value added” at that step, which can then be attributed to the country where that value was added.
- The profit margin on generic parts like nuts and bolts is very low, since these items are produced in intensely competitive industries and can be manufactured anywhere. Hence, they add little to the final value of the iPod. More specialized parts, like the hard drives and controller chips, have much higher value added.
- According to the authors’ estimates, the $73 Toshiba hard drive in the iPod contains about $54 in parts and labor. So the value that Toshiba added to the hard drive was $19 plus its own direct labor costs. This $19 is attributed to Japan since Toshiba is a Japanese company.
- it is quite clear that the largest share of the value added in the iPod goes to enterprises in the United States, particularly for units sold here.
- The researchers estimated that $163 of the iPod’s $299 retail value in the United States was captured by American companies and workers, breaking it down to $75 for distribution and retail costs, $80 to Apple, and $8 to various domestic component makers. Japan contributed about $26 to the value added (mostly via the Toshiba disk drive), while Korea contributed less than $1.
- This value added calculation illustrates the futility of summarizing such a complex manufacturing process by using conventional trade statistics. Even though Chinese workers contribute only about 1 percent of the value of the iPod, the export of a finished iPod to the United States directly contributes about $150 to our bilateral trade deficit with the Chinese.
- The real value of the iPod doesn’t lie in its parts or even in putting those parts together. The bulk of the iPod’s value is in the conception and design of the iPod. That is why Apple gets $80 for each of these video iPods it sells, which is by far the largest piece of value added in the entire supply chain.

04 Apr 09

A special report on entrepreneurship: Heroic entrepreneurs | Global heroes | The Economist

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economics entrepreneurship innovation business globalization

02 Mar 09

McKinsey: What Matters: The coming Middle Ages

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globalization politics power

18 Feb 09

Debate: 'The crisis: a reason to join the euro?' by Willem Buiter | Prospect Magazine February 2009 issue 155

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12 Feb 09

IT Foresight

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computing globalization technology services

08 Feb 09

IBM Offers To Move Laid Off Workers To India -- InformationWeek

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economics globalization

04 Feb 09

Dani Rodrik's weblog: Why don't we hear a lot more about SDRs?

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finance economics globalization

13 Jan 09

The lender of last resort of the 21st century | vox - Research-based policy analysis and commentary from leading economists

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economics globalization

09 Jan 09

The global market in universities | The future is another country | The Economist

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07 Jan 09

2025_Global_Trends_Final_Report.pdf (application/pdf Object)

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05 Jan 09

FT.com / Weekend / Reportage - An imaginary retrospective of 2009

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02 Jan 09

Was whole economy a Ponzi scheme? - International Herald Tribune

The financial system as a whole has had the characteristics of a Ponzi scheme if we look at it fundamentally," said Lee, who was very early in warning about deflation.

"By this I mean that we should think about the true value of assets as being derived f

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economics finance globalization reading

30 Dec 08