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From: campbell@maynard.BSW.COM (Larry Campbell)
Newsgroups: comp.sys.amiga,comp.sys.atari.st,comp.sys.ibm.pc,comp.sys.mac,sci.electronics,comp.arch
Subject: Re: GATT declares U.S. - Japan chip pact illegal
Message-ID: <1068@maynard.BSW.COM>
Date: 2 Apr 88 17:21:22 GMT
References: <2441@unicus.UUCP> <1259@hubcap.UUCP>
Reply-To: campbell@maynard.UUCP (Larry Campbell)
Organization: The Boston Software Works, Inc.
Lines: 33

Let's clear one thing up here, foax (it sure would save time and aggravation
if people would check the facts before posting):

In article <1259@hubcap.UUCP> rchampe@hubcap.UUCP (Richard Champeaux) writes:
<>                             ... Many people I know say that the Japanese are
<>obviously doing something right, and if US producers can't do the same then
<>they should get out.  In my opinion, I think that the fact that the asian
<>countries have a much cheaper labor force is a significant factor.  US
<>producers obviously can't just cut their employees salaries in half, so some
<>would say that they should get out.

It was true at one time, but is no longer true, that Japanese labor is
cheaper than American labor.  The recent strength of the yen has made
Japanese labor relatively _more_ expensive than American labor.

The real problem is the attention to quality in Japan, and the lack of such
attention here.  As Demming taught the Japanese decades ago, and we slow
learners in the U.S. still can't get through our thick skulls:

	It's _cheaper_ to do it right the first time!

Especially in extremely quality-sensitive industries like VLSI chips,
quality up front and throughout the process produces a _cheaper_ product.
Japan doesn't just produce more DRAMs per _dollar_, they produce more
DRAMs per _worker_.

And I won't even get into the issue of the quality of the labor force,
except to remind people that 20% of adult Americans are _illiterate_.
This is no way to run a high-tech society...
-- 
Larry Campbell                                The Boston Software Works, Inc.
Internet: campbell@maynard.bsw.com          120 Fulton Street, Boston MA 02109
uucp: {husc6,mirror,think}!maynard!campbell         +1 617 367 6846