Attack of the Gold Bugs

A recent story in Slate.

Attack of the Gold Bugs.

Mitigating those China fears

If you find yourself a product of conventional wisdom, the Chinese will not be taking over our world by exploiting its cheap labor. They'll have to do it by paying them a better wage. (No surprise to students of international trade. Heckscher Ohlin and Factor Price Equalization would lead us to conclude this.)

Read this NYT article on the Chinese labor shortage. (NYT registration is required. Registration is free, you just have to give up some private information. If someone really wants it contact me and I can email you a temporary link from the Times.)

http://www.nytimes.com/2006/04/03/business/03labor.html